Rackspace Technology (NASDAQ:RXT) Announces Earnings Results, Beats Expectations By $0.02 EPS

Rackspace Technology (NASDAQ:RXT) issued its quarterly earnings results on Thursday. The company reported ($0.02) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.04) by $0.02, Zacks reports. The business had revenue of $685.60 million for the quarter, compared to analysts’ expectations of $674.85 million. Rackspace Technology updated its Q1 2025 guidance to -0.090–0.070 EPS.

Rackspace Technology Price Performance

Shares of Rackspace Technology stock opened at $2.90 on Friday. The business has a 50-day moving average of $2.51 and a 200-day moving average of $2.49. The company has a market capitalization of $659.95 million, a PE ratio of -0.75 and a beta of 2.04. Rackspace Technology has a 1-year low of $1.45 and a 1-year high of $3.41.

Wall Street Analyst Weigh In

Separately, Barclays increased their target price on Rackspace Technology from $1.00 to $2.00 and gave the stock an “underweight” rating in a research report on Monday, November 18th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and one has issued a buy rating to the stock. According to data from MarketBeat.com, Rackspace Technology currently has an average rating of “Hold” and a consensus target price of $2.47.

Insider Activity

In other Rackspace Technology news, CFO Mark A. Marino sold 14,458 shares of the firm’s stock in a transaction dated Monday, January 27th. The shares were sold at an average price of $2.34, for a total value of $33,831.72. Following the transaction, the chief financial officer now owns 1,915,356 shares of the company’s stock, valued at $4,481,933.04. This trade represents a 0.75 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CTO Srini Koushik sold 19,470 shares of the firm’s stock in a transaction dated Friday, November 29th. The stock was sold at an average price of $2.67, for a total transaction of $51,984.90. Following the completion of the transaction, the chief technology officer now directly owns 1,026,279 shares in the company, valued at $2,740,164.93. This represents a 1.86 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 209,322 shares of company stock worth $542,829 over the last ninety days. Corporate insiders own 2.00% of the company’s stock.

Rackspace Technology Company Profile

Rackspace Technology, Inc operates as a multi cloud technology services company in the Americas, Europe, the Middle East, Africa, and The Asia-Pacific region. It operates through three segments: Multicloud Services, Apps & Cross Platform, and OpenStack Public Cloud. The company provides public and private cloud managed services, which allow customers to determine, manage, and optimize the right infrastructure, platforms, and services; professional services related to designing and building multi cloud solutions and cloud-native applications; and managed hosting and colocation services.