Rackspace Technology (NASDAQ:RXT) Stock Price Up 7.2% – Here’s What Happened

Rackspace Technology, Inc. (NASDAQ:RXT) traded up 7.2% on Friday . The company traded as high as $2.54 and last traded at $2.53. 1,023,437 shares traded hands during trading, an increase of 42% from the average session volume of 721,513 shares. The stock had previously closed at $2.36.

Analysts Set New Price Targets

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 note on Monday, November 18th. One analyst has rated the stock with a sell rating, four have issued a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $2.47.

Rackspace Technology Stock Performance

The company has a market capitalization of $596.23 million, a price-to-earnings ratio of -0.75 and a beta of 2.02. The business has a 50 day moving average price of $2.46 and a 200-day moving average price of $2.47.

Rackspace Technology (NASDAQ:RXT) last released its quarterly earnings data on Tuesday, November 12th. The company reported ($0.04) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.03. The company had revenue of $675.80 million for the quarter, compared to the consensus estimate of $675.14 million. Rackspace Technology’s revenue for the quarter was down 7.7% compared to the same quarter last year. During the same period last year, the company earned ($0.04) EPS. As a group, equities analysts predict that Rackspace Technology, Inc. will post -0.27 EPS for the current fiscal year.

Insider Transactions at Rackspace Technology

In related news, CTO Srini Koushik sold 19,470 shares of the business’s stock in a transaction dated Friday, November 29th. The shares were sold at an average price of $2.67, for a total value of $51,984.90. Following the transaction, the chief technology officer now directly owns 1,026,279 shares of the company’s stock, valued at approximately $2,740,164.93. The trade was a 1.86 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Anthony C. Roberts purchased 19,455 shares of Rackspace Technology stock in a transaction that occurred on Friday, December 6th. The shares were bought at an average price of $2.60 per share, with a total value of $50,583.00. Following the transaction, the director now owns 161,930 shares of the company’s stock, valued at $421,018. This trade represents a 13.66 % increase in their position. The disclosure for this purchase can be found here. Insiders sold a total of 194,864 shares of company stock valued at $508,997 over the last ninety days. 2.00% of the stock is currently owned by insiders.

Institutional Trading of Rackspace Technology

Hedge funds have recently made changes to their positions in the company. Renaissance Technologies LLC grew its position in shares of Rackspace Technology by 23.7% in the second quarter. Renaissance Technologies LLC now owns 1,339,200 shares of the company’s stock valued at $3,991,000 after purchasing an additional 256,900 shares in the last quarter. Jacobs Levy Equity Management Inc. boosted its stake in Rackspace Technology by 139.4% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 814,624 shares of the company’s stock worth $1,996,000 after purchasing an additional 474,299 shares during the period. US Bancorp DE grew its holdings in Rackspace Technology by 10,766.2% during the 3rd quarter. US Bancorp DE now owns 16,408 shares of the company’s stock valued at $40,000 after buying an additional 16,257 shares in the last quarter. Jane Street Group LLC increased its position in shares of Rackspace Technology by 27.4% during the third quarter. Jane Street Group LLC now owns 773,454 shares of the company’s stock valued at $1,895,000 after buying an additional 166,528 shares during the period. Finally, FMR LLC lifted its holdings in shares of Rackspace Technology by 437.5% in the third quarter. FMR LLC now owns 31,154 shares of the company’s stock worth $76,000 after buying an additional 25,358 shares in the last quarter. 82.48% of the stock is currently owned by institutional investors.

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.