Rackspace Technology (NASDAQ:RXT) Hits New 12-Month High After Strong Earnings

Rackspace Technology, Inc. (NASDAQ:RXT) hit a new 52-week high during mid-day trading on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $3.39 and last traded at $3.26, with a volume of 532325 shares trading hands. The stock had previously closed at $2.86.

The company reported ($0.04) EPS for the quarter, topping the consensus estimate of ($0.08) by $0.04. The company had revenue of $675.80 million during the quarter, compared to analyst estimates of $675.14 million. The business’s revenue was down 7.7% compared to the same quarter last year. During the same quarter in the prior year, the company posted ($0.04) earnings per share.

Analyst Upgrades and Downgrades

Separately, UBS Group boosted their target price on shares of Rackspace Technology from $2.10 to $2.30 and gave the company a “neutral” rating in a research note on Friday, August 16th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and one has assigned a buy rating to the company’s stock. Based on data from MarketBeat, Rackspace Technology presently has an average rating of “Hold” and a consensus target price of $2.34.

Insider Buying and Selling at Rackspace Technology

In other news, CEO Amar Maletira sold 52,206 shares of the business’s stock in a transaction on Wednesday, August 21st. The shares were sold at an average price of $2.35, for a total value of $122,684.10. Following the completion of the sale, the chief executive officer now directly owns 5,347,434 shares in the company, valued at approximately $12,566,469.90. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders sold 227,321 shares of company stock valued at $542,103 in the last quarter. Company insiders own 2.00% of the company’s stock.

Institutional Investors Weigh In On Rackspace Technology

A number of large investors have recently bought and sold shares of RXT. Creative Planning acquired a new stake in shares of Rackspace Technology in the 3rd quarter valued at $29,000. Susquehanna Fundamental Investments LLC acquired a new stake in Rackspace Technology in the first quarter worth about $35,000. Allspring Global Investments Holdings LLC bought a new stake in Rackspace Technology during the 2nd quarter worth about $40,000. US Bancorp DE lifted its holdings in Rackspace Technology by 10,766.2% in the third 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 during the period. Finally, Intech Investment Management LLC acquired a new position in shares of Rackspace Technology in the 3rd quarter valued at $50,000. 82.48% of the stock is currently owned by institutional investors.

Rackspace Technology Trading Up 5.9 %

The company has a 50-day moving average price of $2.52 and a 200-day moving average price of $2.38.

About Rackspace Technology

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.