Barclays Raises Rackspace Technology (NASDAQ:RXT) Price Target to $2.00

Rackspace Technology (NASDAQ:RXT) had its price target upped by investment analysts at Barclays from $1.00 to $2.00 in a research report issued to clients and investors on Monday,Benzinga reports. The brokerage currently has an “underweight” rating on the stock. Barclays‘s price target suggests a potential downside of 15.61% from the stock’s current price.

Separately, UBS Group upped their price objective on shares of Rackspace Technology from $2.10 to $2.30 and gave the company a “neutral” rating in a report on Friday, August 16th. Two research analysts have rated the stock with a sell rating, four have assigned a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $2.29.

Rackspace Technology Stock Performance

RXT opened at $2.37 on Monday. The firm has a market cap of $539.34 million, a P/E ratio of -0.68 and a beta of 1.97. The firm has a 50-day moving average of $2.55 and a 200 day moving average of $2.41. Rackspace Technology has a fifty-two week low of $1.22 and a fifty-two week high of $3.41.

Rackspace Technology (NASDAQ:RXT) last posted its quarterly earnings results on Tuesday, November 12th. The company reported ($0.04) earnings per share for the quarter, beating the consensus estimate 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 quarterly revenue was down 7.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($0.04) EPS. Equities research analysts predict that Rackspace Technology will post -0.27 earnings per share for the current fiscal year.

Insider Transactions at Rackspace Technology

In other news, CEO Amar Maletira sold 82,552 shares of the stock in a transaction dated Wednesday, October 2nd. The shares were sold at an average price of $2.37, for a total value of $195,648.24. Following the sale, the chief executive officer now directly owns 4,983,984 shares of the company’s stock, valued at approximately $11,812,042.08. This represents a 1.63 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 2.00% of the company’s stock.

Institutional Investors Weigh In On Rackspace Technology

A number of institutional investors and hedge funds have recently bought and sold shares of RXT. Renaissance Technologies LLC grew its position in Rackspace Technology by 23.7% during the second quarter. Renaissance Technologies LLC now owns 1,339,200 shares of the company’s stock valued at $3,991,000 after acquiring an additional 256,900 shares during the last quarter. Public Employees Retirement System of Ohio grew its position in Rackspace Technology by 30.1% during the first quarter. Public Employees Retirement System of Ohio now owns 133,484 shares of the company’s stock valued at $211,000 after acquiring an additional 30,916 shares during the last quarter. Mitsubishi UFJ Trust & Banking Corp grew its position in Rackspace Technology by 98.2% during the first quarter. Mitsubishi UFJ Trust & Banking Corp now owns 33,263 shares of the company’s stock valued at $51,000 after acquiring an additional 16,484 shares during the last quarter. Allspring Global Investments Holdings LLC bought a new position in Rackspace Technology during the second quarter valued at approximately $40,000. Finally, Creative Planning bought a new position in Rackspace Technology during the third quarter valued at approximately $29,000. 82.48% of the stock is owned by hedge funds and other 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.