BlackRock Inc. bought a new position in shares of Rackspace Technology, Inc. (NASDAQ:RXT - Free Report) during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 7,872,977 shares of the company's stock, valued at approximately $51,411,000. BlackRock Inc. owned 3.10% of Rackspace Technology as of its most recent filing with the Securities and Exchange Commission (SEC).
Several other hedge funds and other institutional investors have also modified their holdings of RXT. Janus Henderson Group PLC grew its position in Rackspace Technology by 179.7% during the first quarter. Janus Henderson Group PLC now owns 2,937,670 shares of the company's stock valued at $2,878,000 after purchasing an additional 1,887,317 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new stake in Rackspace Technology in the 2nd quarter worth approximately $3,887,000. Two Sigma Investments LP boosted its stake in shares of Rackspace Technology by 368.4% during the 3rd quarter. Two Sigma Investments LP now owns 673,689 shares of the company's stock valued at $950,000 after buying an additional 529,862 shares during the period. GSA Capital Partners LLP acquired a new stake in shares of Rackspace Technology during the 2nd quarter valued at $2,822,000. Finally, Vanguard Group Inc. grew its holdings in shares of Rackspace Technology by 6.1% during the 3rd quarter. Vanguard Group Inc. now owns 6,288,882 shares of the company's stock valued at $8,867,000 after acquiring an additional 359,087 shares in the last quarter. 82.48% of the stock is owned by institutional investors and hedge funds.
Rackspace Technology Stock Performance
RXT opened at $3.13 on Tuesday. The company has a market cap of $797.74 million, a PE ratio of -4.82 and a beta of 3.05. The stock has a 50-day moving average of $4.66 and a 200-day moving average of $3.50. Rackspace Technology, Inc. has a 52-week low of $0.39 and a 52-week high of $8.60.
Rackspace Technology (NASDAQ:RXT - Get Free Report) last issued its quarterly earnings data on Monday, August 10th. The company reported ($0.08) earnings per share for the quarter, beating analysts' consensus estimates of ($0.09) by $0.01. The company had revenue of $670.10 million during the quarter, compared to the consensus estimate of $646.00 million. On average, research analysts predict that Rackspace Technology, Inc. will post -0.28 earnings per share for the current year.
Trending Headlines about Rackspace Technology
Here are the key news stories impacting Rackspace Technology this week:
- Neutral Sentiment: The numerous August 30–31 announcements largely repeat the same lawsuit information rather than introduce a new operational development. Investors who purchased RXT securities between May 7 and July 8, 2026, have until September 28, 2026, to seek lead-plaintiff status. Rackspace Technology Securities Fraud Class Action Lawsuit Filed
- Negative Sentiment: The pending class action alleges that Rackspace and certain executives violated federal securities laws by making materially misleading statements or omitting information concerning the company’s AI initiative. The allegations have not been proven, but the case adds legal, financial and reputational risk. Rackspace Technology AI Effort Issues Lead to 33% Stock Drop
- Negative Sentiment: The repeated alerts from Rosen, Faruqi & Faruqi, Kaplan Fox, Glancy Prongay Wolke & Rotter, Levi & Korsinsky and other firms increase the visibility of the litigation and may weigh on investor sentiment. Potential outcomes include defense costs, settlement expenses and continued uncertainty around management’s AI-related disclosures. Rosen Rackspace Investor Deadline Alert
Analyst Upgrades and Downgrades
A number of research analysts have commented on the company. Wall Street Zen downgraded Rackspace Technology from a "hold" rating to a "sell" rating in a research note on Saturday, August 15th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Rackspace Technology in a research note on Tuesday, June 2nd. Finally, Royal Bank Of Canada lifted their price target on Rackspace Technology from $2.50 to $4.00 and gave the company a "sector perform" rating in a report on Wednesday, June 17th. One investment analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Rackspace Technology has an average rating of "Reduce" and an average price target of $4.00.
Read Our Latest Analysis on RXT
Insider Buying and Selling
In related news, Director Anthony Scott sold 48,780 shares of Rackspace Technology stock in a transaction on Friday, August 14th. The shares were sold at an average price of $4.25, for a total value of $207,315.00. Following the transaction, the director owned 180,215 shares in the company, valued at $765,913.75. This trade represents a 21.30% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Mark A. Marino sold 48,099 shares of the business's stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $5.56, for a total transaction of $267,430.44. Following the transaction, the chief financial officer directly owned 3,370,431 shares of the company's stock, valued at approximately $18,739,596.36. This represents a 1.41% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 2.30% of the company's stock.
About Rackspace Technology
(
Free Report)
Rackspace Technology NASDAQ: RXT is a leading provider of managed multi-cloud solutions and services, specializing in the deployment, management and optimization of public and private cloud environments. The company helps organizations design and operate applications across platforms such as Amazon Web Services (AWS), Microsoft Azure, Google Cloud and its own private cloud infrastructure. Rackspace's core offerings include cloud migration, application modernization, data protection, security services and 24x7x365 operational support.
Beyond cloud hosting, Rackspace offers a range of professional services designed to accelerate digital transformation initiatives.
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This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.
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