Rackspace Technology, Inc. $RXT Shares Bought by Jacobs Levy Equity Management Inc.

Key Points

• Jacobs Levy Equity Management Inc. increased its position in Rackspace Technology by 42.4%, owning 1,255,023 shares after purchasing an additional 373,875 shares this quarter.
• Analysts have a consensus rating of "Reduce" for Rackspace Technology, with BMO Capital Markets lowering the target price from $1.75 to $1.40.
• In a recent transaction, Director Anthony Scott sold 40,000 shares for $57,200, reducing his ownership by 17.31% to 191,045 shares.

Jacobs Levy Equity Management Inc. grew its holdings in shares of Rackspace Technology, Inc. (NASDAQ:RXT - Free Report) by 42.4% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,255,023 shares of the company's stock after buying an additional 373,875 shares during the period. Jacobs Levy Equity Management Inc. owned 0.53% of Rackspace Technology worth $2,121,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors also recently bought and sold shares of RXT. Cerity Partners LLC purchased a new stake in Rackspace Technology during the 1st quarter worth about $26,000. Balyasny Asset Management L.P. purchased a new stake in Rackspace Technology during the 4th quarter worth about $36,000. Jump Financial LLC purchased a new stake in Rackspace Technology during the 1st quarter worth about $40,000. ProShare Advisors LLC lifted its holdings in Rackspace Technology by 50.6% during the 4th quarter. ProShare Advisors LLC now owns 19,030 shares of the company's stock worth $42,000 after buying an additional 6,398 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD lifted its holdings in Rackspace Technology by 24.1% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 26,807 shares of the company's stock worth $60,000 after buying an additional 5,214 shares during the last quarter. 82.48% of the stock is owned by hedge funds and other institutional investors.

Rackspace Technology Stock Down 2.7%

RXT traded down $0.04 on Friday, hitting $1.45. 609,899 shares of the company traded hands, compared to its average volume of 857,313. The company has a 50 day moving average of $1.32 and a 200-day moving average of $1.43. The stock has a market capitalization of $347.07 million, a PE ratio of -0.90 and a beta of 2.06. Rackspace Technology, Inc. has a 12-month low of $1.00 and a 12-month high of $3.41.

Rackspace Technology (NASDAQ:RXT - Get Free Report) last posted its quarterly earnings data on Thursday, August 7th. The company reported ($0.06) EPS for the quarter, missing the consensus estimate of ($0.05) by ($0.01). The business had revenue of $666.30 million during the quarter, compared to analysts' expectations of $658.86 million. The firm's revenue was down 2.7% compared to the same quarter last year. During the same period in the previous year, the company posted ($0.08) earnings per share. Rackspace Technology has set its Q3 2025 guidance at -0.060--0.040 EPS.

Analysts Set New Price Targets

RXT has been the subject of several research reports. BMO Capital Markets reduced their target price on Rackspace Technology from $1.75 to $1.40 and set a "market perform" rating for the company in a report on Tuesday, August 12th. Raymond James Financial reissued a "market perform" rating on shares of Rackspace Technology in a report on Monday, June 2nd. Finally, Wall Street Zen downgraded Rackspace Technology from a "hold" rating to a "sell" rating in a report on Saturday, August 9th. Four investment analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, Rackspace Technology currently has an average rating of "Reduce" and an average price target of $1.58.

Insider Buying and Selling

In other Rackspace Technology news, Director Anthony Scott sold 40,000 shares of the company's stock in a transaction that occurred on Monday, September 8th. The stock was sold at an average price of $1.43, for a total transaction of $57,200.00. Following the completion of the sale, the director directly owned 191,045 shares of the company's stock, valued at $273,194.35. This represents a 17.31% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 2.90% of the stock is currently owned by corporate insiders.

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.