Mackenzie Financial Corp Sells 1,009,598 Shares of Rackspace Technology, Inc. (NASDAQ:RXT)

Key Points

• Mackenzie Financial Corp has reduced its stake in Rackspace Technology by 31.0%, now holding approximately 2.25 million shares worth $3.8 million.
• Rackspace Technology reported a better-than-expected EPS of ($0.06) for the last quarter, beating analyst expectations and generating revenue of $665.4 million, although this represented a year-over-year decline of 3.7%.
• Several analysts have downgraded their price targets for Rackspace Technology, with Barclays setting a new low of $1.00 and maintaining an "underweight" rating on the stock.

Mackenzie Financial Corp lowered its position in shares of Rackspace Technology, Inc. (NASDAQ:RXT - Free Report) by 31.0% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 2,252,017 shares of the company's stock after selling 1,009,598 shares during the quarter. Mackenzie Financial Corp owned 0.95% of Rackspace Technology worth $3,806,000 as of its most recent SEC filing.

Other large investors also recently added to or reduced their stakes in the company. Cerity Partners LLC bought a new position in Rackspace Technology in the first quarter valued at approximately $26,000. Bank of New York Mellon Corp raised its position in shares of Rackspace Technology by 4.7% during the 1st quarter. Bank of New York Mellon Corp now owns 179,092 shares of the company's stock valued at $303,000 after buying an additional 8,075 shares in the last quarter. Two Sigma Advisers LP boosted its stake in Rackspace Technology by 243.1% during the fourth quarter. Two Sigma Advisers LP now owns 264,200 shares of the company's stock worth $584,000 after acquiring an additional 187,200 shares in the last quarter. Two Sigma Investments LP increased its holdings in Rackspace Technology by 1,692.6% in the 4th quarter. Two Sigma Investments LP now owns 406,621 shares of the company's stock worth $899,000 after acquiring an additional 383,938 shares in the last quarter. Finally, ProShare Advisors LLC grew its stake in Rackspace Technology by 50.6% in the fourth quarter. ProShare Advisors LLC now owns 19,030 shares of the company's stock worth $42,000 after purchasing an additional 6,398 shares in the last quarter. 82.48% of the stock is owned by institutional investors.

Rackspace Technology Stock Performance

RXT stock traded down $0.03 during midday trading on Wednesday, reaching $1.24. The company's stock had a trading volume of 165,890 shares, compared to its average volume of 957,557. The firm has a market capitalization of $293.18 million, a price-to-earnings ratio of -0.96 and a beta of 2.06. Rackspace Technology, Inc. has a 1 year low of $1.00 and a 1 year high of $3.41. The stock has a fifty day simple moving average of $1.30 and a two-hundred day simple moving average of $1.70.

Rackspace Technology (NASDAQ:RXT - Get Free Report) last released its earnings results on Thursday, May 8th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.08) by $0.02. The business had revenue of $665.40 million for the quarter, compared to analyst estimates of $657.98 million. The business's revenue for the quarter was down 3.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted ($0.11) EPS.

Analysts Set New Price Targets

A number of research analysts recently issued reports on RXT shares. Wall Street Zen upgraded Rackspace Technology from a "sell" rating to a "hold" rating in a research report on Friday, June 27th. Barclays cut their price target on shares of Rackspace Technology from $2.00 to $1.00 and set an "underweight" rating for the company in a research note on Friday, April 25th. UBS Group decreased their price objective on Rackspace Technology from $2.95 to $1.90 and set a "neutral" rating for the company in a report on Friday, May 9th. Royal Bank Of Canada reduced their price objective on shares of Rackspace Technology from $3.00 to $2.00 and set a "sector perform" rating for the company in a research report on Monday, May 12th. Finally, Raymond James Financial reiterated a "market perform" rating on shares of Rackspace Technology in a report on Monday, June 2nd. One investment analyst has rated the stock with a sell rating and four have issued a hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $1.63.

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.