Rackspace Technology, Inc. $RXT Stake Boosted by Russell Investments Group Ltd.

Key Points

• Russell Investments Group Ltd. significantly increased its holdings in Rackspace Technology by 4,053.5%, acquiring an additional 825,741 shares, bringing its total ownership to 846,112 shares.
• Several other institutional investors also increased their positions in Rackspace Technology, with 82.48% of the stock owned by institutional investors as of last quarter.
• Rackspace Technology's recent quarterly earnings report showed a loss of $0.06 per share, slightly missing expectations, and revenue dropped by 2.7% year-over-year.

Russell Investments Group Ltd. boosted its holdings in Rackspace Technology, Inc. (NASDAQ:RXT - Free Report) by 4,053.5% in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 846,112 shares of the company's stock after purchasing an additional 825,741 shares during the quarter. Russell Investments Group Ltd. owned approximately 0.36% of Rackspace Technology worth $1,430,000 at the end of the most recent quarter.

Other hedge funds also recently added to or reduced their stakes in the company. Cerity Partners LLC bought a new stake in Rackspace Technology in the first quarter valued at $26,000. Balyasny Asset Management L.P. bought a new stake in Rackspace Technology in the fourth quarter valued at $36,000. MetLife Investment Management LLC lifted its stake in Rackspace Technology by 89.4% in the fourth quarter. MetLife Investment Management LLC now owns 17,539 shares of the company's stock valued at $39,000 after buying an additional 8,281 shares during the last quarter. ProShare Advisors LLC lifted 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 valued at $42,000 after buying an additional 6,398 shares during the last quarter. Finally, Aquatic Capital Management LLC bought a new stake in Rackspace Technology in the fourth quarter valued at $45,000. 82.48% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. UBS Group cut their target price on Rackspace Technology from $2.95 to $1.90 and set a "neutral" rating on the stock in a research note on Friday, May 9th. BMO Capital Markets cut their target price on Rackspace Technology from $1.75 to $1.40 and set a "market perform" rating on the stock in a research note on Tuesday, August 12th. Raymond James Financial reiterated a "market perform" rating on shares of Rackspace Technology in a research note on Monday, June 2nd. Royal Bank Of Canada cut their price objective on shares of Rackspace Technology from $3.00 to $2.00 and set a "sector perform" rating on the stock in a research note on Monday, May 12th. Finally, Wall Street Zen cut shares of Rackspace Technology from a "hold" rating to a "sell" rating in a research note on Saturday, August 9th. Four equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Rackspace Technology currently has a consensus rating of "Reduce" and an average target price of $1.58.

Rackspace Technology Price Performance

Shares of NASDAQ RXT traded down $0.04 during midday trading on Friday, reaching $1.26. 753,301 shares of the company traded hands, compared to its average volume of 781,655. Rackspace Technology, Inc. has a 52 week low of $1.00 and a 52 week high of $3.41. The stock has a 50-day moving average price of $1.30 and a 200 day moving average price of $1.53. The company has a market cap of $301.59 million, a price-to-earnings ratio of -0.78 and a beta of 2.06.

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

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.