Rackspace Technology (RXT) Stock Price, News & Analysis

Company Overview

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. These include architecture design, DevOps automation, managed security, data analytics and database administration. The company’s “Fanatical Experience” promise emphasizes proactive monitoring, troubleshooting and ongoing performance tuning to ensure clients achieve high availability and cost efficiency in complex multi-vendor environments.

Founded in 1998 in San Antonio, Texas, Rackspace initially gained traction as a managed hosting pioneer before expanding into broader cloud services. In 2016, the company was acquired by Apollo Global Management and taken private, and in August 2020 it returned to the public markets via an initial public offering. Over its history, Rackspace has grown through both organic innovation and selective acquisitions, building a global footprint and deep technical expertise across major cloud ecosystems.

Today, Rackspace Technology serves customers in North America, Europe, Asia-Pacific and other regions, supporting enterprises in industries such as financial services, healthcare, retail and the public sector. The company is led by Chief Executive Officer Kevin Jones, under whose stewardship Rackspace continues to invest in automation, security and emerging technologies to address evolving cloud challenges for its clients.

Key Stats

• Today's Range: $1.41 to $1.49
• 50-Day Range: $1.14 to $1.57
• 52-Week Range: $1.00 to $3.41
• Volume: 1.65 million shs
• Average Volume: 1.11 million shs
• Market Capitalization: $344.68 million
• P/E Ratio: N/A
• Dividend Yield: N/A
• Price Target: $1.58
• Consensus Rating: Reduce

Rackspace Technology Stock Analysis - MarketRank™

Rackspace Technology scored higher than 14% of companies evaluated by MarketBeat, and ranked 273rd out of 314 stocks in the business services sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 1.9 / 5
• Analyst Rating: Reduce

Consensus Rating

Rackspace Technology has received a consensus rating of Reduce. The company's average rating score is 1.80, and is based on no buy ratings, 4 hold ratings, and 1 sell rating.

Upside/Downside

The consensus price target for Rackspace Technology is close to its current price, suggesting limited near-term upside or downside.

Amount of Analyst Coverage

Rackspace Technology has only been the subject of 1 research reports in the past 90 days.

Earnings and Valuation

• Score: 0.0 / 5
• Proj. Earnings Growth: N/A

Price to Earnings Ratio vs. the Market

The P/E ratio of Rackspace Technology is -0.89, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.

Price to Earnings Ratio vs. Sector

The P/E ratio of Rackspace Technology is -0.89, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.

Short Interest

• Score: 1.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

5.68% of the float of Rackspace Technology has been sold short.

Short Interest Ratio / Days to Cover

Rackspace Technology has a short interest ratio ("days to cover") of 4.1.

Change versus previous month

Short interest in Rackspace Technology has recently increased by 0.50%, indicating that investor sentiment is decreasing.

Dividend

• Score: 0.0 / 5
• Dividend Strength: N/A

Dividend Yield

Rackspace Technology does not currently pay a dividend.

Dividend Growth

Rackspace Technology does not have a long track record of dividend growth.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

5.68% of the float of Rackspace Technology has been sold short.

Short Interest Ratio / Days to Cover

Rackspace Technology has a short interest ratio ("days to cover") of 4.1.

Change versus previous month

Short interest in Rackspace Technology has recently increased by 0.50%, indicating that investor sentiment is decreasing.

News and Social Media

• Score: 1.7 / 5
• News Sentiment: 0.15

News Sentiment

Rackspace Technology has a news sentiment score of 0.15. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.81 average news sentiment score of Business Services companies.

News Coverage This Week

MarketBeat has tracked 3 news articles for Rackspace Technology this week, compared to 3 articles on an average week.

Search Interest

4 people have searched for RXT on MarketBeat in the last 30 days. This is an increase of 300% compared to the previous 30 days.

MarketBeat Follows

Only 2 people have added Rackspace Technology to their MarketBeat watchlist in the last 30 days. This is a decrease of -33% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Rackspace Technology insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $2,461,036.00 in company stock.

Percentage Held by Insiders

Only 2.90% of the stock of Rackspace Technology is held by insiders.

Percentage Held by Institutions

82.48% of the stock of Rackspace Technology is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

RXT Stock Analysis - Frequently Asked Questions

How have RXT shares performed this year?

Rackspace Technology's stock was trading at $2.21 at the start of the year. Since then, RXT shares have decreased by 34.8% and is now trading at $1.44.

How were Rackspace Technology's earnings last quarter?

Rackspace Technology, Inc. (NASDAQ:RXT) issued its quarterly earnings data on Thursday, August, 7th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by $0.01. The firm's quarterly revenue was down 2.7% on a year-over-year basis.
Read the conference call transcript.

When did Rackspace Technology IPO?

Rackspace Technology (RXT) raised $754 million in an initial public offering (IPO) on Wednesday, August 5th 2020. The company issued 33,500,000 shares at a price of $21.00-$24.00 per share. Goldman Sachs, Citigroup, JPMorgan, RBC Capital Markets and Evercore ISI served as the underwriters for the IPO and Barclays, BMO Capital Markets, Credit Suisse, Deutsche Bank Securities, HSBC, LionTree, Siebert Williams Shank, Drexel Hamilton and Apollo Global Securities were co-managers.

Who are Rackspace Technology's major shareholders?

Top institutional shareholders of Rackspace Technology include Geode Capital Management LLC (0.87%), JPMorgan Chase & Co. (0.61%), Russell Investments Group Ltd. (0.35%) and Raymond James Financial Inc. (0.19%). Insiders that own company stock include Amar Maletira, Dharmendra Kumar Sinha, Mark A Marino, Srini Koushik, Kellie Teal-Guess, Casey L Shilling, Anthony Scott, Anthony C Roberts and Shashank Samant.
View institutional ownership trends.

How do I buy shares of Rackspace Technology?

Shares of RXT stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.

What other stocks do shareholders of Rackspace Technology own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Rackspace Technology investors own include NVIDIA (NVDA), Meta Platforms (META), CrowdStrike (CRWD), Advanced Micro Devices (AMD), Digital Turbine (APPS).

Company Calendar

• Last Earnings: 8/07/2025
• Today: 9/21/2025
• Next Earnings (Estimated): 11/11/2025
• Fiscal Year End: 12/31/2025

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Business Services
• Industry: Technology Services
• Sub-Industry: Computer Software
• Current Symbol: NASDAQ:RXT
• CIK: 1810019
• Web: www.rackspace.com
• Phone: 210-312-4000
• Fax: N/A
• Employees: 5,100
• Year Founded: N/A

Price Target and Rating

• Average Price Target for Rackspace Technology: $1.58
• High Price Target: $2.00
• Low Price Target: $1.00
• Potential Upside/Downside: +9.4%
• Consensus Rating: Reduce
• Rating Score (0-4): 1.80
• Research Coverage: 5 Analysts

Profitability

• EPS (Trailing Twelve Months): ($1.62)
• Trailing P/E Ratio: N/A
• Forward P/E Ratio: N/A
• P/E Growth: N/A
• Net Income: -$858.20 million
• Net Margins: -13.85%
• Pretax Margin: -12.79%
• Return on Equity: N/A
• Return on Assets: -1.47%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 0.77
• Quick Ratio: 0.77

Sales & Book Value

• Annual Sales: $2.74 billion
• Price / Sales: 0.13
• Cash Flow: $4.50 per share
• Price / Cash Flow: 0.32
• Book Value: ($4.41) per share
• Price / Book: -0.33

Miscellaneous

• Outstanding Shares: 239,360,000
• Free Float: 232,420,000
• Market Cap: $344.68 million
• Optionable: Optionable
• Beta: 2.06