Rackspace Technology (RXT) Competitors

Rackspace Technology (NASDAQ:RXT) and Fastly (NYSE:FSLY) are both small-cap computer software companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, media sentiment, analyst recommendations, risk, dividends, institutional ownership, earnings and profitability.

Which has more volatility and risk, RXT or FSLY?

Rackspace Technology has a beta of 2.09, meaning that its stock price is 109% more volatile than the S&P 500. Comparatively, Fastly has a beta of 1.3, meaning that its stock price is 30% more volatile than the S&P 500.

Do institutionals and insiders hold more shares of RXT or FSLY?

82.5% of Rackspace Technology shares are held by institutional investors. Comparatively, 79.7% of Fastly shares are held by institutional investors. 2.9% of Rackspace Technology shares are held by company insiders. Comparatively, 6.7% of Fastly shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Does the media refer more to RXT or FSLY?

In the previous week, Fastly had 7 more articles in the media than Rackspace Technology. MarketBeat recorded 9 mentions for Fastly and 2 mentions for Rackspace Technology. Fastly's average media sentiment score of 0.59 beat Rackspace Technology's score of 0.00 indicating that Fastly is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Rackspace Technology	0 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Fastly	5 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is RXT or FSLY more profitable?

Rackspace Technology has a net margin of -13.85% compared to Fastly's net margin of -25.85%. Rackspace Technology's return on equity of 0.00% beat Fastly's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Rackspace Technology	-13.85%	N/A	-1.47%
Fastly	-25.85%	-11.98%	-7.87%

Do analysts recommend RXT or FSLY?

Rackspace Technology currently has a consensus price target of $1.58, suggesting a potential downside of 5.41%. Fastly has a consensus price target of $8.69, suggesting a potential upside of 6.27%. Given Fastly's stronger consensus rating and higher possible upside, analysts plainly believe Fastly is more favorable than Rackspace Technology.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rackspace Technology	2 Sell rating(s)	4 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.67
Fastly	1 Sell rating(s)	8 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00

Which has stronger valuation and earnings, RXT or FSLY?

Fastly has lower revenue, but higher earnings than Rackspace Technology. Fastly is trading at a lower price-to-earnings ratio than Rackspace Technology, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rackspace Technology	$2.74B	0.15	-$858.20M	-$1.62	-1.03
Fastly	$543.68M	2.22	-$158.06M	-$1.03	-7.94

Summary

Fastly beats Rackspace Technology on 9 of the 16 factors compared between the two stocks.