Rackspace Technology (NASDAQ:RXT) Reaches New 12-Month High – Should You Buy?

Rackspace Technology, Inc. (NASDAQ:RXT) reached a new 52-week high during trading on Tuesday . The company traded as high as $2.64 and last traded at $2.63, with a volume of 23046181 shares changing hands. The stock had previously closed at $2.22.

Analyst Ratings Changes

A number of analysts recently weighed in on RXT shares. Weiss Ratings reiterated a “sell (d-)” rating on shares of Rackspace Technology in a research report on Thursday, January 22nd. Royal Bank Of Canada lifted their price target on shares of Rackspace Technology from $1.75 to $2.50 and gave the stock a “sector perform” rating in a research report on Friday. Four equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Reduce” and an average target price of $1.70.

Rackspace Technology Stock Up 20.7%

The firm has a market capitalization of $652.55 million, a P/E ratio of -2.82 and a beta of 1.78. The stock has a fifty day moving average of $0.94 and a 200-day moving average of $1.18.

Insider Buying and Selling at Rackspace Technology

In related news, CFO Mark A. Marino sold 234,683 shares of the firm’s stock in a transaction on Monday, February 23rd. The shares were sold at an average price of $1.63, for a total value of $382,533.29. Following the completion of the transaction, the chief financial officer owned 2,193,115 shares of the company’s stock, valued at approximately $3,574,777.45. This trade represents a 9.67% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Dharmendra Kumar Sinha sold 45,393 shares of the firm’s stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $1.81, for a total value of $82,161.33. Following the completion of the transaction, the executive vice president owned 2,464,180 shares of the company’s stock, valued at $4,460,165.80. The trade was a 1.81% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 300,259 shares of company stock valued at $501,226 in the last 90 days. 2.90% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Rackspace Technology

A number of institutional investors have recently bought and sold shares of the business. Quadrature Capital Ltd bought a new position in shares of Rackspace Technology during the 2nd quarter worth approximately $26,000. Savant Capital LLC bought a new position in Rackspace Technology in the 3rd quarter valued at about $33,000. R Squared Ltd lifted its position in Rackspace Technology by 74.3% during the third quarter. R Squared Ltd now owns 25,127 shares of the company’s stock worth $35,000 after acquiring an additional 10,707 shares during the last quarter. Creative Planning grew its position in shares of Rackspace Technology by 114.2% in the second quarter. Creative Planning now owns 25,715 shares of the company’s stock valued at $33,000 after purchasing an additional 13,708 shares during the last quarter. Finally, Engineers Gate Manager LP lifted its holdings in Rackspace Technology by 47.1% during the 2nd quarter. Engineers Gate Manager LP now owns 34,777 shares of the company’s stock worth $45,000 after purchasing an additional 11,141 shares during the last quarter. Institutional investors and hedge funds own 82.48% of the company’s stock.

Rackspace Technology Company Profile

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.