Rackspace Technology (NASDAQ:RXT) Price Target Cut to $1.50

Rackspace Technology (NASDAQ:RXT – Get Rating) had its target price reduced by research analysts at Deutsche Bank Aktiengesellschaft from $3.00 to $1.50 in a research note issued to investors on Thursday, The Fly reports. Deutsche Bank Aktiengesellschaft’s price target would indicate a potential upside of 32.74% from the stock’s current price.

A number of other brokerages have also recently issued reports on RXT. Barclays cut their target price on Rackspace Technology from $2.00 to $1.50 in a report on Monday, April 24th. BMO Capital Markets dropped their price objective on Rackspace Technology from $6.00 to $3.50 and set a “market perform” rating on the stock in a research note on Thursday, February 23rd. Credit Suisse Group dropped their price objective on Rackspace Technology from $8.00 to $6.10 and set an “outperform” rating on the stock in a research note on Thursday, February 23rd. Finally, Royal Bank of Canada lowered their target price on Rackspace Technology from $6.00 to $4.00 and set a “sector perform” rating on the stock in a research note on Thursday, February 23rd. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and one has issued a buy rating to the company. According to MarketBeat, Rackspace Technology presently has an average rating of “Hold” and an average target price of $3.95.

Rackspace Technology Stock Performance

Rackspace Technology stock opened at $1.13 on Thursday. The company has a debt-to-equity ratio of 5.80, a current ratio of 1.25 and a quick ratio of 1.25. Rackspace Technology has a 1 year low of $1.05 and a 1 year high of $9.79. The business has a 50 day moving average of $1.76 and a 200-day moving average of $2.93. The company has a market capitalization of $246.53 million, a P/E ratio of -0.17 and a beta of 1.33.

Rackspace Technology (NASDAQ:RXT – Get Rating) last issued its earnings results on Tuesday, May 9th. The company reported ($0.02) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.03) by $0.01. Rackspace Technology had a positive return on equity of 11.24% and a negative net margin of 25.78%. The company had revenue of $758.10 million for the quarter, compared to analysts’ expectations of $757.27 million. During the same period last year, the business earned $0.22 EPS. Rackspace Technology’s quarterly revenue was down 2.2% compared to the same quarter last year. On average, equities research analysts predict that Rackspace Technology will post -0.01 earnings per share for the current year.

Institutional Trading of Rackspace Technology

A number of large investors have recently modified their holdings of RXT. Sei Investments Co. lifted its position in Rackspace Technology by 2.9% in the second quarter. Sei Investments Co. now owns 77,628 shares of the company’s stock valued at $575,000 after purchasing an additional 2,189 shares during the last quarter. Point72 Hong Kong Ltd lifted its position in Rackspace Technology by 144.4% in the second quarter. Point72 Hong Kong Ltd now owns 4,831 shares of the company’s stock valued at $35,000 after purchasing an additional 2,854 shares during the last quarter. PNC Financial Services Group Inc. lifted its position in Rackspace Technology by 693.1% in the first quarter. PNC Financial Services Group Inc. now owns 3,347 shares of the company’s stock valued at $37,000 after purchasing an additional 2,925 shares during the last quarter. Tower Research Capital LLC TRC lifted its position in Rackspace Technology by 29.6% in the third quarter. Tower Research Capital LLC TRC now owns 14,072 shares of the company’s stock valued at $57,000 after purchasing an additional 3,215 shares during the last quarter. Finally, Vident Investment Advisory LLC lifted its position in Rackspace Technology by 16.4% in the first quarter. Vident Investment Advisory LLC now owns 24,676 shares of the company’s stock valued at $275,000 after purchasing an additional 3,475 shares during the last quarter.

About Rackspace Technology

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Rackspace Technology, Inc operates as a multi cloud technology services company worldwide. It operates through Multicloud Services and Apps & Cross Platform segments. The company's Multicloud Services segment provides public and private cloud managed services, which allow customers to determine, manage, and optimize the right infrastructure, platforms, and services; and professional services related to designing and building multi cloud solutions and cloud-native applications.