Brokerages expect that Rackspace Technology, Inc. (NASDAQ:RXT – Get Rating) will report earnings per share (EPS) of $0.21 for the current quarter, according to Zacks Investment Research. Five analysts have made estimates for Rackspace Technology’s earnings, with estimates ranging from $0.20 to $0.22. Rackspace Technology posted earnings per share of $0.23 during the same quarter last year, which would indicate a negative year over year growth rate of 8.7%. The company is expected to report its next quarterly earnings results on Monday, January 1st.
On average, analysts expect that Rackspace Technology will report full year earnings of $0.93 per share for the current fiscal year, with EPS estimates ranging from $0.82 to $1.04. For the next fiscal year, analysts forecast that the firm will report earnings of $1.13 per share, with EPS estimates ranging from $0.90 to $1.45. Zacks’ EPS calculations are a mean average based on a survey of analysts that provide coverage for Rackspace Technology.
Rackspace Technology (NASDAQ:RXT – Get Rating) last released its earnings results on Tuesday, February 22nd. The company reported $0.25 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.24 by $0.01. Rackspace Technology had a positive return on equity of 15.14% and a negative net margin of 7.25%. The business had revenue of $777.30 million for the quarter, compared to analyst estimates of $771.22 million. During the same quarter in the previous year, the company posted $0.26 earnings per share. The company’s revenue for the quarter was up 8.5% compared to the same quarter last year.
Several research analysts recently issued reports on the stock. Barclays cut their price target on shares of Rackspace Technology from $17.00 to $10.00 in a report on Thursday, February 24th. Credit Suisse Group cut their price target on shares of Rackspace Technology from $25.00 to $19.00 and set an “outperform” rating for the company in a report on Wednesday, February 23rd. Royal Bank of Canada decreased their price target on Rackspace Technology from $24.00 to $18.00 and set an “outperform” rating on the stock in a research note on Wednesday, February 23rd. BMO Capital Markets cut Rackspace Technology from an “outperform” rating to a “market perform” rating and lowered their price target for the stock from $18.00 to $10.50 in a report on Wednesday, February 23rd. Finally, Citigroup cut their target price on shares of Rackspace Technology from $20.00 to $16.00 and set a “buy” rating for the company in a research report on Wednesday, February 23rd. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and four have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $17.45.
Institutional investors have recently added to or reduced their stakes in the stock. Mackenzie Financial Corp increased its position in shares of Rackspace Technology by 24.2% in the 3rd quarter. Mackenzie Financial Corp now owns 6,124,231 shares of the company’s stock worth $87,087,000 after purchasing an additional 1,192,801 shares during the last quarter. Legal & General Group Plc grew its position in shares of Rackspace Technology by 42.8% in the 4th quarter. Legal & General Group Plc now owns 2,276,840 shares of the company’s stock worth $30,669,000 after acquiring an additional 681,965 shares in the last quarter. Rice Hall James & Associates LLC increased its holdings in shares of Rackspace Technology by 31.0% in the 4th quarter. Rice Hall James & Associates LLC now owns 2,508,958 shares of the company’s stock valued at $33,796,000 after acquiring an additional 593,674 shares during the last quarter. ValueAct Holdings LP acquired a new stake in shares of Rackspace Technology during the 3rd quarter valued at approximately $5,688,000. Finally, Alberta Investment Management Corp acquired a new position in Rackspace Technology in the third quarter worth $5,546,000. 95.38% of the stock is currently owned by hedge funds and other institutional investors.
Rackspace Technology stock traded up $0.06 during trading hours on Friday, reaching $10.22. 1,112,659 shares of the stock were exchanged, compared to its average volume of 930,094. The stock has a market cap of $2.15 billion, a P/E ratio of -9.73, a P/E/G ratio of 1.10 and a beta of 0.79. The firm’s 50 day moving average is $11.04 and its 200 day moving average is $12.90. The company has a debt-to-equity ratio of 2.80, a quick ratio of 1.18 and a current ratio of 1.18. Rackspace Technology has a 52-week low of $7.28 and a 52-week high of $25.93.
Rackspace Technology Company Profile (Get Rating)
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.
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