Rackspace Technology (NASDAQ:RXT) Trading Down 5.7% - Time to Sell?

Shares of Rackspace Technology, Inc. (NASDAQ:RXT - Get Free Report) were down 5.7% on Thursday . The stock traded as low as $2.63 and last traded at $2.65. Approximately 169,227 shares were traded during mid-day trading, a decline of 85% from the average daily volume of 1,123,939 shares. The stock had previously closed at $2.81.

Analyst Ratings Changes

Separately, UBS Group lifted their price target on shares of Rackspace Technology from $2.10 to $2.30 and gave the stock a "neutral" rating in a research note on Friday, August 16th. Two equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and one has given a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $2.15.

Rackspace Technology Trading Down 8.9 %

The stock has a market capitalization of $573.06 million, a P/E ratio of -0.67 and a beta of 1.98. The stock's 50 day simple moving average is $2.42 and its 200 day simple moving average is $2.25.

Rackspace Technology (NASDAQ:RXT - Get Free Report) last issued its quarterly earnings results on Thursday, August 8th. The company reported ($0.08) EPS for the quarter, topping the consensus estimate of ($0.11) by $0.03. The company had revenue of $684.90 million for the quarter, compared to the consensus estimate of $669.10 million. On average, sell-side analysts expect that Rackspace Technology, Inc. will post -0.32 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, EVP Dharmendra Kumar Sinha sold 149,249 shares of the stock in a transaction dated Thursday, July 25th. The shares were sold at an average price of $2.36, for a total transaction of $352,227.64. Following the sale, the executive vice president now owns 2,466,593 shares in the company, valued at $5,821,159.48. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, EVP Dharmendra Kumar Sinha sold 149,249 shares of the company's stock in a transaction on Thursday, July 25th. The stock was sold at an average price of $2.36, for a total transaction of $352,227.64. Following the completion of the transaction, the executive vice president now directly owns 2,466,593 shares in the company, valued at $5,821,159.48. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Amar Maletira sold 84,823 shares of the firm's stock in a transaction on Monday, September 30th. The shares were sold at an average price of $2.42, for a total value of $205,271.66. Following the completion of the sale, the chief executive officer now owns 5,158,399 shares in the company, valued at $12,483,325.58. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 376,570 shares of company stock valued at $894,330 over the last 90 days. 1.00% of the stock is owned by company insiders.

Institutional Trading of Rackspace Technology

Hedge funds have recently added to or reduced their stakes in the business. GSA Capital Partners LLP acquired a new stake in Rackspace Technology in the first quarter worth approximately $531,000. Renaissance Technologies LLC lifted its holdings in shares of Rackspace Technology by 23.7% in the second quarter. Renaissance Technologies LLC now owns 1,339,200 shares of the company's stock valued at $3,991,000 after buying an additional 256,900 shares during the period. Sargent Investment Group LLC boosted its stake in Rackspace Technology by 86.9% during the second quarter. Sargent Investment Group LLC now owns 215,100 shares of the company's stock valued at $641,000 after buying an additional 100,000 shares in the last quarter. Bank of New York Mellon Corp grew its holdings in Rackspace Technology by 17.1% during the second quarter. Bank of New York Mellon Corp now owns 222,778 shares of the company's stock worth $664,000 after acquiring an additional 32,468 shares during the period. Finally, Susquehanna Fundamental Investments LLC raised its position in Rackspace Technology by 143.7% in the second quarter. Susquehanna Fundamental Investments LLC now owns 53,506 shares of the company's stock worth $159,000 after acquiring an additional 31,550 shares in the last quarter. Institutional investors own 82.48% of the company's stock.

Rackspace Technology Company Profile

Rackspace Technology, Inc operates as a multi cloud technology services company in the Americas, Europe, the Middle East, Africa, and The Asia-Pacific region. It operates through three segments: Multicloud Services, Apps & Cross Platform, and OpenStack Public Cloud. The company provides public and private cloud managed services, which allow customers to determine, manage, and optimize the right infrastructure, platforms, and services; professional services related to designing and building multi cloud solutions and cloud-native applications; and managed hosting and colocation services.

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