Janus Henderson Group PLC Acquires 1,887,317 Shares of Rackspace Technology, Inc. $RXT

Janus Henderson Group PLC lifted its holdings in Rackspace Technology, Inc. (NASDAQ:RXT) by 179.7% in the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 2,937,670 shares of the company’s stock after acquiring an additional 1,887,317 shares during the period. Janus Henderson Group PLC’s holdings in Rackspace Technology were worth $2,878,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the business. Vanguard Group Inc. lifted its holdings in Rackspace Technology by 6.1% in the 3rd quarter. Vanguard Group Inc. now owns 6,288,882 shares of the company’s stock worth $8,867,000 after purchasing an additional 359,087 shares in the last quarter. Geode Capital Management LLC boosted its stake in Rackspace Technology by 4.2% in the 4th quarter. Geode Capital Management LLC now owns 2,408,000 shares of the company’s stock worth $2,338,000 after purchasing an additional 96,760 shares during the period. Renaissance Technologies LLC grew its holdings in Rackspace Technology by 14.0% during the 1st quarter. Renaissance Technologies LLC now owns 2,041,600 shares of the company’s stock valued at $2,000,000 after buying an additional 250,700 shares in the last quarter. JPMorgan Chase & Co. grew its holdings in Rackspace Technology by 1.8% during the 3rd quarter. JPMorgan Chase & Co. now owns 1,464,389 shares of the company’s stock valued at $2,065,000 after buying an additional 26,510 shares in the last quarter. Finally, Federated Hermes Inc. raised its position in shares of Rackspace Technology by 4.4% during the fourth quarter. Federated Hermes Inc. now owns 719,747 shares of the company’s stock valued at $699,000 after buying an additional 30,024 shares during the last quarter. Institutional investors own 82.48% of the company’s stock.

Key Stories Impacting Rackspace Technology

Here are the key news stories impacting Rackspace Technology this week:

• Positive Sentiment: Rackspace appointed Pranav Nambiar as Senior Vice President and General Manager of AI Infrastructure. He will oversee infrastructure, partnerships, operating strategy and go-to-market efforts for sovereign and regulated-enterprise AI solutions, potentially strengthening Rackspace’s growth positioning in a high-demand market. Pranav Nambiar Joins Rackspace Technology to Scale Sovereign AI Infrastructure
• Neutral Sentiment: One valuation analysis argues that RXT may still be undervalued despite its fraud-lawsuit headlines, while another questions whether the company needs to revisit its valuation after cutting 2026 guidance. These are analyst opinions rather than new company fundamentals, but they highlight the debate over whether the stock’s long-term AI potential outweighs near-term uncertainty. Rackspace Stock Still Looks Undervalued Should Rackspace Revisit Its Valuation
• Negative Sentiment: Numerous law firms—including Kaplan Fox, Rosen, Bronstein Gewirtz & Grossman, Faruqi & Faruqi and others—are promoting or pursuing a securities class action against Rackspace and certain executives. The case covers investors who purchased RXT securities from May 7 through July 8, 2026, with a lead-plaintiff deadline of September 28, 2026. The repeated notices increase visibility around the legal overhang, although the allegations have not been proven. Rosen Securities Class Action Notice
• Negative Sentiment: The lawsuit-related allegations reportedly focus on whether Rackspace adequately disclosed a roughly $150 million revenue shortfall after a June restructuring filing, alongside the company’s 2026 guidance reduction. Potential litigation costs, reputational damage and further disclosures could pressure valuation and investor confidence. SueWallSt Rackspace Disclosure Allegations

Wall Street Analyst Weigh In

Several research firms have recently commented on RXT. Royal Bank Of Canada boosted their target price on shares of Rackspace Technology from $2.50 to $4.00 and gave the stock a “sector perform” rating in a report on Wednesday, June 17th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Rackspace Technology in a research note on Tuesday, June 2nd. Two analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Rackspace Technology currently has a consensus rating of “Reduce” and an average target price of $2.70.

Rackspace Technology Price Performance

Shares of NASDAQ RXT opened at $4.90 on Friday. Rackspace Technology, Inc. has a 1-year low of $0.39 and a 1-year high of $8.60. The business’s 50 day moving average is $5.34 and its two-hundred day moving average is $3.14. The stock has a market capitalization of $1.24 billion, a P/E ratio of -8.03 and a beta of 3.05.

Rackspace Technology (NASDAQ:RXT) last posted its quarterly earnings data on Thursday, May 7th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by ($0.03). The firm had revenue of $678.10 million during the quarter, compared to analyst estimates of $660.83 million.

Insider Buying and Selling at Rackspace Technology

In related news, CFO Mark A. Marino sold 48,099 shares of the stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $5.56, for a total transaction of $267,430.44. Following the sale, the chief financial officer owned 3,370,431 shares in the company, valued at approximately $18,739,596.36. This represents a 1.41% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Corporate insiders own 2.30% 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.