Ieq Capital LLC Makes New Investment in Rackspace Technology, Inc. $RXT

Ieq Capital LLC bought a new stake in shares of Rackspace Technology, Inc. (NASDAQ:RXT) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm bought 637,258 shares of the company’s stock, valued at approximately $4,161,000. Ieq Capital LLC owned 0.25% of Rackspace Technology as of its most recent filing with the Securities and Exchange Commission.

Other large investors have also modified their holdings of the company. BlackRock Inc. purchased a new position in Rackspace Technology during the second quarter valued at approximately $51,411,000. Vanguard Group Inc. lifted its holdings in Rackspace Technology by 6.1% during the third quarter. Vanguard Group Inc. now owns 6,288,882 shares of the company’s stock worth $8,867,000 after buying an additional 359,087 shares during the period. Janus Henderson Group PLC lifted its holdings in Rackspace Technology by 179.7% during the first quarter. Janus Henderson Group PLC now owns 2,937,670 shares of the company’s stock worth $2,878,000 after buying an additional 1,887,317 shares during the period. Geode Capital Management LLC boosted its position in Rackspace Technology by 4.2% during the 4th quarter. Geode Capital Management LLC now owns 2,408,000 shares of the company’s stock valued at $2,338,000 after acquiring an additional 96,760 shares in the last quarter. Finally, Renaissance Technologies LLC increased its holdings in shares of Rackspace Technology by 14.0% in the 1st quarter. Renaissance Technologies LLC now owns 2,041,600 shares of the company’s stock valued at $2,000,000 after acquiring an additional 250,700 shares during the period. Institutional investors own 82.48% of the company’s stock.

Analysts Set New Price Targets

Several research analysts have recently commented on RXT shares. Weiss Ratings reissued a “sell (d-)” rating on shares of Rackspace Technology in a research report on Tuesday, June 2nd. Wall Street Zen lowered Rackspace Technology from a “hold” rating to a “sell” rating in a research note on Saturday, August 15th. Finally, 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. One research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, Rackspace Technology currently has an average rating of “Reduce” and an average price target of $4.00.

Insider Activity

In related news, Director Anthony Scott sold 48,780 shares of the company’s stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $4.25, for a total transaction of $207,315.00. Following the transaction, the director directly owned 180,215 shares of the company’s stock, valued at $765,913.75. This represents a 21.30% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CFO Mark A. Marino sold 48,099 shares of the stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $5.56, for a total value of $267,430.44. Following the completion of the sale, the chief financial officer owned 3,370,431 shares of the company’s stock, valued at approximately $18,739,596.36. This trade represents a 1.41% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 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 Stock Down 6.0%

Shares of RXT opened at $3.12 on Tuesday. The company has a 50 day moving average of $5.03 and a two-hundred day moving average of $3.40. Rackspace Technology, Inc. has a twelve month low of $0.39 and a twelve month high of $8.60. The company has a market cap of $795.19 million, a price-to-earnings ratio of -4.80 and a beta of 3.05.

Rackspace Technology (NASDAQ:RXT) last issued its quarterly earnings results on Monday, August 10th. The company reported ($0.08) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.01. The business had revenue of $670.10 million for the quarter, compared to analyst estimates of $646.00 million. On average, sell-side analysts expect that Rackspace Technology, Inc. will post -0.28 EPS for the current year.

Key Stories Impacting Rackspace Technology

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

• Neutral Sentiment: Rackspace announced that Dharmendra Kumar Sinha is expected to step down from his public-cloud leadership role. The transition could raise questions about execution in a key business, although the company did not indicate that operations would be disrupted. Rackspace Technology Announces Public Cloud Leadership Transition

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.