Rackspace Technology (NASDAQ:RXT) Issues Q2 2026 Earnings Guidance

Rackspace Technology (NASDAQ:RXT) updated its second quarter 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of -0.110–0.080 for the period, compared to the consensus estimate of -0.030. The company issued revenue guidance of $641.0 million-$649.0 million, compared to the consensus revenue estimate of $657.1 million. Rackspace Technology also updated its FY 2026 guidance to EPS.

Wall Street Analyst Weigh In

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

Rackspace Technology Stock Performance

Shares of NASDAQ RXT opened at $6.58 on Thursday. The stock has a market cap of $1.64 billion, a P/E ratio of -10.79 and a beta of 2.99. The firm has a 50 day moving average price of $5.29 and a 200 day moving average price of $2.63. Rackspace Technology has a 52-week low of $0.39 and a 52-week high of $8.60.

Rackspace Technology (NASDAQ:RXT) last posted its earnings results on Thursday, May 7th. The company reported ($0.06) earnings per share for the quarter, missing the consensus estimate of ($0.03) by ($0.03). The business had revenue of $678.10 million for the quarter, compared to the consensus estimate of $660.83 million. Rackspace Technology has set its FY 2026 guidance at -0.200–0.150 EPS.

Insider Buying and Selling

In related news, CFO Mark A. Marino sold 48,099 shares of the firm’s 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 of the company’s stock, valued at approximately $18,739,596.36. This trade represents a 1.41% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. 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. Insiders own 2.30% of the company’s stock.

Institutional Investors Weigh In On Rackspace Technology

Hedge funds have recently modified their holdings of the business. AQR Capital Management LLC grew its position in shares of Rackspace Technology by 228.6% in the 1st quarter. AQR Capital Management LLC now owns 264,565 shares of the company’s stock valued at $447,000 after purchasing an additional 184,058 shares during the period. Dynamic Technology Lab Private Ltd bought a new stake in Rackspace Technology during the 1st quarter worth approximately $113,000. Geode Capital Management LLC raised its holdings in Rackspace Technology by 17.9% during the 2nd quarter. Geode Capital Management LLC now owns 2,064,549 shares of the company’s stock worth $2,643,000 after buying an additional 313,636 shares during the period. Creative Planning raised its holdings in Rackspace Technology by 114.2% during the 2nd quarter. Creative Planning now owns 25,715 shares of the company’s stock worth $33,000 after buying an additional 13,708 shares during the period. Finally, JPMorgan Chase & Co. lifted its stake in Rackspace Technology by 25.5% in the second quarter. JPMorgan Chase & Co. now owns 1,437,879 shares of the company’s stock valued at $1,840,000 after buying an additional 292,249 shares in the last quarter. Institutional investors and hedge funds own 82.48% of the company’s stock.

About Rackspace Technology

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.