Key Points
- Director Anthony Scott sold 48,780 Rackspace Technology shares at an average price of $4.25, generating $207,315 and reducing his direct holdings by 21.3% to 180,215 shares.
- Rackspace reported quarterly revenue of $670.1 million and an adjusted loss of $0.08 per share, slightly exceeding analyst expectations. The stock opened at $3.95, while analysts maintained a “Reduce” consensus with a $4.00 average price target.
- Investors face additional uncertainty from securities class-action notices alleging misstatements about Rackspace’s enterprise AI efforts; the September 28, 2026 lead-plaintiff deadline is not a finding that the allegations are valid.
Rackspace Technology, Inc. (NASDAQ:RXT - Get Free Report) Director Anthony Scott sold 48,780 shares of Rackspace Technology stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $4.25, for a total value of $207,315.00. Following the sale, the director directly owned 180,215 shares of the company's stock, valued at approximately $765,913.75. This represents a 21.30% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink.
Rackspace Technology Stock Performance
Shares of RXT stock opened at $3.95 on Tuesday. The stock's 50-day simple moving average is $5.24 and its 200-day simple moving average is $3.31. The firm has a market capitalization of $1.01 billion, a PE ratio of -6.08 and a beta of 3.05. Rackspace Technology, Inc. has a fifty-two week low of $0.39 and a fifty-two week high of $8.60.
Rackspace Technology (NASDAQ:RXT - Get Free Report) last released its earnings results on Tuesday, August 11th. The company reported ($0.08) EPS for the quarter, topping analysts' consensus estimates of ($0.09) by $0.01. The firm had revenue of $670.10 million for the quarter, compared to analyst estimates of $646.00 million. Sell-side analysts forecast that Rackspace Technology, Inc. will post -0.28 earnings per share for the current year.
Institutional Inflows and Outflows
A number of large investors have recently bought and sold shares of the stock. AQR Capital Management LLC boosted its position in Rackspace Technology by 228.6% in the 1st quarter. AQR Capital Management LLC now owns 264,565 shares of the company's stock worth $447,000 after purchasing an additional 184,058 shares in the last quarter. Dynamic Technology Lab Private Ltd purchased a new position in shares of Rackspace Technology during the 1st quarter valued at approximately $113,000. Geode Capital Management LLC lifted its stake in shares of Rackspace Technology by 17.9% in the 2nd quarter. Geode Capital Management LLC now owns 2,064,549 shares of the company's stock valued at $2,643,000 after purchasing an additional 313,636 shares during the period. Creative Planning lifted its stake in shares of Rackspace Technology by 114.2% in the 2nd quarter. Creative Planning now owns 25,715 shares of the company's stock valued at $33,000 after purchasing an additional 13,708 shares during the period. Finally, JPMorgan Chase & Co. boosted its holdings in Rackspace Technology by 25.5% during the second quarter. JPMorgan Chase & Co. now owns 1,437,879 shares of the company's stock worth $1,840,000 after buying an additional 292,249 shares in the last quarter. 82.48% of the stock is owned by institutional investors and hedge funds.
Analyst Upgrades and Downgrades
Several research firms have recently commented on RXT. Royal Bank Of Canada upped 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. Weiss Ratings restated a "sell (d-)" rating on shares of Rackspace Technology in a research report on Tuesday, June 2nd. Finally, Wall Street Zen lowered shares of Rackspace Technology from a "hold" rating to a "sell" rating in a report on Saturday. One equities research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of "Reduce" and an average price target of $4.00.
Get Our Latest Stock Report on Rackspace Technology
More Rackspace Technology News
Here are the key news stories impacting Rackspace Technology this week:
- Neutral Sentiment: Several law firms announced or promoted the same pending federal securities class action, with a September 28, 2026 deadline for investors to seek appointment as lead plaintiff. The notices target investors who purchased Rackspace securities between May 7 and July 8, 2026; the deadline itself does not establish that the allegations are valid. Rackspace Technology securities fraud class-action deadline
- Negative Sentiment: The lawsuits allege that Rackspace and certain executives made material misstatements or omissions concerning the company’s enterprise AI efforts. One notice linked the case to a reported stock decline of roughly 33%, raising concerns about potential litigation costs, management distraction, and reputational damage if the claims advance. Rackspace securities fraud class action after AI effort issues
- Negative Sentiment: The concentrated legal-news coverage adds uncertainty around Rackspace’s AI growth narrative and could keep volatility elevated. The announcements are largely investor-solicitation notices repeating the same allegations, rather than new company operating results or a court finding against Rackspace. Faruqi Rackspace class-action notice
About Rackspace Technology
(
Get Free Report)
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.
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