Rackspace Technology (NASDAQ:RXT) Trading Down 6.2% – What’s Next?

Posted by Brenda Bartman on May 29th, 2026

Rackspace Technology, Inc. (NASDAQ:RXT – Get Free Report) traded down 6.2% on Wednesday . The company traded as low as $4.61 and last traded at $4.6630. 11,556,970 shares changed hands during mid-day trading, a decline of 53% from the average session volume of 24,341,459 shares. The stock had previously closed at $4.97.

Wall Street Analysts Forecast Growth

Separately, Royal Bank Of Canada upped their price objective on Rackspace Technology from $1.75 to $2.50 and gave the stock a “sector perform” rating in a research note on Friday, February 27th. Three equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and an average price target of $1.95.

View Our Latest Stock Report on RXT

Rackspace Technology Trading Up 7.3%

The firm has a market capitalization of $1.30 billion, a P/E ratio of -8.60 and a beta of 2.23. The firm has a 50 day moving average price of $2.52 and a 200-day moving average price of $1.61.

Rackspace Technology (NASDAQ:RXT – Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The company reported ($0.06) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.03) by ($0.03). The business had revenue of $678.10 million during the quarter, compared to analyst estimates of $660.83 million. Rackspace Technology has set its FY 2026 guidance at -0.200–0.150 EPS. Research analysts anticipate that Rackspace Technology, Inc. will post -0.18 earnings per share for the current year.

Insider Activity at Rackspace Technology

In other Rackspace Technology news, CFO Mark A. Marino sold 20,183 shares of the stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $1.81, for a total value of $36,531.23. Following the completion of the transaction, the chief financial officer directly owned 2,172,932 shares of the company’s stock, valued at approximately $3,933,006.92. This trade represents a 0.92% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, EVP Dharmendra Kumar Sinha sold 188,123 shares of Rackspace Technology stock in a transaction on Wednesday, March 18th. The shares were sold at an average price of $1.81, for a total transaction of $340,502.63. Following the completion of the transaction, the executive vice president owned 2,276,057 shares in the company, valued at approximately $4,119,663.17. This trade represents a 7.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 267,757 shares of company stock worth $484,640. Insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Rackspace Technology

A number of institutional investors have recently added to or reduced their stakes in the company. Essential Partners LLC lifted its holdings in Rackspace Technology by 25,906.1% in the 1st quarter. Essential Partners LLC now owns 72,037 shares of the company’s stock worth $71,000 after buying an additional 71,760 shares in the last quarter. Arete Wealth Advisors LLC acquired a new position in Rackspace Technology in the 1st quarter worth $219,000. Janus Henderson Group PLC lifted its holdings in Rackspace Technology by 179.7% in the 1st 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 in the last quarter. Renaissance Technologies LLC lifted its holdings in Rackspace Technology by 14.0% in the 1st quarter. Renaissance Technologies LLC now owns 2,041,600 shares of the company’s stock worth $2,000,000 after buying an additional 250,700 shares in the last quarter. Finally, State of Wyoming acquired a new position in Rackspace Technology in the 1st quarter worth $35,000. Institutional investors and hedge funds own 82.48% of the company’s stock.

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.