$0.22 EPS Expected for Rackspace Technology, Inc. (NASDAQ:RXT) This Quarter

Analysts predict that Rackspace Technology, Inc. (NASDAQ:RXT) will announce $0.22 earnings per share (EPS) for the current fiscal quarter, according to Zacks. Five analysts have made estimates for Rackspace Technology’s earnings. The lowest EPS estimate is $0.20 and the highest is $0.23. Rackspace Technology posted earnings of $0.21 per share during the same quarter last year, which would suggest a positive year-over-year growth rate of 4.8%. The firm is expected to report its next earnings results on Monday, August 30th.

On average, analysts expect that Rackspace Technology will report full-year earnings of $1.00 per share for the current year, with EPS estimates ranging from $0.94 to $1.03. For the next fiscal year, analysts expect that the business will report earnings of $1.18 per share, with EPS estimates ranging from $0.95 to $1.29. Zacks’ earnings per share calculations are an average based on a survey of sell-side research firms that cover Rackspace Technology.

Rackspace Technology (NASDAQ:RXT) last released its quarterly earnings data on Monday, May 10th. The company reported $0.23 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.21 by $0.02. The company had revenue of $725.90 million for the quarter, compared to analyst estimates of $724.67 million. Rackspace Technology had a positive return on equity of 14.18% and a negative net margin of 9.41%. The firm’s revenue for the quarter was up 11.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.16 earnings per share.

Several equities research analysts recently issued reports on the company. William Blair assumed coverage on Rackspace Technology in a report on Wednesday, March 31st. They issued an “outperform” rating on the stock. Zacks Investment Research upgraded Rackspace Technology from a “sell” rating to a “hold” rating in a report on Tuesday, May 25th. Finally, Raymond James upgraded Rackspace Technology from an “outperform” rating to a “strong-buy” rating in a report on Tuesday, May 18th. One research analyst has rated the stock with a hold rating, eleven have given a buy rating and one has given a strong buy rating to the stock. The company currently has a consensus rating of “Buy” and an average target price of $27.95.

Shares of Rackspace Technology stock opened at $19.77 on Tuesday. Rackspace Technology has a 52 week low of $15.25 and a 52 week high of $26.43. The company has a fifty day simple moving average of $21.65. The firm has a market cap of $4.11 billion and a price-to-earnings ratio of -14.43. The company has a current ratio of 1.12, a quick ratio of 1.12 and a debt-to-equity ratio of 2.76.

In other Rackspace Technology news, CFO Amar Maletira acquired 5,419 shares of the company’s stock in a transaction dated Thursday, May 13th. The shares were acquired at an average price of $18.45 per share, for a total transaction of $99,980.55. Following the acquisition, the chief financial officer now owns 1,048,619 shares in the company, valued at approximately $19,347,020.55. The purchase was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Kevin M. Jones acquired 5,409 shares of the company’s stock in a transaction dated Thursday, May 13th. The stock was acquired at an average price of $18.44 per share, for a total transaction of $99,741.96. Following the acquisition, the chief executive officer now owns 777,279 shares in the company, valued at approximately $14,333,024.76. The disclosure for this purchase can be found here. In the last 90 days, insiders have acquired 14,798 shares of company stock worth $274,954 and have sold 59,326 shares worth $1,165,229. 0.76% of the stock is owned by corporate insiders.

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. American International Group Inc. boosted its position in shares of Rackspace Technology by 2.2% in the 1st quarter. American International Group Inc. now owns 20,099 shares of the company’s stock valued at $478,000 after purchasing an additional 439 shares during the period. California State Teachers Retirement System boosted its position in shares of Rackspace Technology by 1.8% in the 1st quarter. California State Teachers Retirement System now owns 52,095 shares of the company’s stock valued at $1,239,000 after purchasing an additional 910 shares during the period. Signaturefd LLC acquired a new stake in shares of Rackspace Technology in the 4th quarter valued at about $26,000. Parkside Financial Bank & Trust acquired a new stake in shares of Rackspace Technology in the 4th quarter valued at about $26,000. Finally, Swiss National Bank boosted its position in shares of Rackspace Technology by 1.8% in the 1st quarter. Swiss National Bank now owns 91,600 shares of the company’s stock valued at $2,178,000 after purchasing an additional 1,600 shares during the period. Institutional investors and hedge funds own 88.38% of the company’s stock.

About Rackspace Technology

Rackspace Technology, Inc operates as a multi cloud technology services company worldwide. It operates through Multicloud Services and Apps & Cross Platform segments. The company's Multicloud Services segment provides public and private cloud managed services, which allow customers to determine, manage, and optimize the right infrastructure, platforms, and services; and professional services related to designing and building multi cloud solutions and cloud-native applications.

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