Market makers jumped to the conclusion that Rackspace's earnings growth is slowing down, and that's why the stock is falling today. Image source: Getty Images. Now what
Why is Rackspace stock falling today?
Market makers jumped to the conclusion that Rackspace's earnings growth is slowing down, and that's why the stock is falling today. Image source: Getty Images.
How does Rackspace technology's (Rackspace) return on equity compare to its peers?
The business earned $763 million during the quarter, compared to analyst estimates of $756.03 million. Rackspace Technology had a positive trailing twelve-month return on equity of 15.03% and a negative net margin of 6.76%. The firm's revenue was up 26.7% compared to the same quarter last year.
What is Rackspace and what does it do?
"Rackspace provides standardized but customizable software based services to move applications to and then manage them on the cloud," Horan wrote in a research note to investors.
What are analysts'target prices for Rackspace technology's stock?
12 brokerages have issued 1-year target prices for Rackspace Technology's stock. Their forecasts range from $24.00 to $44.00. On average, they anticipate Rackspace Technology's stock price to reach $27.95 in the next twelve months. This suggests a possible upside of 38.5% from the stock's current price.
Is Rackspace stock a good buy?
Rackspace Technology has received a consensus rating of Hold. The company's average rating score is 2.44, and is based on 4 buy ratings, 5 hold ratings, and no sell ratings.
What happened to Rackspace?
In August 2016, it was confirmed that Apollo Global Management had reached an agreement to buy the company for $4.3 billion. The sale was completed in November 2016 and Rackspace officially ended trading on the New York Stock Exchange on November 3, 2016.
Who is buying Rackspace?
Apollo Global ManagementApollo Global Management (APO) took Rackspace private in a $4.3 billion deal in 2016. The company returned to the public market in an August 2020 initial public offering at $21 a share, at about the same valuation where the company went private.
Will Amazon acquire Rackspace?
Amazon (Nasdaq: AMZN) would acquire a minority stake in Rackspace (Nasdaq: RXT) in a deal with Rackspace's majority owner Apollo Global Management LLC in the next month or two, according to the report. GAIN ACCESS TO EVERY LOCAL INSIGHT, LEAD AND MORE!
Is Rackspace going out of business?
Rackspace has ended weeks of speculation about its future as a publicly traded company by confirming it will be acquired by private equity house Apollo Global Management for $4.3bn. New Rackspace president Jeff Cotten reveals details of what the future holds for the managed cloud company now it's under new ownership.
Is Rackspace a good company?
Rackspace Technology has an overall rating of 3.6 out of 5, based on over 2,927 reviews left anonymously by employees. 62% of employees would recommend working at Rackspace Technology to a friend and 51% have a positive outlook for the business. This rating has improved by 3% over the last 12 months.
Will Rackspace stock go up?
Stock Price Forecast The 9 analysts offering 12-month price forecasts for Rackspace Technology Inc have a median target of 11.00, with a high estimate of 16.00 and a low estimate of 9.00. The median estimate represents a +52.35% increase from the last price of 7.22.
Is Rackspace a Fortune 500?
Rackspace Technology | 2022 Fortune 500 | Fortune.
What does Rackspace Technology do?
Today, Rackspace Technology is a leading provider of expertise and managed services across all the major public and private cloud technologies. And we've evolved Fanatical Support to encompass the entire customer journey — providing Fanatical Experience™ from first consultation to daily operations.
Where is Rackspace headquarters?
Windcrest, TXRackspace Technology / HeadquartersWindcrest is a city in Bexar County, Texas, United States. Its population was 5,865 at the 2020 census. It is part of the San Antonio metropolitan area. Wikipedia
Should I buy or sell Rackspace Technology stock right now?
9 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for Rackspace Technology in the last year. There are current...
What is Rackspace Technology's stock price forecast for 2022?
9 analysts have issued 1 year price targets for Rackspace Technology's shares. Their forecasts range from $9.00 to $19.00. On average, they predict...
How has Rackspace Technology's stock price performed in 2022?
Rackspace Technology's stock was trading at $13.47 at the beginning of the year. Since then, RXT stock has decreased by 43.4% and is now trading at...
When is Rackspace Technology's next earnings date?
Rackspace Technology is scheduled to release its next quarterly earnings announcement on Monday, August 15th 2022. View our earnings forecast for...
How were Rackspace Technology's earnings last quarter?
Rackspace Technology, Inc. (NASDAQ:RXT) released its quarterly earnings results on Tuesday, May, 10th. The company reported $0.22 earnings per shar...
What guidance has Rackspace Technology issued on next quarter's earnings?
Rackspace Technology updated its second quarter 2022 earnings guidance on Tuesday, June, 7th. The company provided earnings per share (EPS) guidanc...
Who are Rackspace Technology's key executives?
Rackspace Technology's management team includes the following people: Mr. Kevin M. Jones , CEO & Director (Age 53, Pay $2.08M) ( LinkedIn Profil...
Who are some of Rackspace Technology's key competitors?
Some companies that are related to Rackspace Technology include GDS (GDS) , Weibo (WB) , DigitalOcean (DOCN) , Bumble (BMBL) , DoubleVerify (D...
What other stocks do shareholders of Rackspace Technology own?
Based on aggregate information from My MarketBeat watchlists, some companies that other Rackspace Technology investors own include Advanced Micro...
What happened
Shares of Rackspace Technology ( RXT -3.64% ) dipped 18.9% in May, according to data from S&P Global Market Intelligence. The cloud-computing stock fell after the company published its first-quarter results.
NASDAQ: RXT
Rackspace published Q1 results on May 10, and shares pulled back precipitously following the release despite the company posting results that came in ahead of the average market targets.
So what
Rackspace's sales were up roughly 11% year over year, set a new record in the first quarter, and topped the market's targets, but it doesn't looks like growth is expected to accelerate beyond that rate this year, and the earnings outlook is weaker than some analysts anticipated.
Now what
Rackspace Technology stock has regained some ground early in June's trading. The company's share price is up roughly 3.3% in the month so far.
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When will Rackspace release its earnings?
Rackspace Technology is scheduled to release its next quarterly earnings announcement on Wednesday, August 11th 2021. View our earnings forecast for Rackspace Technology.
How much does Rackspace Technology make?
Rackspace Technology has a market capitalization of $3.85 billion and generates $2.71 billion in revenue each year. The company earns $-245,800,000.00 in net income (profit) each year or $0.83 on an earnings per share basis.
The multicloud service provider got a bullish initiation from Wall Street
Evan is a Senior Technology Analyst at The Motley Fool. He was previously a Senior Trading Specialist at Charles Schwab, and worked briefly at Tesla. Evan graduated from the University of Texas at Austin, and is a CFA charterholder.
What happened
Shares of Rackspace Technology ( NASDAQ:RXT) have popped today, up by 12% as of 12:30 p.m. EST, after the Oppenheimer initiated coverage on the stock with an outperform rating alongside a price target of $28, which represents over 40% upside from yesterday's close. The company separately said that it was refinancing some debt.
So what
Analyst Timothy Horan is bullish on Rackspace as a pure-play way to invest in enterprise public cloud adoption. The technology specialist offers a multicloud service that supports all three of the major public cloud infrastructure providers.
Now what
In a regulatory filing, Rackspace said it plans to commence a new $2.2 billion secured term loan facility. The company intends to use the proceeds to pay down an existing term loan facility.
