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RXT

BEARISH
$1.47 Live
Rackspace Technology, Inc. · NASDAQ
Target $2.17 (+47.4%)
$0.39 52W Range $2.74

At a glance

Key valuation, profitability, growth, and risk metrics.

Updated Apr 19, 2026
Market cap
$362.96M
P/E
N/A
ROE
N/A
Profit margin
-8.4%
Debt/Equity
N/A
Dividend yield
N/A

AI Analysis

AI-powered fundamental assessment

Confidence
95%
RXT exhibits severe financial distress, anchored by a weak Piotroski F-Score of 2/9 and a negative Price-to-Book ratio (-0.30), which indicates negative shareholder equity. The company faces a liquidity crisis with a current ratio of 0.68 and stagnant revenue growth (-0.40% YoY). While recent earnings have beaten lowered expectations, the long-term trajectory is catastrophic, evidenced by a 94.2% decline over five years. Combined with aggressive insider selling, the deterministic data suggests a high risk of insolvency or further devaluation.

Key Strengths

Extremely low Price-to-Sales ratio (0.14) suggests the market has already priced in significant failure
Positive gross margin (19.22%) indicates the core service still generates some value
Recent quarterly EPS surprises have been positive, suggesting a narrowing of losses
Analyst target price ($2.17) provides a theoretical upside from current levels
Short-term 1-year price performance is slightly positive (+11.4%)

Key Risks

Negative shareholder equity (P/B of -0.30) is a critical solvency red flag
Poor liquidity with a current ratio of 0.68 and quick ratio of 0.50
Stagnant to negative revenue growth (-0.40% YoY) indicates a lack of market competitiveness
Strong bearish insider sentiment with 9 sell transactions and 0 buys
Severe long-term value destruction (-94.2% 5-year change)

Performance Snowflake

Multi-dimensional analysis across 5 key categories

Overall
13
Weak
Value
20
Future
25
Past
10
Health
10
Dividend
0
AI Verdict
Distressed Asset
Key drivers: Negative Equity, Low Piotroski Score, Liquidity Shortfall, Insider Divestment
Confidence
90%
Value
20/100

P/B of -0.30 indicates the company owes more than it owns.

Positives
  • Very low P/S ratio
Watchpoints
  • Negative P/B ratio
  • No Graham Number available due to negative earnings/equity
Future
25/100

Revenue growth is flat to negative, undermining any growth-based valuation.

Positives
  • Recent EPS beats
Watchpoints
  • Negative YoY revenue growth
  • High PEG ratio (4.93)
Past
10/100

Long-term trend is a near-total loss of shareholder value.

Positives
  • Recent 1Y recovery
Watchpoints
  • 5Y change of -94.2%
  • Consistent history of negative earnings
Health
10/100

F-Score of 2/9 is a strong indicator of financial weakness and potential distress.

Positives
No standout positives identified.
Watchpoints
  • Piotroski F-Score 2/9
  • Current Ratio 0.68
  • Quick Ratio 0.50
Dividend
0/100

Company is not in a position to return capital to shareholders.

Positives
No standout positives identified.
Watchpoints
  • No dividend paid
  • 0/100 strength score

Stock Price & Analyst Targets

Real-time price movements and analyst price targets

Current Price
$1.47
Analyst Target
$2.17
Upside/Downside
+47.4%

Multi-Horizon Performance vs Peers

Price momentum across 5Y → 1W horizons for RXT and closest competitors.

Updated 2026-04-17
RXT
Rackspace Technology, Inc.
Primary
5Y
-94.2%
3Y
-32.3%
1Y
+11.4%
6M
+3.5%
1M
-20.5%
1W
+11.4%
NND
Nano Dimension Ltd.
Peer
5Y
-75.6%
3Y
-30.5%
1Y
+15.3%
6M
-14.8%
1M
+5.5%
1W
+6.1%
CLF
Clearfield, Inc.
Peer
5Y
-15.7%
3Y
-44.9%
1Y
+1.4%
6M
-26.4%
1M
-12.7%
1W
-1.8%
RPA
Repay Holdings Corporation
Peer
5Y
-82.9%
3Y
-39.0%
1Y
-6.6%
6M
-11.2%
1M
+47.8%
1W
+36.5%
IBE
IBEX Limited
Peer
5Y
+17.7%
3Y
+15.1%
1Y
+18.9%
6M
-23.4%
1M
-6.2%
1W
-0.8%

Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.

Historical Performance Trends

Long-term financial metrics and growth patterns

Revenue & Net Income

Profit & Operating Margins

Return on Equity (ROE)

Quarterly Revenue Growth

Historical data shows last 12 quarters (3 years)

Valuation Metrics

Key valuation ratios and pricing indicators

P/E Ratio
N/A
Forward P/E
25.45
PEG Ratio
4.93
P/B Ratio
-0.3
P/S Ratio
0.14
EV/Revenue
1.32
EV/EBITDA
15.23
Market Cap
$362.96M

Profitability

Profit margins and return metrics

Profit Margin -8.41%
Operating Margin -0.79%
Gross Margin 19.22%
ROE N/A
ROA -1.41%

Growth

Revenue and earnings growth rates

Revenue Growth -0.4%
Earnings Growth N/A
Q/Q Revenue Growth -0.41%
Q/Q Earnings Growth N/A

Financial Health

Balance sheet strength and liquidity metrics

Debt/Equity
N/A
Current Ratio
0.68
Weak
Quick Ratio
0.5
Poor
Cash/Share
$0.45

Financial Statement Flow

Interactive flow visualization showing how money moves through the company Q4 2025

Revenue
$0.7B
Gross Margin
17.6%
Op. Margin
-0.5%
Net Margin
-4.8%
Total Assets
$2.8B
Liabilities
$4.0B
Equity
$-1.2B
Debt/Equity
-3.30x
Operating CF
$0.1B
CapEx
$-0.0B
Free Cash Flow
$0.1B
FCF Yield
94%

Quarterly Earnings History

EPS performance vs analyst estimates

2026-05-07
$N/A
2026-02-26
$-0.01
+65.4% surprise
2025-11-06
$-0.05
+1.1% surprise
2025-08-07
$-0.06
-10.7% surprise

Technology Sector Comparison

Comparing RXT against 436 companies in the Technology sector (37 bullish, 154 neutral, 245 bearish)
Profit Margin
-8.41%
This Stock
vs
-13.06%
Sector Avg
-35.6% (Weaker)
Revenue Growth
-0.4%
This Stock
vs
5682.49%
Sector Avg
-100.0% (Slower)
Current Ratio
0.68
This Stock
vs
3.94
Sector Avg
-82.9% (Weaker)

Similar Companies

Peer comparison within the same industry

Recent Insider Trading

Insider buy and sell transactions from the last 6 months

SINHA DHARMENDRA KUMAR
Officer
Sell
2026-03-18
188,123 shares · $340,503
MARINO MARK A.
Chief Financial Officer
Sell
2026-03-18
14,058 shares · $25,445
SINHA DHARMENDRA KUMAR
Officer
Sell
2026-03-02
45,393 shares · $82,161
MARINO MARK A.
Chief Financial Officer
Sell
2026-03-02
20,183 shares · $36,531
TEAL-GUESS KELLIE
Officer
Sell
2026-03-02
21,266 shares · $38,491
MARINO MARK A.
Chief Financial Officer
Sell
2026-02-23
234,683 shares · $382,533
SINHA DHARMENDRA KUMAR
Officer
Sell
2025-12-01
59,322 shares · $59,915
TEAL-GUESS KELLIE
Officer
Sell
2025-12-01
18,301 shares · $18,484
SINHA DHARMENDRA KUMAR
Officer
Sell
2025-11-28
91,151 shares · $94,797
Insider transactions can signal confidence or concerns about company prospects

Wall Street Analysts

Professional analyst ratings and price targets

Consensus
NONE
3 analysts
RBC Capital
2026-02-27
Maintains
Sector Perform Sector Perform
RBC Capital
2025-11-10
Maintains
Sector Perform Sector Perform

Past News Coverage

Recent headlines mentioning RXT from our newsroom.

Newest → oldest
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