Rackspace Technology, Inc. RXT R2K
Rackspace Technology, Inc. operates as a hybrid cloud and artificial intelligence solutions company in the United States, the United Kingdom, and internationally. It operates through two segments, Public Cloud and Private Cloud. The company offers programmatic infrastructure, including hardware and services for datacenter compute, network, storage, and data protection; cloud operating systems; platform-as-a-service; private cloud solutions; and private cloud services, such as managed, professional, elastic engineering, and security services, as well as an email platform for customers and carriers. It also provides a cloud platform that offers platform-related services, including cloud strategy and architecture, platform and infrastructure migrations, and modern cloud infrastructure; cloud apps that build and manage applications within a cloud technology stack; and cloud data, which helps accelerate the adoption of modern data solutions enabling business transformation. In addition, the company offers cloud security that provides security solutions in security threat assessment and prevention; proactive threat detection and response; rapid remediation; governance, risk, and compliance assistance across multiple cloud platforms; and privacy and data protection services, including detailed access restrictions and reporting. Further, it provides Rackspace AI, a portfolio of AI services and solutions to help organizations scale AI, as well as multi-cloud strategy, data and application modernization, cloud adoption, cloud-native enablement, SaaS lifecycle management, and data management services. The company serves the financial services, government, healthcare, manufacturing, non-profit, education, SaaS and ISV, consumer goods, oil and gas, and other industries. The company was formerly known as Rackspace Corp. and changed its name to Rackspace Technology, Inc. in June 2020. Rackspace Technology, Inc. was founded in 1998 and is headquartered in San Antonio, Texas.
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Valuation
Profitability & Returns
Balance Sheet & Liquidity
Ownership
Financial Snapshot
Growth (CAGR)
PROS
- Profit CAGR of 24.0% over 5 years.
- Generates positive free cash flow.
- In a confirmed uptrend (50-DMA above 200-DMA).
CONS
- Revenue declined at -4.9% CAGR over 5 years.
- Trading 29.1% below its 52-week high.
* The pros and cons are auto-generated from financial metrics.
Price Chart
Technical Trend
Computed from daily close history using EMA cross, slope, and RSI signals.
Note: intraday data is not stored locally. “Hourly” uses the most recent 10 daily candles as a short-term proxy.
Fundamental Growth
No fundamental data available for this stock.
Figures from the latest reported periods. CAGR is computed across the displayed window (quarterly CAGR is annualised assuming 4 quarters per year).
Peer comparison
Peer companies in the same sector (Technology).
| # | Name | CMP $ | P/E | Mkt Cap | Div Yld % | ROCE % | ROE % | Rev CAGR 5Y % | Profit CAGR 5Y % |
|---|---|---|---|---|---|---|---|---|---|
| 1 | RXT Rackspace Technology, Inc. R2K | 5.17 | - | $1.29B | - | -5.86% | - | -4.90% | 23.98% |
| 2 | NVDA NVIDIA Corporation NDXSPXAI | 211.14 | 32.38 | $5.11T | 0.47% | 81.14% | 114.29% | 100.05% | 201.80% |
| 3 | AAPL Apple Inc. NDXSPX | 312.06 | 37.73 | $4.58T | 0.35% | 68.72% | 141.47% | 1.81% | 3.92% |
| 4 | MSFT Microsoft Corporation NDXSPXAI | 450.24 | 26.82 | $3.34T | 0.81% | 26.37% | 34.01% | 12.42% | 11.87% |
| 5 | TSM Taiwan Semiconductor Manufacturing Company Limited AI | 418.45 | 35.86 | $2.17T | 0.91% | 32.04% | 36.21% | 18.94% | 19.57% |
| 6 | MU Micron Technology, Inc. NDXSPXAI | 971.00 | 45.87 | $1.10T | 0.06% | 14.20% | 39.82% | 6.71% | -0.57% |
| 7 | AMD Advanced Micro Devices, Inc. NDXSPXAI | 516.10 | 172.61 | $841.55B | - | 6.33% | 8.06% | 13.64% | 48.64% |
| 8 | ORCL Oracle Corporation SPXAI | 225.78 | 40.46 | $649.35B | 0.89% | 13.07% | 57.57% | 10.59% | 22.81% |
| 9 | ASML ASML Holding N.V. NDXAI | 1,612.76 | 53.76 | $621.59B | 0.54% | 43.81% | 52.24% | 15.55% | 19.55% |
Quarterly Results
Figures in USD.
| Metric | Jun 2019 | Sep 2019 | Mar 2020 | Jun 2020 | Sep 2020 | Mar 2021 | Jun 2021 | Sep 2021 | Mar 2022 | Jun 2022 | Sep 2022 | Mar 2023 | Jun 2023 | Sep 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 602.40M | 601.70M | 652.70M | 656.50M | 681.70M | 725.90M | 743.80M | 762.50M | 775.50M | 772.20M | 787.60M | 758.70M | 746.30M | 732.40M | 690.80M | 684.90M | - | - | 665.40M | 666.30M | 671.20M | 682.80M | 678.10M |
| Cost of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 538.50M | 537.10M | 541.30M | 562.40M | 559.00M |
| Gross Profit | 252.10M | 253.80M | 249.30M | 241.90M | 245.80M | 235.30M | 235.50M | 231.70M | 226.00M | 224.00M | 207.10M | 169.60M | 153.10M | 152.00M | 132.80M | 131.40M | - | - | 126.90M | 129.20M | 129.90M | 120.40M | 119.10M |
| Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 165.30M | 154.30M | 163.80M | 123.70M | 136.90M |
| Operating Income | 25.60M | 32.10M | 21.50M | 22.70M | -14.70M | 24.20M | 2.90M | -2.90M | 20.90M | 4.00M | -476.70M | -581.00M | -63.80M | -239.40M | -652.80M | -53.80M | - | - | -38.40M | -25.10M | -33.90M | -3.30M | -17.80M |
| EBITDA | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 30.00M | 46.40M | 85.80M | 81.30M | 106.20M |
| Interest Expense | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 19.40M | 21.30M | 21.20M | 20.80M | 26.20M |
| Pretax Income | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | -63.30M | -49.90M | -59.00M | -29.60M | 8.20M |
| Tax Provision | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 8.20M | 4.60M | 8.10M | 3.10M | -100.00K |
| Net Income | 62.50M | -60.50M | -48.20M | -32.60M | -101.20M | -64.00M | -36.60M | -34.80M | -38.50M | -40.60M | -511.70M | -612.00M | -27.20M | -226.60M | -640.60M | 25.00M | - | - | -71.50M | -54.50M | -67.10M | -32.70M | 8.30M |
| Diluted EPS | 0.38 | - | - | -0.20 | -0.54 | -0.31 | -0.18 | -0.17 | -0.18 | -0.19 | -2.43 | -2.87 | -0.13 | -1.05 | -2.91 | 0.11 | - | - | -0.31 | -0.23 | -0.28 | -0.13 | 0.03 |
Profit & Loss (Annual)
Figures in USD.
| Metric | Dec 2018 | Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 2.45B | 2.44B | 2.71B | - | 3.12B | 2.96B | 2.74B | 2.69B |
| Cost of Revenue | - | - | - | - | 2.27B | 2.33B | 2.20B | 2.18B |
| Gross Profit | 1.01B | 1.01B | 984.40M | - | 856.90M | 628.80M | 533.40M | 506.40M |
| Operating Expenses | - | - | - | - | 855.30M | 767.20M | 707.60M | 607.10M |
| Operating Income | -237.20M | 101.60M | 24.70M | - | 1.60M | -138.40M | -174.20M | -100.70M |
| EBITDA | - | - | - | - | -241.70M | -189.90M | -420.50M | 243.50M |
| Interest Expense | - | - | - | - | 208.50M | 221.60M | 98.00M | 82.70M |
| Pretax Income | - | - | - | - | -897.70M | -854.40M | -881.50M | -201.80M |
| Tax Provision | - | - | - | - | -92.90M | -16.60M | -23.30M | 24.00M |
| Net Income | -470.60M | -102.30M | -245.80M | - | -804.80M | -837.80M | -858.20M | -225.80M |
| Diluted EPS | - | -0.62 | -1.37 | - | -3.81 | -3.89 | -3.84 | -0.95 |
| R&D Expense | 74.70M | 56.00M | 36.70M | 28.30M | 24.50M | 43.70M | 45.40M | 39.10M |
Compounded Sales Growth
| 5 Years: | -4.90% |
| 1 Year: | 1.90% |
Compounded Profit Growth
| 5 Years: | 23.98% |
| 1 Year: | - |
Stock Price Performance
| 1 Year: | +353.51% |
| 6 Months: | +397.12% |
| 3 Months: | +165.13% |
| 1 Month: | +251.70% |
Balance Sheet (Annual)
Figures in USD.
| Metric | Dec 2017 | Dec 2018 | Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|---|---|---|---|
| Total Assets | - | - | 6.27B | 6.38B | - | 5.46B | 4.10B | 3.05B | 2.80B |
| Current Assets | - | - | - | - | - | 1.07B | 738.10M | 618.80M | 517.80M |
| Cash & Equivalents | - | 254.30M | 83.80M | 104.70M | - | 228.40M | 196.80M | 144.00M | 105.80M |
| Inventory | - | - | - | - | - | - | - | - | - |
| Receivables | - | - | - | - | - | 622.20M | 339.70M | 298.80M | 266.50M |
| Total Liabilities | - | - | 5.37B | 4.99B | - | 4.83B | 4.25B | 4.06B | 4.02B |
| Current Liabilities | - | - | 671.90M | 742.20M | - | 856.50M | 799.50M | 766.60M | 766.70M |
| Long Term Debt | - | - | 3.84B | 3.32B | - | 3.30B | 2.84B | 2.76B | 2.72B |
| Total Debt | - | - | - | - | - | 3.85B | 3.38B | 3.28B | 3.24B |
| Total Equity | 1.37B | 907.80M | 898.80M | 1.38B | - | 629.50M | -154.50M | -1.00B | -1.22B |
| Shares Outstanding | - | - | - | - | - | 211.20M | 220.50M | 232.20M | 248.40M |
Cash Flows (Annual)
Figures in USD.
| Metric | Dec 2018 | Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 429.80M | 292.90M | 116.70M | - | 246.70M | 374.90M | 39.90M | 151.40M |
| Investing Cash Flow | -348.30M | -386.50M | -128.40M | - | -97.90M | -96.00M | -86.60M | -58.40M |
| Financing Cash Flow | -53.70M | -79.20M | 29.90M | - | -187.00M | -312.80M | -3.00M | -134.60M |
| Capital Expenditure | -294.30M | -198.00M | -116.50M | - | -80.40M | -96.90M | -111.10M | -60.80M |
| Free Cash Flow | 135.50M | 94.90M | 200.00K | - | 166.30M | 278.00M | -71.20M | 90.60M |
| Net Change in Cash | - | - | - | - | -38.20M | -33.90M | -49.70M | -41.60M |
| Share Buybacks | 0 | 2.20M | 0 | 0 | 31.00M | 0 | 0 | - |
Ratios (Annual)
Figures in %.
| Metric | Dec 2018 | Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin % | 41.1% | 41.5% | 36.4% | - | 27.4% | 21.3% | 19.5% | 18.9% |
| Operating Margin % | -9.7% | 4.2% | 0.9% | - | 0.1% | -4.7% | -6.4% | -3.7% |
| Net Margin % | -19.2% | -4.2% | -9.1% | - | -25.8% | -28.3% | -31.4% | -8.4% |
| ROE % | -51.8% | -11.4% | -17.8% | - | -127.8% | 542.3% | 85.5% | 18.5% |
| ROCE % | - | 1.8% | 0.4% | - | 0.0% | -4.2% | -7.6% | -5.0% |
Shareholding Pattern
Top Institutional Holders
| # | Holder | % Held | Shares | Value |
|---|---|---|---|---|
| 1 | Apollo Management Holdings, L.P. | 52.01% | 129.61M | $670.08M |
| 2 | Blackrock Inc. | 3.02% | 7.53M | $38.92M |
| 3 | Vanguard Capital Management LLC | 1.85% | 4.62M | $23.87M |
| 4 | AQR Capital Management, LLC | 1.82% | 4.54M | $23.46M |
| 5 | Janus Henderson Group PLC | 1.18% | 2.94M | $15.19M |
| 6 | Vanguard Portfolio Management LLC | 1.02% | 2.54M | $13.12M |
| 7 | Geode Capital Management, LLC | 0.99% | 2.45M | $12.69M |
| 8 | Renaissance Technologies, LLC | 0.82% | 2.04M | $10.56M |
| 9 | Jane Street Group, LLC | 0.81% | 2.02M | $10.43M |
| 10 | State Street Corporation | 0.75% | 1.86M | $9.63M |
Analyst View
Analyst aggregate. Targets and ratings update periodically; not investment advice.
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