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RXRXT

Rackspace Technology, Inc.

$RXT·$1.3B·Software - Infrastructure·Technology
$4.21-5.4%YTD+4184.1%1Y+180.7%
Mentions · last 7 days
2026-07-09: 312 posts2026-07-10: 1,054 posts2026-07-11: 65 posts2026-07-12: 113 posts2026-07-13: 201 posts2026-07-14: 123 posts2026-07-15: 163 posts2,039+2%
Price updated 5h ago·X counts updated 1d ago
RXRXT
$RXTRackspace Technology, Inc.
$4.21-5.39%2.0k posts+2%
AI analysisFundamentalsVoices on X
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AI verdict & sentimentAI analysisGenerated by AI from underlying data

Top X posts

Today's AI verdict on what's driving $RXT, plus how loud the X conversation is and which way it's leaning.

AI analysis

TickerTalks’ read on the fundamentals and what’s driving the move.

Broken storySelling offAI verdict · as of 2026-07-16

Falling on heavy selling — points lower unless it turns around.

Guide cut + $250M ATM equity raise + fraud investigations = -30% single day, and the AMD deal isn't enough to reverse it.

Rackspace Technology is the managed multi-cloud provider whose stock had its worst day ever (~-30%) on a fresh FY26 revenue guide cut ($2.45-$2.55B from $2.6-$2.7B) plus a $250M ATM equity program via Goldman Sachs. The AMD 30MW deal doesn't reset the frame.

  • The core business is cash-negative with fresh dilution stacking: Q1 2026 revenue grew 1.9% YoY to $678M, gross margin held at 13%, but operating margin was -1.3% and Q1 FCF was -$9M — combined with the $250M ATM and June $75-85M workforce charge, the equity story is dilution + burn without visible acceleration.
  • The AMD Instinct GPU-as-a-Service deal is real product but not fast money: the June 16 partnership commits Rackspace to 30MW of exclusive AMD capacity through 2028 — strategic pivot toward enterprise-AI, but revenue economics don't hit meaningfully in FY26 or FY27, so the ATM funds buildout ahead of payoff.
  • Securities-fraud investigations are proceeding: three law firms announced fraud investigations following the guide cut — a real tape-level overhang, and Apollo (the sponsor) has publicly reaffirmed support, which is standard sponsor playbook after a rug-pull.

The August 6 Q2 earnings are the near-term arbiter — Q2 revenue against the $660M implied guide, AMD/Palantir Foundry customer revenue attribution, and updated FY26 EPS guidance extend the setup. Continued dilution + weak AI-revenue attribution confirms the 'zombieco-with-slideware' bear framing.

Agrees with X sentimentX is genuinely split — bulls call $4.50-5.00 a base and cite AMD/PLTR/Rubrik partners plus 25+ years of datacenter capacity; bears frame the ATM-plus-guide-cut as 'zombieco-with-slideware' rug-pull. My broken-story call sides with the bears on mechanics: FY26 revenue guide cut, $250M ATM printing, workforce realignment charge, and three separate fraud investigations announced — the AMD deal is real but doesn't reset the equity thesis, and the sponsor-reaffirmation (Apollo) reads as post-rug-pull playbook.

What to watch: The August 6 Q2 earnings. Watch Q2 revenue vs the $660M implied guide, AMD/Palantir Foundry customer revenue attribution, and any updated FY26 EPS guidance. Continued dilution + weak AI-revenue attribution confirms the 'zombieco-with-slideware' framing and drops the tape below $4.

On the calendar: 2026-08-06 — Q2 earnings

beta missing

X sentiment

What the X crowd is saying right now — descriptive, summarised from the day’s posts.

Mixed sentiment⚠37 posts analyzed · as of 2026-07-15 · top-engagement diverged

Rackspace is at the center of a real controversy. RXT printed its worst day ever, down ~30%, on a cut in FY26 revenue guidance ($2.45-2.55B from $2.6-2.7B) and a $250M raise to fund AI buildout - shareholders describe it as an 'AT-M plus guide cut' rug-pull. Yet the same day RXT announced definitive AMD 30MW AI compute deal and a Palantir Foundry framework partnership for regulated enterprise AI. Apollo Global Management publicly reaffirmed support. Bulls call the $4.50-5.00 base a gift and cite best-of-breed 2026 partners AMD/PLTR/Rubrik/Uniphore/VMware plus 25+ years of data-center capacity. Bears use the 'zombieco-with-slideware' framing and warn margin-call risk. Genuinely split.

Read the AI verdict + X sentiment for $RXT

  • One-line verdict on what's driving the move — fundamentals, momentum, both, or an event
  • Next dated catalyst when there is one (earnings, deal closing, activist clock)
  • X crowd read with bullish/bearish call + post volume
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What it does

Plain-English summary of the business — what they sell and how they make money.

Managed multicloud services company helping enterprises migrate to and optimize workloads across AWS, Azure, and GCP.

Industry overviewAI analysisGenerated by AI from underlying data

Where Software - Infrastructure sits in its cycle right now — and what that implies for $RXT.

Software - Infrastructure · Technology

No material change from last week — Enterprise software infrastructure is in a multiple compression phase (-16.

What this means for $RXT

Neutral — Managed multicloud services company helping enterprises migrate to and optimize workloads across AWS, Azure, and GCP; limited exposure means the cloud-native adoption and AI security spend despite multiple compression is not a near-term catalyst or headwind.

Top industry ETF

$IGViShares Expanded Tech-Software Sector ETF
-12.0%YTD
-14.7%1Y

Fundamentals & catalyst

Profitability, valuation, and the next earnings event — at a glance, with rule-of-thumb signals.

Key ratios

P/E
-7.9How much investors are paying per dollar of profit the company actually earned in the last 12 months. Lower means the stock looks cheaper relative to earnings.~15–25 is typical for the S&P 500; high-growth names trade 30+; hyper-growth or speculative can be 100+ or negative.
ROIC
-2.4%What percentage return the business earns on every dollar of capital (equity + debt) deployed in operations. The cleanest measure of business quality.Above ~15% is high-quality; consistently above 25% suggests a real moat. Below the company's cost of capital is value-destroying.
Op margin
-1.9%Operating profit (after sales, marketing, R&D, and overhead but before interest and taxes) as a percentage of revenue. The clearest view of how well the underlying business is run.Mature business above 20% is healthy; software businesses can run 30%+; commodity / retail businesses operate in single digits.
FCF yield
6.6%Free cash flow (operating cash flow minus capex) divided by the company's market cap. The cash-on-cash return you'd get owning the whole business at today's price.Above ~5% is attractive; below ~2% means you're paying up for growth. Capital-light businesses (software) run higher than capital-heavy ones (utilities).
P/S
0.4Same idea as P/E but per dollar of revenue. Useful for companies that aren't profitable yet, where P/E is meaningless.Under ~2 is cheap; software / SaaS often runs 8–15; well above 20 implies the market is pricing in very high future growth.
ROE
12.3%Net income as a percentage of shareholders' equity. Similar to ROIC but counts only the equity side.Above 20% is strong, but can be inflated by leverage — a heavily indebted company can show high ROE with weak underlying ROIC.
Gross margin
12.5%Revenue minus the direct cost of producing what was sold, as a percentage of revenue. The first read on whether the product is structurally profitable.Software / SaaS is typically 70%+; consumer goods 30–50%; commodity / hardware businesses can be under 20%.
D/E
-2.7Total debt divided by shareholders' equity. Measures how much the business runs on borrowed money versus owner capital.Under 1 is conservative; 1–2 is typical for mature businesses; over 2 is leveraged and more sensitive to interest rates.

Past earnings

QuarterReportedActualEstimateSurprise
Q1 2026May 7, 2026$-0.06$-0.03-86.5%
Q4 2025Feb 26, 2026$-0.01$-0.04+72.2%
Q3 2025Nov 6, 2025$-0.05$-0.03-73.1%
Q2 2025Aug 7, 2025$-0.06$-0.05-20.0%
Next earningsThu, Aug 6·consensus EPS $-0.09

Quarterly trend

QuarterRevenueYoYGrossOpEPSFCF
Q1 FY26$678.1M+1.9%12.9%-1.3%$0.03$-9.4M
Q4 FY25$682.8M-0.4%9.5%0.2%$-0.13$56.0M
Q3 FY25$671.2M-0.7%13.8%-3.6%$-0.28$42.7M
Q2 FY25$666.3M-2.7%13.7%-3.1%$-0.23$-12.4M

Forward consensus

3-year forecast · up to 3 analysts
FYRevenueRangeEPSRangeAnalysts
FY26$2.7B$2.6B – $2.7B-$0.16-$0.18 – -$0.132
FY27$2.7B$2.6B – $2.8B$0.05-$0.06 – $0.153
FY28$2.9B$2.9B – $2.9B$0.25$0.25 – $0.251

Setup & momentum

Volume, range, and moving-average position — the technical setup driving short-term moves.

Right now

Vol vs 30dToday's traded share volume divided by the average over the prior 30 trading days. ≥3× signals unusual interest; below 1× is quiet.0.8×Today's traded share volume divided by the average over the prior 30 trading days. ≥3× signals unusual interest; below 1× is quiet.
52w rangeWhere the latest close sits between the 52-week low (0%) and high (100%). Above 80% is extended; below 30% is basing or in a downtrend.47%Where the latest close sits between the 52-week low (0%) and high (100%). Above 80% is extended; below 30% is basing or in a downtrend.
vs 50d MALatest close vs the 50-day simple moving average. Positive = short-term trend is up.-22.1%Latest close vs the 50-day simple moving average. Positive = short-term trend is up.
vs 200d MALatest close vs the 200-day simple moving average. Positive = long-term trend is up.+83.5%Latest close vs the 200-day simple moving average. Positive = long-term trend is up.

Float & profile

FloatMid float · 76.9M shFree-float shares — the slice of issued stock actually available to trade. Lower buckets squeeze harder on a catalyst.Traded today21.7% of floatToday's volume as a percent of the free float. Above 5% on a single day is unusually high turnover for the available share count.β3.005-year weekly beta vs the S&P 500. Above 1.5 means the stock typically moves more than the index; below 0.8 moves less.FilingActive offeringA shelf registration (S-3 / S-3ASR / S-1) or prospectus supplement (424B*) was filed in the last 90 days — the company is registered to (or actively) issuing new shares. Dilution risk.

Insider activity

Recent open-market buys and sells by officers and directors — flagged when multiple insiders cluster.

Recent transactions

SellJun 4Sinha Dharmendra KumarPresident48.1K sh$267KSellJun 4Mark A. MarinoCFO48.1K sh$267KSellJun 4Kellie Teal-guessChief Human Resources Officer34.0K sh$189KSellMay 18Kellie Teal-guessChief Human Resources Officer113.2K sh$580KSellMar 18Sinha Dharmendra KumarPresident188.1K sh$341KSellMar 18Mark A. MarinoCFO14.1K sh$25KSellMar 2Sinha Dharmendra KumarPresident45.4K sh$82KSellMar 2Kellie Teal-guessChief Human Resources Officer21.3K sh$38KSellMar 2Mark A. MarinoCFO20.2K sh$37KSellFeb 23Mark A. MarinoCFO234.7K sh$383K
+ 10 other (8 awards · 2 inkinds) in window

See when $RXT insiders are putting their own money in

  • Real-time open-market buys and sells from Form 4 filings
  • Cluster-buy detection when multiple insiders pile in at once
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SEC filings

Material 8-K, 13D, S-3, and 424B5 events from the last 180 days — the filings that actually move the price.

Recent material filings

424B5Prospectus supplement (offering)Jul 9424B5
AI summary

Rackspace Technology (RXT) — 424B5 explanatory-note filing for an at-the-market equity offering of up to $250 million via Goldman Sachs as sales agent at a 1.5% commission rate. This is the explanatory note version filed alongside the final prospectus. Material — $250M ATM program gives Rackspace on-demand equity access; 1.5% commission is market-standard for ATMs.

8-KMaterial agreementJul 98-K — Item 1.01: Material agreement · Item 2.02: Earnings release · Item 2.03: Material debt obligation · Item 8.01: Other event
AI summary

Rackspace Technology (RXT) — 8-K (Items 1.01, 2.02, 2.03, 8.01) filed July 2, 2026, covering multiple events: a material definitive agreement, earnings results, a new financial obligation, and other events. Multi-item filing suggests significant concurrent corporate activity. Material — combination of new contract, debt, and earnings in a single filing; refer to the full 8-K for each item's specifics.

424B5Prospectus supplement (offering)Jul 9424B5
AI summary

Rackspace Technology (RXT) — 424B5 final prospectus supplement for an at-the-market equity program of up to $250 million via Goldman Sachs as sales agent at a 1.5% commission. Shares will be sold from time to time at prevailing market prices. Material — confirms Rackspace's $250M ATM facility is active; no fixed pricing as shares sell into the market continuously.

S-3ASRAuto-shelf registrationJul 9S-3ASR
AI summary

Rackspace Technology (RXT) — S-3ASR automatic shelf registration filed July 9, 2026, enabling Rackspace to offer and sell securities on an expedited basis. Filed in connection with the concurrent $250M ATM equity program via Goldman Sachs. Administrative — enabling shelf for Rackspace's ATM and future capital raises.

3New insider — initial holdingsJun 263
AI summary

Michael Weston, associated with Apollo Management, L.P., filed a Form 3 as a newly appointed director of Rackspace Technology, Inc. (RXT) with an event date of June 18, 2026. No securities are directly beneficially owned by Mr. Weston; the filing explicitly disclaims beneficial ownership of any Apollo-affiliated RXT holdings. This is a routine insider registration reflecting Apollo's board-level representation at Rackspace — administrative, no investment activity.

8-KShareholder voteJun 188-K — Item 5.07: Shareholder vote
AI summary

Delaware 001-39420 81-3369925 disclosed voting results from its annual or special meeting. Technology, Inc. (the "Company") held its annual meeting of stockholders (the "2026 Annual Meeting"). The close of business on April 21, 2026 was previously established as the record date for the determination of stockholders entitled to notice of and to vote at the 2026 Annual Meeting (the "Record Date"). As of the Record Date, there were 249,222,499 shares of common stock of the Company outstand...

8-KPress release / Reg FDJun 168-K — Item 7.01: Press release / Reg FD · Item 8.01: Other event
AI summary

Rackspace Technology, Inc. (RXT) and Advanced Micro Devices (AMD) announced a definitive GPU-as-a-Service Agreement on June 16, 2026 for phased deployment of AMD Instinct GPUs (MI355X, MI350P, future successors) and EPYC CPUs across Rackspace's global data centers. Rackspace committed to an initial 30 MW of data center capacity exclusively for AMD Products, with deployment beginning in late 2026 and full 30 MW buildout through 2028; financial terms not disclosed. Strategically transformative partnership positioning Rackspace as a major operator for AMD-based enterprise AI infrastructure, amplifying the concurrent workforce realignment toward AI services.

8-KOfficer or director changeApr 38-K — Item 5.02: Officer or director change
AI summary

RXT disclosed a personnel change (8-K Item 5.02, dated 2026-04-03). An executive departure and a new appointment are both reported. Personnel changes are generally administrative; materiality depends on seniority and circumstances.

+ 12 other (3 13Gs · 2 earnings 8-Ks · 2 proxys · 1 S-8) in window

Recent news

Latest headlines from major outlets, sourced and timestamped — context for whatever just moved.

Rackspace Technology Receives the Defence Employer Recognition Scheme Gold Awardglobenewswire.com·2d agoRackspace Technology Recognized as a Leader in Two Categories of 2026 ISG Provider Lens®, Private/Hybrid Cloud — Data Center Services Reportglobenewswire.com·3d agoSecurities Fraud Investigation Into Rackspace Technology, Inc. (RXT) Announced -- Shareholders Who Lost Money Urged to Contact Glancy Prongay Wolke & Rotter LLP, a Leading Securities Fraud Law Firmgurufocus.com·3d agoSecurities Fraud Investigation Into Rackspace Technology, Inc. (RXT) Announced – Shareholders Who Lost Money Urged to Contact Glancy Prongay Wolke & Rotter LLP, a Leading Securities Fraud Law Firmbusinesswire.com·4d agoRackspace Technology, Inc. (RXT) Shareholders Who Lost Money -- Contact Law Offices of Howard G. Smith About Securities Fraud Investigationgurufocus.com·4d ago

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