Rackspace Technology, Inc. (RXT)

Over the past six months, Rackspace Technology's stock price has experienced a significant decline. As of November 21, 2025, the share price was $1.06, a 60.63% decrease from $2.68 on November 25, 2024. Key events impacting the stock include Q1 2025 earnings exceeding expectations, with revenue at the high end of guidance and the launch of Cyber Recovery Cloud. Q2 2025 earnings saw GAAP revenue surpass expectations, though non-GAAP EPS missed estimates. The company launched the Rackspace Cloud Management Platform. Q3 2025 revenue was slightly below analyst estimates, but net loss improved significantly. Rackspace Technology appointed Lata Varghese and Phani Kishore Burre to senior leadership roles. The company unveiled its AI Launchpad Service and introduced a private cloud platform to support enterprises in managing AI workloads.

Rackspace Technology's demand for products and services can be influenced by seasonality, as indicated by the Q1 2025 earnings call, which suggested a sequential decline in Q2 2025 revenue partly attributed to seasonality.

Rackspace Technology, Inc. (RXT) is an American cloud computing company providing end-to-end hybrid, multi-cloud, and AI solutions, operating in the Technology sector. Rackspace designs, builds, and operates its customers' cloud environments across various technology platforms. Its major products and services include managed services for public cloud platforms, private cloud solutions, and professional services for architecture design, DevOps automation, managed security, data analytics, and database administration. Recent product introductions include the Rackspace AI Business platform and the Rackspace Cloud Management Platform.

Rackspace Technology has a global presence, serving customers in North America, Europe, the Middle East, Africa, the Asia Pacific, and Japan. The company maintains offices in various locations including San Antonio, Texas (headquarters), Reston, Virginia, Australia, Canada, the United Kingdom, India, Dubai, Switzerland, the Netherlands, Germany, Singapore, Mexico, Toronto, and Hong Kong. Its data centers are strategically located in Amsterdam, Virginia, Chicago, Dallas, London, Frankfurt, Hong Kong, Kansas City, New York City, San Jose, Shanghai, Queenstown, and Sydney.

Rackspace Technology has focused on strategic initiatives that could positively impact its brand reputation, particularly in the areas of hybrid cloud and AI. The company has been actively launching new AI-focused services and platforms, positioning itself as an AI solutions provider. Rackspace emphasizes its "Fanatical Experience" promise. However, the company has faced financial challenges, including a revenue decline and net losses in 2024 and 2025, which could put pressure on its reputation for financial stability.

Rackspace Technology's ownership structure is primarily institutional, with approximately 69.02% of the stock held by institutional shareholders, 20.54% by insiders, and 10.44% by retail investors. Major institutional owners include Apollo Management Holdings, L.P., Vanguard Group Inc, and BlackRock, Inc. Abry Partners LLC is identified as the largest individual Rackspace Technology shareholder.