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Upturn AI SWOT - About
Rackspace Technology Inc (RXT)

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Upturn Advisory Summary
11/14/2025: RXT (1-star) is a SELL. SELL since 4 days. Simulated Profits (-16.31%). Updated daily EoD!
1 Year Target Price $1.55
1 Year Target Price $1.55
| 0 | Strong Buy |
| 1 | Buy |
| 4 | Hold |
| 1 | Sell |
| 0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -66.32% | Avg. Invested days 25 | Today’s Advisory SELL |
Upturn Star Rating ![]() | Upturn Advisory Performance | Stock Returns Performance |
Key Highlights
Company Size Small-Cap Stock | Market Capitalization 280.13M USD | Price to earnings Ratio - | 1Y Target Price 1.55 |
Price to earnings Ratio - | 1Y Target Price 1.55 | ||
Volume (30-day avg) 6 | Beta 2.11 | 52 Weeks Range 1.00 - 3.03 | Updated Date 11/16/2025 |
52 Weeks Range 1.00 - 3.03 | Updated Date 11/16/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -1.05 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date 2025-11-10 | When After Market | Estimate -0.05 | Actual -0.05 |
Profitability
Profit Margin -9.27% | Operating Margin (TTM) -3.16% |
Management Effectiveness
Return on Assets (TTM) -1.86% | Return on Equity (TTM) -352.76% |
Valuation
Trailing PE - | Forward PE 113.64 | Enterprise Value 3425695016 | Price to Sales(TTM) 0.1 |
Enterprise Value 3425695016 | Price to Sales(TTM) 0.1 | ||
Enterprise Value to Revenue 1.27 | Enterprise Value to EBITDA 16.08 | Shares Outstanding 243592120 | Shares Floating 105628851 |
Shares Outstanding 243592120 | Shares Floating 105628851 | ||
Percent Insiders 4.18 | Percent Institutions 78.03 |
Upturn AI SWOT
Rackspace Technology Inc
Company Overview
History and Background
Rackspace was founded in 1998. Initially a managed hosting provider, it evolved into a multi-cloud solutions expert. It went public in 2008, was taken private by Apollo Global Management in 2016, and then went public again in 2020 as Rackspace Technology (RXT).
Core Business Areas
- Multi-Cloud Services: Provides managed services across various cloud platforms, including AWS, Azure, and Google Cloud Platform.
- Application Services: Offers application modernization, development, and management services.
- Data Services: Focuses on data analytics, AI, and machine learning solutions.
- Security Services: Provides comprehensive security solutions for cloud and hybrid environments.
Leadership and Structure
The company is led by CEO Amar Maletira. The organizational structure includes distinct business units for each of its core service areas, supported by central functions such as finance, HR, and marketing.
Top Products and Market Share
Key Offerings
- Rackspace Managed Cloud: Offers managed services for AWS, Azure, and Google Cloud. Market share within the managed cloud services is fragmented, with no single dominant player. Competitors include Accenture, IBM, and smaller MSPs. No available numbers.
- Rackspace Application Services: Application modernization and management services. Competitors include TCS, Infosys, and Wipro. No available numbers.
- Rackspace Data Services: Provides data analytics and AI/ML solutions. Competitors include Amazon, Microsoft, and Google. No available numbers.
- Rackspace Security Services: Offers cloud security solutions. Competitors include CrowdStrike, Palo Alto Networks, and many MSPs. No available numbers.
Market Dynamics
Industry Overview
The cloud services market is experiencing significant growth, driven by digital transformation and the increasing adoption of cloud technologies. Managed services are in high demand as organizations seek expertise in navigating complex cloud environments.
Positioning
Rackspace positions itself as a multi-cloud solutions expert, providing vendor-agnostic services. It competes with larger consulting firms and smaller managed service providers.
Total Addressable Market (TAM)
The global managed cloud services market is expected to reach hundreds of billions of dollars. Rackspace's position in TAM is fragmented with a large number of other competitors with the large cloud providers eating into the market share.
Upturn SWOT Analysis
Strengths
- Multi-cloud expertise
- Vendor-agnostic approach
- Strong brand recognition (legacy)
- Broad service portfolio
Weaknesses
- Inconsistent Financial Performance
- High Debt Levels
- Negative EPS
- Limited Differentiation
Opportunities
- Growing demand for cloud services
- Expansion into new markets
- Strategic partnerships
- Increased focus on security
Threats
- Intense competition
- Economic downturn
- Rapid technological changes
- Data security breaches
Competitors and Market Share
Key Competitors
- IBM (IBM)
- Accenture (ACN)
- Tata Consultancy Services (TCS)
Competitive Landscape
Rackspace faces competition from large consulting firms, cloud providers themselves (AWS, Azure, GCP), and smaller MSPs. They need to differentiate on expertise and vendor-agnostic approach.
Growth Trajectory and Initiatives
Historical Growth: Revenue growth has been moderate. Challenges exist in profitability and earnings per share.
Future Projections: Future growth would need to be reviewed by a financial expert. Analyst estimates would need to be consulted and are not available here.
Recent Initiatives: Focus on cloud security and partnerships with major cloud providers.
Summary
Rackspace Technology operates in the competitive cloud managed services market. Rackspace needs to find a way to reach profitability and achieve sustainable growth. The debt on the company books needs to be addressed and needs to capitalize on its multi-cloud expertise. Recent focus on strategic partnerships and cloud security could be beneficial.
Similar Stocks
Sources and Disclaimers
Data Sources:
- Company Filings, Industry Reports, Market Research, SEC.gov
Disclaimers:
This analysis is for informational purposes only and does not constitute financial advice. Market data is subject to change. The AI rating is subjective and should be used with caution.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Rackspace Technology Inc
Exchange NASDAQ | Headquaters San Antonio, TX, United States | ||
IPO Launch date 2020-08-05 | CEO - | ||
Sector Technology | Industry Software - Infrastructure | Full time employees 5100 | Website https://www.rackspace.com |
Full time employees 5100 | Website https://www.rackspace.com | ||
Rackspace Technology, Inc. operates as a cloud and artificial intelligence solutions company in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. The company operates in two segments, Public Cloud and Private Cloud. It offers programmatic infrastructure, including hardware and services for compute, network, storage, and data protection services; cloud operating systems; platform-as-a-service; private cloud solutions; and private cloud services, such as managed services, professional services, elastic engineering services, and security services, as well as an email platform for customers and carriers. The company also provides cloud platform, which provides platform-related services comprising cloud strategy and architecture, platform and infrastructure migrations, and modern cloud infrastructure; cloud apps that build and manage applications within a cloud technology stack; cloud security that provides fully-integrated 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; and cloud data, which helps accelerate the adoption of modern data solutions enabling business transformation. Rackspace Technology, Inc. was founded in 1998 and is headquartered in San Antonio, Texas.

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