Rackspace Hosting Downgraded by Zacks to Underperform (RAX)
Rackspace Hosting (NYSE:RAX) was downgraded by Zacks from a “neutral” rating to an “underperform” rating in a research note issued to investors on Tuesday, AnalystRatings.Net reports. They currently have a $47.50 price objective on the stock. Zacks‘ target price indicates a potential downside of 4.08% from the stock’s previous close.
In other Rackspace Hosting news, COO Mark Roenigk sold 6,500 shares of Rackspace Hosting stock in a transaction that occurred on Tuesday, October 8th. The shares were sold at an average price of $48.02, for a total value of $312,130.00. Following the transaction, the chief operating officer now directly owns 47,440 shares of the company’s stock, valued at approximately $2,278,069. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.
Shares of Rackspace Hosting (NYSE:RAX) traded down 1.25% on Tuesday, hitting $48.90. 1,666,102 shares of the company’s stock traded hands. Rackspace Hosting has a 1-year low of $33.91 and a 1-year high of $81.36. The stock has a 50-day moving average of $49.80 and a 200-day moving average of $44.50. The company has a market cap of $6.794 billion and a P/E ratio of 66.11.
Rackspace Hosting (NYSE:RAX) last released its earnings data on Thursday, August 8th. The company reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.13 by $0.05. The company had revenue of $376.00 million for the quarter, compared to the consensus estimate of $372.27 million. During the same quarter in the previous year, the company posted $0.18 earnings per share. The company’s revenue for the quarter was up 17.9% on a year-over-year basis. On average, analysts predict that Rackspace Hosting will post $0.68 earnings per share for the current fiscal year.
RAX has been the subject of a number of other recent research reports. Analysts at RBC Capital raised their price target on shares of Rackspace Hosting from $40.00 to $46.00 in a research note to investors on Monday, August 12th. They now have a “sector perform” rating on the stock. Separately, analysts at FBN Securities raised their price target on shares of Rackspace Hosting from $35.00 to $42.00 in a research note to investors on Friday, August 9th. They now have an “underperform” rating on the stock. Finally, analysts at Evercore Partners raised their price target on shares of Rackspace Hosting from $45.00 to $51.00 in a research note to investors on Friday, August 9th. They now have an “equal weight” rating on the stock. Three equities research analysts have rated the stock with a sell rating, eight have given a hold rating and three have assigned a buy rating to the company’s stock. Rackspace Hosting presently has a consensus rating of “Hold” and a consensus price target of $55.58.
Rackspace Hosting, Inc, is the open cloud company. The Company offers a diverse portfolio of cloud computing services, including public, dedicated and private cloud, and hybrid hosting.
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