Professional
Added to YB: 2026-10-06
Pitch date: 2026-09-30
RXT [neutral]
Rackspace Technology, Inc.
-15.52%
current return
Author Info
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Company Info
Rackspace Technology, Inc. operates as a hybrid cloud and artificial intelligence solutions company in the United States, the United Kingdom, and internationally.
Market Cap
$994.0M
Pitch Price
$3.77
Price Target
N/A
Dividend
N/A
EV/EBITDA
12.27
P/E
-6.00
EV/Sales
1.55
Sector
IT Services
Category
growth
Pernas Research More Research Needed On: Rackspace Technology, Inc.
RXT (monitor): Rackspace is a distressed legacy cloud and managed-services provider whose shares have risen roughly 300% YTD as Palantir and AMD partnerships opened an enterprise AI opportunity. Management believes the AMD agreement’s estimated 30 MW of compute capacity could eventually add $450–600M of annual revenue at 50%+ EBITDA margins, but $2.8B of debt, substantial buildout capital and a $250M ATM create major financing and dilution uncertainty.
Read full article (1 min)