Rackspace Technology, Inc.

RXT is undervalued

NASDAQ · Technology

FAIR PRICE

37.8%upside

Updated daily

Model: DCF 50% · Relative 30% · Consensus 20%

$3.19

MARKET PRICE

$4.39

FAIR PRICE

$1.20

MARGIN

UNDERFAIROVER

COMMUNITY BUY ZONE

UNLOCKS AT 10

Where does the market buy RXT?

No one has priced RXT yet — be the first. Every investor sets the maximum price they'd still buy at; together that maps the community buy zone.

COMMUNITY MEDIAN

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BUYERS AT TODAY'S PRICE

▓▓ %

0/10 INVESTORS · 10 MORE TO UNLOCK

METRICS

P/E–
P/B–
P/S0.3
PEG–
DIV YIELD–
ROE–
ROIC-2.9%
DEBT/EQ–
MKT CAP$809M

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FPI RATING

2.7/ 10

Attractive valuation, but below-average fundamental quality and weak profitability margins.

Analytical data, not an investment recommendation. Updated daily.

How we calculate this ↗

MARGIN OF SAFETY

A 20% margin of safety below fair value — the conservative entry level for risk-aware investors.

$3.51CONSERVATIVE ENTRY
$4.39FAIR PRICE
$3.19MARKET PRICE

SAFETY MARGIN

20%

Below fair value

ENTRY LEVEL

$3.51

Fair price × 0.80

DISTANCE

10.3%

Price to entry level

At the current price of $3.19, RXT trades 10.3% below the conservative entry level of $3.51. The stock is currently priced below the 20% margin of safety threshold, indicating a potential value opportunity based on the model.

Margin of safety is a risk management concept, not an investment recommendation. The 20% threshold follows Benjamin Graham's value investing framework. Fair price and entry levels are model-based estimates updated daily. Learn more about Margin of Safety ↗

VALUATION HISTORY

SYNCING FEED ▌

P/E RATIO HISTORY

SYNCING FEED ▌

METHODOLOGY

How we calculate RXT's fair price

Rackspace Technology, Inc.'s fair price of $4.39 is derived from a blended model that combines DCF analysis (50%), relative valuation against Technology peers using metrics like P/E and EV/EBITDA (30%), and analyst consensus (20%). At the current market price of $3.19, RXT trades 37.8% below its calculated fair value.

DCF MODEL · 50%

Discounted free cash flow analysis based on projected cash flows, discounted at a rate reflecting RXT's risk profile.

RELATIVE · 30%

Comparing RXT's valuation multiples against Technology peers to determine if the stock is over or undervalued relative to its industry.

ANALYST · 20%

Aggregated analyst price targets for RXT, weighted by recency and analyst accuracy.

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FAQ

What is the fair price of RXT?+

Based on our blended model combining DCF analysis (50%), relative valuation against Technology peers (30%), and analyst consensus (20%), the fair price for Rackspace Technology, Inc. is $4.39. At the current market price of $3.19, RXT trades 37.8% below its calculated fair value.

Is RXT overvalued or undervalued?+

Rackspace Technology, Inc. is currently undervalued based on our valuation model. The stock trades at $3.19, which is 37.8% below the fair price of $4.39.

What is the margin of safety for RXT?+

With a 20% margin of safety applied to the fair price of $4.39, the conservative entry level for RXT is $3.51. At the current market price of $3.19, the stock trades 10.3% below this entry level. Margin of safety is a risk management concept from Benjamin Graham's value investing framework, not an investment recommendation.

How often is RXT's fair price updated?+

We update fair price calculations for RXT daily after market close. The current fair price of $4.39 incorporates the latest market data and sector multiples.

What factors affect RXT's fair price calculation?+

RXT's fair price of $4.39 is derived from DCF analysis (50% weight), relative valuation against Technology peers (30% weight), and analyst consensus (20% weight)..

Is RXT a good buy right now?+

At $3.19, RXT trades 37.8% below our fair value estimate of $4.39. The stock is currently undervalued. Fair Price Index provides valuation data — always do your own research before investing.

Does RXT pay dividends?+

RXT does not currently pay a dividend.

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Fair Price Index is for informational purposes only and does not constitute investment advice. Fair value calculations are model-based estimates and may not reflect actual market conditions. Always conduct your own research before making investment decisions.