NASDAQ
RXT
Last Price
US $4.65
KEY FIGURES
MKT CAP
$1.2B
EPS
TTM
$-0.59
PEG
TTM
-
P/E
TTM
N/M
P/S
TTM
0.42x
YIELD
0.00%
GROWTH
Revenue Y/Y
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Rackspace Technology, Inc. cash flow to debt ratio of 4.61% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
Rackspace Technology, Inc.'s free cash flow has increased -227.25% from $-71.20M last year to $90.60M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Rackspace Technology, Inc.'s debt to equity ratio is -2.65, signaling that the company spent its equity and risk bankruptcy.
Financial risk - Healthy debt to equity ratio development.
Rackspace Technology, Inc.'s debt to equity ratio is -2.65, signaling that the company spent its equity and risk bankruptcy.
Financial risk - Net debt/EBITDA.
Rackspace Technology, Inc. has a net debt to EBITDA ratio of 11.02x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial risk - ICR.
Rackspace Technology, Inc.'s interest coverage ratio is -0.41, which means that the company struggles to meet interest obligations, signaling financial risk.
Financial stability - Profit margin growth.
Rackspace Technology, Inc.'s profit margin has increased (-82.74%) in the last year from -31.35% to -5.41%, signaling increasing performance
Financial risk - Short term assets vs short term liabilities.
Rackspace Technology, Inc.'s short-term liabilities of $766.70M exceed its short-term assets of $517.80M, signaling financial risk
Decreasing performance - ROA.
Rackspace Technology, Inc.'s return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
Rackspace Technology, Inc.'s return on equity of 12.31%, is lower than 15.00%, indicating bad performance
Decreasing performance - Earnings quality.
Rackspace Technology, Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation
Decreasing performance - Earnings stability.
Rackspace Technology, Inc. had positive net income in only 0.00 out of 5 years, indicating unstable earnings
Increasing performance - Free cash flow.
Rackspace Technology, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Rackspace Technology, Inc. has a free cash flow yield of 7.82%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Rackspace Technology, Inc.'s yearly earnings has increased -73.69% since last year from $-858.20M to $-225.80M, signaling increasing performance
Decreasing performance - Healthy revenue growth.
Rackspace Technology, Inc.'s yearly revenue has decreased -1.88% since last year from $2.74G to $2.69G, signaling decreasing performance
Decreasing performance - ROIC.
ROIC -2.44% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Decreasing performance - 3-year revenue CAGR.
Rackspace Technology, Inc.'s 3-year revenue CAGR of -4.90% is negative, indicating declining revenue over the past 3 years
Decreasing performance - Revenue consistency.
Rackspace Technology, Inc. had revenue growth in only 2.00 out of 5 years, indicating inconsistent revenue performance
Decreasing performance - ROE consistency.
Rackspace Technology, Inc. had positive ROE in only 0.00 out of 5 years, indicating inconsistent returns on equity
Overvalued - DCF valuation.
Rackspace Technology, Inc. has insufficient data to evaluate this check.
Overvalued - Earnings yield.
Rackspace Technology, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Overvalued - EBITDA valuation.
Rackspace Technology, Inc. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Rackspace Technology, Inc. has an EV/EBITDA ratio of 15.04x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Rackspace Technology, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Overvalued - P/B ratio.
Rackspace Technology, Inc. has negative shareholder equity; price-to-book is not meaningful and the check fails
Undervalued - P/S ratio.
Rackspace Technology, Inc. has a price-to-sales ratio of 0.42x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
12.31%
Return on equity
ROIC: -2.44%
Valuation History
-8.8X
Price to Earnings
EV/EBITDA: 12.5X
Cash flow
Profit margin
-0.16%
(FY vs FY)
EBITDA Y/Y
-9.66%
(FY vs FY)
Cash flow Y/Y
239.80%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $4.65
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Default assumptions
EBITDA Multiple
Fair Value
Market $4.65
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Default assumptions
Base valuations use default assumptions. Customize in the Valuator.