Analyst Ratings for Rackspace Hosting, Inc. (RAX)Updated: 2016-11-01
RAX was given price targets by several analysts. The most optimistic analyst gave a price target of 44, which equates to a potential upside of 37.54 percent. The lowest price target was 18, implying a possible loss of -43.73 percent. Many analysts are not unbiased in their coverage of stocks, including price targets and stock ratings, so care must be taken in interpreting numbers released by them.
Over the past month, analysts have revised their estimates for this quarter's earnings, with a net average change of 0 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is -6.34 percent. Over the past 30 days, FY earnings estimates have also changed upwards by 0 percent. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes 1.96 percent.
Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. Over the past month, 0 analysts increased their quarterly estimates, which can be compared to the 0 analysts that decreased their estimates. Over the same time period, 0 analysts revised their FY earnings estimates upwards, compared to 0 analysts that revised their FY estimates downwards.
RAX has an estimated earnings growth rate of -7.67 percent as forecasted by analysts. It's possible to gain additional insight about growth valuation of a company by looking at the PEG ratio. A lower PEG ratio is favorable, because that is often interpreted as the company being fairly priced relative to its growth rate. PEG ratios below 1 are often considered desirable, though it could be better to see where the ratio stands relative to peers in the industry. RAX has a PEG ratio of -3.62.
RAX has a 52-week high of 32.14 and a 52-week low of 15.05. Today's price is 112.56 percent above the 52-week low, and 0.47 percent lower than its 52-week high. RAX has a P/E ratio of 27.79. Investors typically compare the P/E ratio to a company's peers in the industry. The RAX value stock report compares RAX to some of its peers using value stock charts. The stock has a market capitalization of $4.02 billion. RAX's next earnings release will be on 2016-11-07, which is -739 days away.