Rackspace Technology (RXT) Fundamental Analysis: Revenue, Earnings & Valuation

8.78 / 10

Outperform

Fundamental rating is Outperform with an 8.8/10 score. Profit‑MV and Inventory turnover are bullish, while Current assets turnover and Operating cycle are bearish. Overall, the fundamentals are deemed exceptional, supporting a strong intrinsic value despite some efficiency concerns.

Analysis Checks(5/10)

Asset-liability ratio (%)

Value143.56

Score0/3

Weight-3.19%

1M Return-0.95%

Operating cycle

Value37.89

Score0/3

Weight-3.56%

1M Return-1.16%

Days sales outstanding

Value37.89

Score0/3

Weight-3.04%

1M Return-0.94%

Profit-MV

Value0.68

Score2/3

Weight-0.62%

1M Return-0.21%

Current assets turnover ratio

Value4.73

Score0/3

Weight-6.43%

1M Return-1.96%

Long-term debt to working capital ratio (%)

Value6.45

Score2/3

Weight4.84%

1M Return1.39%

Asset-MV

Value-0.55

Score3/3

Weight86.04%

1M Return19.10%

Equity multiplier (DuPont analysis %)

Value-2.63

Score3/3

Weight19.09%

1M Return5.25%

Inventory turnover days

Value210.83

Score2/3

Weight12.72%

1M Return3.65%

Net profit / Total profit (%)

Value111.89

Score0/3

Weight-5.86%

1M Return-1.68%

Is RXT fundamentally strong?

RXT scores 8.78/10 on fundamentals and holds a Discounted valuation at present. Backed by its 0.00% ROE, -8.41% net margin, -1.52 P/E ratio, -0.28 P/B ratio, and 75.13% earnings growth, these metrics solidify its Outperform investment rating.