Rackspace is a hired IT department for companies running software in the cloud, managing servers, apps, and security across Amazon Web Services, Microsoft Azure, and Google Cloud. Think of it as a concierge for businesses that don't want to run their own data
Revenue comes from recurring monthly contracts for managed cloud services and security, but the business loses money: gross margin is 13.86% and net margin is -5.89%. The money is recurring, but it's thin and currently unprofitable.
Customers can switch to Amazon Web Services, Microsoft Azure, or Google Cloud's own managed services, or to specialists like Accenture, which offer similar help. The moat is weak because Rackspace's core offering is a service layer on top of others' infrastruc
DJS Law Group joins reminders, class period defined, investors should note deadline
D1 -1.9% · +5d +18.6%
›12 waves of this story
2026-07-31 Multiple law firms announce or investigate securities fraud class actions against Rackspace, alleging misrepresentations since May 6, 2026.
2026-08-01 At least 7 law firms issued class action notices alleging AI misrepresentations; deadline Sept 28
2026-08-03 Three law firms remind investors of lawsuits; stock drop of 33.6% cited
2026-08-03 Multiple law firms remind investors of Sept 28 deadline on Aug 3
2026-08-05 Multiple law firms issue reminders for class action with September 28, 2026 deadline, covering investors who bought between May 7 and July 8.
2026-08-06 At least 7 law firms issued class action notices on Aug 5-6, specifying class period and Sept 28 lead plaintiff deadline
2026-08-06 Multiple firms remind of Sept 28 lead plaintiff deadline, alleging June restructuring filing omitted $150M revenue hole.
2026-08-09 Deadline Sep 28 for investors who bought between May 7 and Jul 8
2026-08-10 Multiple law firms join suit notices, alleging AI-related misstatements after 33% stock drop
2026-08-13 DJS Law Group joins in reminding investors of rights, lawsuit based on Securities Exchange Act §§10(b) and 20(a)
2026-08-04 Lawsuit over AI guidance; stock fell from $6.58 to $4.37 in one day
2026-08-21 DJS Law Group joins reminders, class period defined, investors should note deadline
Earnings
Earnings report
D1 -8.0% · +5d -19.1%
8 earlier events›
8-K filing
8-K: Item 2.02, Item 9.01
D1 -8.0% · +5d -19.1%
EarningsBear
Rackspace Q2: Revenue Flat, Loss Widens, Reaffirms Cut Guidance
Company released official Q2 results on Aug 10, reaffirming FY26 revenue guidance of $2.45-2.55B and detailing AI infrastructure capex plans.
D1 +11.4% · +5d +14.5%
›7 waves of this story
2026-07-30 Company announces Q2 2026 financial results release on August 11, 2026.
2026-08-11 Revenue +0.6% YoY, private cloud +5.5%, but severe guidance cut dominates
2026-08-11 Private cloud rebound but severe guidance deterioration impacts stock
2026-08-11 Q2 revenue $670M up 1% YoY, but severe guidance cut overshadows private cloud rebound
2026-08-11 Q2 revenue $670M, net loss $68M, adj EPS -$0.08 beats; reaffirms FY guidance
2026-08-10 Q2 revenue $670M, net loss $68M, adj EPS -$0.08 beat, AMD AI capacity plans disclosed
2026-08-10 Company released official Q2 results on Aug 10, reaffirming FY26 revenue guidance of $2.45-2.55B and detailing AI infrastructure capex plans.
Earnings
Earnings report
D1 +1.5% · +5d -10.8%
Company
Rackspace Appoints Pranav Nambiar as SVP to Scale Sovereign AI Infrastructure
New exec to scale sovereign AI infrastructure, indicating strategic focus.
D1 +1.5% · +5d -10.8%
8-K filing
8-K: Item 1.01, Item 2.02, Item 2.03, Item 8.01
D1 -33.6% · +5d -3.7%
8-K filing
8-K: Item 7.01, Item 8.01, Item 9.01
D1 +5.0% · +5d +9.8%
Earnings
Earnings report
D1 +55.1% · +5d +107.1%
8-K filing
8-K: Item 2.02, Item 9.01
D1 +55.1% · +5d +107.1%
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Facts and opinions separated · All items sourced · Not investment advice
DJS Law Group joins reminders, class period defined, investors should note deadline
D1 -1.9% · +5d +18.6%
›12 waves of this story
2026-07-31 Multiple law firms announce or investigate securities fraud class actions against Rackspace, alleging misrepresentations since May 6, 2026.
2026-08-01 At least 7 law firms issued class action notices alleging AI misrepresentations; deadline Sept 28
2026-08-03 Three law firms remind investors of lawsuits; stock drop of 33.6% cited
2026-08-03 Multiple law firms remind investors of Sept 28 deadline on Aug 3
2026-08-05 Multiple law firms issue reminders for class action with September 28, 2026 deadline, covering investors who bought between May 7 and July 8.
2026-08-06 At least 7 law firms issued class action notices on Aug 5-6, specifying class period and Sept 28 lead plaintiff deadline
2026-08-06 Multiple firms remind of Sept 28 lead plaintiff deadline, alleging June restructuring filing omitted $150M revenue hole.
2026-08-09 Deadline Sep 28 for investors who bought between May 7 and Jul 8
2026-08-10 Multiple law firms join suit notices, alleging AI-related misstatements after 33% stock drop
2026-08-13 DJS Law Group joins in reminding investors of rights, lawsuit based on Securities Exchange Act §§10(b) and 20(a)
2026-08-04 Lawsuit over AI guidance; stock fell from $6.58 to $4.37 in one day
2026-08-21 DJS Law Group joins reminders, class period defined, investors should note deadline
Earnings
Earnings report
D1 -8.0% · +5d -19.1%
8-K filing
8-K: Item 2.02, Item 9.01
D1 -8.0% · +5d -19.1%
EarningsBear
Rackspace Q2: Revenue Flat, Loss Widens, Reaffirms Cut Guidance
Company released official Q2 results on Aug 10, reaffirming FY26 revenue guidance of $2.45-2.55B and detailing AI infrastructure capex plans.
D1 +11.4% · +5d +14.5%
›7 waves of this story
2026-07-30 Company announces Q2 2026 financial results release on August 11, 2026.
2026-08-11 Revenue +0.6% YoY, private cloud +5.5%, but severe guidance cut dominates
2026-08-11 Private cloud rebound but severe guidance deterioration impacts stock
2026-08-11 Q2 revenue $670M up 1% YoY, but severe guidance cut overshadows private cloud rebound
2026-08-11 Q2 revenue $670M, net loss $68M, adj EPS -$0.08 beats; reaffirms FY guidance
2026-08-10 Q2 revenue $670M, net loss $68M, adj EPS -$0.08 beat, AMD AI capacity plans disclosed
2026-08-10 Company released official Q2 results on Aug 10, reaffirming FY26 revenue guidance of $2.45-2.55B and detailing AI infrastructure capex plans.
Earnings
Earnings report
D1 +1.5% · +5d -10.8%
5 earlier events›
Company
Rackspace Appoints Pranav Nambiar as SVP to Scale Sovereign AI Infrastructure
New exec to scale sovereign AI infrastructure, indicating strategic focus.
