Why Rackspace Technology Stock Surged 23% Higher This Morning

Shares of Rackspace Technology (NASDAQ: RXT) racked up a peak gain of 23.4% just after the opening bell on Tuesday morning. The stock cooled down a bit as market makers pondered Monday evening's Street-stumping earnings report. By 12:45 p.m. EST, Rackspace traded 12.6% higher.

In the third quarter of 2021, Rackspace's sales rose 12% year over year to $763 million. The seller of multicloud technology services posted adjusted earnings of $0.25 per diluted share, a 32% increase from the year-ago period. Your average Wall Street analyst would have settled for earnings near $0.24 per share on revenue in the neighborhood of $756 million.

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Source Fool.com