UPDATE: Goldman Sachs Raises PT on Rackspace Hosting from $52 to $64

Goldman Sachs reiterated a Neutral rating on Rackspace Hosting

and raised its price target from $52 to $64. Goldman Sachs commented, “In our view, RAX's financial performance provided enough to mitigate the bear thesis. While growth further decelerated ahead of the August 1 launch of OpenStack, revenue met expectations driven by a rebound in installed base growth; we estimate the 30 bp improvement, to 1.0%, contributed $2mn to revenue versus last quarter” Rackspace Hosting closed at $49.30 on Tuesday.