And finally, Rackspace Hosting (RAX) was the big loser in late trades. Shares of the cloud computing company dropped nearly 12% after the company missed Wall Street's earnings expectations by a penny with a sequential decline in margins seen as the likely culprit.
The stakes were high ahead of this report as Rackspace shares were up more than 35% so far in 2012, hitting a 52-week high of $60.55 on last week. Based on Monday's close at $57.60, the forward price-to-earnings ratio on the shares had climbed to a lofty 49.4X. The company does have some history of volatility on earnings day, having now missed the average analysts' view in four of the past nine quarters.
--Written by Michael Baron in New York.
>To contact the writer of this article, click here: Michael Baron.
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