Seagate Technology (NASDAQ:STX) Trading Up 2.3% on Earnings Beat

Seagate Technology Holdings PLC (NASDAQ:STX) shares were up 2.3% during mid-day trading on Wednesday following a stronger than expected earnings report. The company traded as high as $814.97 and last traded at $764.43. Approximately 9,188,299 shares traded hands during trading, an increase of 110% from the average session volume of 4,384,904 shares. The stock had previously closed at $747.30.

The data storage provider reported $5.71 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.10 by $0.61. Seagate Technology had a net margin of 21.60% and a return on equity of 1,005.65%. The firm had revenue of $3.63 billion for the quarter, compared to analysts’ expectations of $3.50 billion. During the same quarter last year, the company posted $2.59 earnings per share. Seagate Technology’s revenue was up 48.5% on a year-over-year basis. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS.

Seagate Technology Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 7th. Investors of record on Thursday, September 24th will be issued a $0.74 dividend. The ex-dividend date of this dividend is Thursday, September 24th. This represents a $2.96 annualized dividend and a dividend yield of 0.4%. Seagate Technology’s dividend payout ratio (DPR) is 28.08%.

Key Seagate Technology News

Here are the key news stories impacting Seagate Technology this week:

• Positive Sentiment: Quarterly earnings beat expectations. Seagate reported non-GAAP EPS of $5.71, above the $5.10 consensus, while revenue rose 48.5% year over year to $3.63 billion, exceeding the $3.50 billion estimate. Net income increased to $1.29 billion from $488 million a year earlier. Seagate fiscal fourth-quarter results
• Positive Sentiment: AI-related demand is supporting the outlook. Management cited durable demand from data-center customers for high-capacity nearline drives and its Mozaic and HAMR technologies, suggesting AI infrastructure growth is translating into storage demand. Seagate forecasts upbeat quarter
• Positive Sentiment: Fiscal first-quarter guidance was well above Wall Street forecasts. Seagate projected EPS of $7.10–$7.50 and revenue of $4.0–$4.2 billion, compared with consensus estimates of $5.63 EPS and approximately $3.7 billion in revenue. The company also reported record fiscal 2026 profitability and $3.1 billion of free cash flow.
• Positive Sentiment: Analysts raised targets following the report. JPMorgan lifted its target to $1,240 and Wells Fargo to $1,180, both maintaining overweight ratings. Citigroup, Rosenblatt, TD Cowen and Wedbush also raised targets, with buy or outperform ratings; Cantor Fitzgerald reaffirmed overweight with a $1,300 target. Analyst price-target changes
• Neutral Sentiment: Seagate declared a quarterly dividend of $0.74 per share, payable October 7 to shareholders of record September 24. The dividend yield is approximately 0.4%, making it a modest income component rather than a major share-price catalyst.
• Negative Sentiment: Valuation and elevated expectations remain risks. The stock has already more than doubled over the past year, and some coverage noted that investors had priced in substantial AI-related optimism. A high P/E and recent volatility could limit further gains if storage demand or margins disappoint.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. Citigroup upped their price objective on Seagate Technology from $1,240.00 to $1,300.00 and gave the stock a “buy” rating in a research note on Wednesday. Mizuho raised their target price on Seagate Technology from $875.00 to $1,090.00 and gave the company an “outperform” rating in a research note on Monday, June 8th. Wall Street Zen raised shares of Seagate Technology from a “hold” rating to a “buy” rating in a report on Saturday, May 2nd. Evercore upped their price target on shares of Seagate Technology from $750.00 to $1,000.00 and gave the stock an “outperform” rating in a research report on Tuesday, May 12th. Finally, Bank of America increased their price objective on shares of Seagate Technology from $1,000.00 to $1,150.00 and gave the stock a “buy” rating in a report on Wednesday, July 1st. Twenty-two investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $970.00.

Insiders Place Their Bets

In other news, EVP John Christopher Morris sold 1,364 shares of the stock in a transaction on Friday, June 12th. The stock was sold at an average price of $880.19, for a total value of $1,200,579.16. Following the completion of the transaction, the executive vice president owned 12,088 shares of the company’s stock, valued at approximately $10,639,736.72. This represents a 10.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William D. Mosley sold 9,343 shares of the company’s stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $924.42, for a total transaction of $8,636,856.06. Following the completion of the sale, the chief executive officer directly owned 311,517 shares of the company’s stock, valued at $287,972,545.14. The trade was a 2.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 151,069 shares of company stock valued at $126,191,753 in the last quarter. 0.79% of the stock is owned by insiders.

Institutional Investors Weigh In On Seagate Technology

Several hedge funds and other institutional investors have recently bought and sold shares of STX. Annis Gardner Whiting Capital Advisors LLC raised its holdings in shares of Seagate Technology by 23.1% in the 1st quarter. Annis Gardner Whiting Capital Advisors LLC now owns 80 shares of the data storage provider’s stock worth $31,000 after purchasing an additional 15 shares in the last quarter. Salomon & Ludwin LLC boosted its holdings in Seagate Technology by 124.4% during the fourth quarter. Salomon & Ludwin LLC now owns 92 shares of the data storage provider’s stock worth $27,000 after buying an additional 51 shares in the last quarter. WealthCollab LLC boosted its holdings in Seagate Technology by 27.4% during the first quarter. WealthCollab LLC now owns 93 shares of the data storage provider’s stock worth $36,000 after buying an additional 20 shares in the last quarter. Catalyst Capital Advisors LLC acquired a new position in Seagate Technology in the first quarter worth approximately $39,000. Finally, Concord Wealth Partners acquired a new position in Seagate Technology in the fourth quarter worth approximately $28,000. 92.87% of the stock is currently owned by institutional investors.

Seagate Technology Price Performance

The company has a fifty day simple moving average of $894.95 and a 200-day simple moving average of $618.98. The company has a market cap of $171.41 billion, a P/E ratio of 72.53 and a beta of 2.04. The company has a debt-to-equity ratio of 3.16, a current ratio of 1.33 and a quick ratio of 0.85.

Seagate Technology Company Profile

Seagate Technology (NASDAQ: STX) is a global data storage company that designs, manufactures and sells a broad range of storage products and systems. The firm’s product portfolio includes traditional hard disk drives (HDDs), solid-state drives (SSDs), hybrid storage devices and integrated storage systems aimed at enterprise, cloud, OEM and consumer markets. Seagate also provides services that support its hardware offerings, including data recovery and storage management solutions.

Seagate’s products are used in a wide array of applications, from large-scale data centers and cloud infrastructure to desktop and portable consumer devices.