Seagate Technology (NASDAQ:STX) Shares Climb 4.5% – Time to Buy?

Seagate Technology Holdings PLC (NASDAQ:STX)’s stock price was up 4.5% on Monday. The company traded as high as $903.00 and last traded at $887.09. Approximately 5,581,088 shares changed hands during trading, an increase of 28% from the average session volume of 4,359,481 shares. The stock had previously closed at $848.99.

Trending Headlines about Seagate Technology

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

• Positive Sentiment: Analysts characterized the Toshiba-driven selloff as overdone, suggesting that increased capacity may take time to reach the market and that the near-term supply-demand environment remains favorable. This prompted “buy the dip” commentary and supported the recovery in Seagate shares. Western Digital and Seagate Stock Jump as Analysts Say Buy the Dip
• Positive Sentiment: Seagate’s nearline drives—used extensively by cloud and artificial-intelligence data centers—are reportedly covered by customer contracts extending well into 2027. That visibility could cushion the company from any future increase in Toshiba’s output and reinforces the investment case tied to AI-driven storage demand. Seagate Is Riding One of AI’s Most Important Trends
• Positive Sentiment: Commentary highlighted that Seagate’s exceptional performance over the past year was driven by cloud providers needing more storage for AI infrastructure while available hard-drive supply remained constrained. Investors are interpreting management’s earlier comments about cloud demand as evidence that the AI-driven growth thesis was signaled in advance. What Was Seagate Telling You Before Its Stock Ran?
• Neutral Sentiment: The key unresolved issue is whether Toshiba’s capacity investment eventually creates a meaningful oversupply. For now, analysts generally view the threat as longer term rather than an immediate disruption to Seagate’s contracted revenue and AI-related demand. Why Western Digital and Seagate Stocks Are Rebounding
• Negative Sentiment: Toshiba’s plan to double HDD production initially triggered a sharp selloff in Seagate and Western Digital, reflecting investor fears that additional supply could pressure prices, margins, and future growth. Reports also cited insider selling, adding to short-term caution. Toshiba Is Doubling Hard Drive Output

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on STX shares. Zacks Research downgraded shares of Seagate Technology from a “strong-buy” rating to a “hold” rating in a report on Monday, September 28th. Susquehanna increased their target price on shares of Seagate Technology from $775.00 to $875.00 and gave the stock a “neutral” rating in a report on Wednesday, July 29th. Morgan Stanley raised their target price on shares of Seagate Technology from $1,035.00 to $1,187.00 and gave the company an “overweight” rating in a research report on Wednesday, July 29th. Argus lifted their price target on shares of Seagate Technology from $750.00 to $900.00 and gave the company a “buy” rating in a research note on Thursday, July 30th. Finally, Fox Advisors cut shares of Seagate Technology from an “overweight” rating to an “equal weight” rating in a research report on Monday, June 22nd. Twenty-two research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $986.00.

Seagate Technology Trading Up 4.5%

The company has a market cap of $201.72 billion, a P/E ratio of 63.91 and a beta of 2.06. The company has a current ratio of 1.67, a quick ratio of 1.17 and a debt-to-equity ratio of 1.56. The business has a 50 day moving average price of $854.66 and a 200-day moving average price of $779.45.

Seagate Technology (NASDAQ:STX) last released its earnings results on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share for the quarter, beating the consensus estimate of $5.10 by $0.61. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. The business had revenue of $3.63 billion during the quarter, compared to analysts’ expectations of $3.50 billion. During the same period last year, the business earned $2.59 earnings per share. The firm’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. Analysts forecast that Seagate Technology Holdings PLC will post 35.7 earnings per share for the current fiscal year.

Seagate Technology Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 7th. Stockholders of record on Thursday, September 24th will be issued a $0.74 dividend. This represents a $2.96 dividend on an annualized basis and a dividend yield of 0.3%. The ex-dividend date of this dividend is Thursday, September 24th. Seagate Technology’s dividend payout ratio is presently 21.33%.

Insider Activity

In related news, CEO William D. Mosley sold 11,002 shares of Seagate Technology stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $935.60, for a total transaction of $10,293,471.20. Following the completion of the transaction, the chief executive officer owned 362,108 shares in the company, valued at approximately $338,788,244.80. This trade represents a 2.95% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Ban Teh sold 52,730 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $782.08, for a total value of $41,239,078.40. Following the transaction, the executive vice president directly owned 5,810 shares in the company, valued at $4,543,884.80. The trade was a 90.08% decrease in their ownership of the stock. 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. Over the last quarter, insiders have sold 466,959 shares of company stock valued at $378,840,741. Company insiders own 0.51% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. Wellington Management Group LLP increased its holdings in shares of Seagate Technology by 2,655.9% during the second quarter. Wellington Management Group LLP now owns 2,414,136 shares of the data storage provider’s stock worth $2,329,641,000 after purchasing an additional 2,326,538 shares during the period. Arrowstreet Capital Limited Partnership raised its holdings in shares of Seagate Technology by 8.3% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 3,193,063 shares of the data storage provider’s stock worth $879,338,000 after buying an additional 243,551 shares in the last quarter. National Pension Service lifted its holdings in shares of Seagate Technology by 0.8% in the second quarter. National Pension Service now owns 834,705 shares of the data storage provider’s stock worth $805,490,000 after acquiring an additional 6,944 shares during the last quarter. Deutsche Bank AG lifted its stake in Seagate Technology by 102.0% in the 4th quarter. Deutsche Bank AG now owns 1,599,962 shares of the data storage provider’s stock valued at $440,614,000 after purchasing an additional 807,962 shares during the last quarter. Finally, Janus Henderson Group PLC boosted its holdings in shares of Seagate Technology by 3,872.1% during the 1st quarter. Janus Henderson Group PLC now owns 967,528 shares of the data storage provider’s stock valued at $378,985,000 after acquiring an additional 943,170 shares in the last quarter. Institutional investors own 92.87% of the company’s stock.

About Seagate Technology

Seagate Technology Holdings plc is a data storage technology company that designs, manufactures and supplies solutions for storing, managing and accessing digital information. Its product portfolio is centered on hard disk drives (HDDs), including high-capacity drives used in cloud data centers, enterprise environments, surveillance systems, network-attached storage and personal computing.

The company also offers solid-state drives (SSDs), storage systems, external storage products and related services.