Seagate Technology (NASDAQ:STX) Rating Increased to Strong-Buy at Zacks Research

Seagate Technology (NASDAQ:STX) was upgraded by investment analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued on Tuesday,Zacks.com reports.

STX has been the subject of several other reports. JPMorgan Chase & Co. raised their price objective on shares of Seagate Technology from $1,095.00 to $1,240.00 and gave the stock an “overweight” rating in a research report on Wednesday. Citigroup upped their target price on Seagate Technology from $1,240.00 to $1,300.00 and gave the company a “buy” rating in a research report on Wednesday. Wedbush increased their target price on Seagate Technology from $825.00 to $1,000.00 and gave the stock an “outperform” rating in a research note on Wednesday. Sanford C. Bernstein restated an “outperform” rating and issued a $1,350.00 price target on shares of Seagate Technology in a research note on Wednesday. Finally, Mizuho increased their price objective on Seagate Technology from $875.00 to $1,090.00 and gave the stock an “outperform” rating in a research report on Monday, June 8th. One analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $970.00.

Seagate Technology Price Performance

NASDAQ:STX opened at $764.43 on Tuesday. The company has a market cap of $171.41 billion, a P/E ratio of 55.07 and a beta of 2.04. The firm’s fifty day moving average price is $895.22 and its two-hundred day moving average price is $622.36. Seagate Technology has a one year low of $138.30 and a one year high of $1,145.00. 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 (NASDAQ:STX) last posted its earnings results on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.10 by $0.61. The company had revenue of $3.63 billion during the quarter, compared to analysts’ expectations of $3.50 billion. Seagate Technology had a net margin of 26.11% and a return on equity of 680.78%. Seagate Technology’s quarterly revenue was up 48.5% compared to the same quarter last year. During the same quarter last year, the company posted $2.59 EPS. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. Equities analysts expect that Seagate Technology will post 26.84 earnings per share for the current year.

Insider Buying and Selling

In related news, CEO William D. Mosley sold 9,343 shares of the firm’s stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $924.42, for a total value of $8,636,856.06. Following the transaction, the chief executive officer owned 311,517 shares in the company, valued at approximately $287,972,545.14. This trade represents a 2.91% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP John Christopher Morris sold 1,364 shares of the business’s stock in a transaction dated Friday, June 12th. The shares were 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 directly owned 12,088 shares of the company’s stock, valued at approximately $10,639,736.72. This trade represents a 10.14% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 151,069 shares of company stock valued at $126,191,753. Company insiders own 0.79% of the company’s stock.

Institutional Trading of Seagate Technology

Institutional investors and hedge funds have recently made changes to their positions in the company. Massachusetts Financial Services Co. MA increased its stake in Seagate Technology by 1,510.1% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 2,008,516 shares of the data storage provider’s stock valued at $553,125,000 after acquiring an additional 1,883,769 shares during the last quarter. Norges Bank bought a new stake in Seagate Technology during the fourth quarter worth $498,363,000. Soroban Capital Partners LP lifted its stake in Seagate Technology by 1,468.1% during the second quarter. Soroban Capital Partners LP now owns 1,417,600 shares of the data storage provider’s stock worth $204,602,000 after purchasing an additional 1,327,197 shares during the last quarter. Janus Henderson Group PLC boosted its holdings in shares of Seagate Technology by 3,872.1% in 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 purchasing an additional 943,170 shares in the last quarter. Finally, Deutsche Bank AG boosted its holdings in shares of 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 in the last quarter. Institutional investors own 92.87% of the company’s stock.

Trending Headlines about Seagate Technology

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

• Positive Sentiment: Results exceeded expectations: Seagate reported non-GAAP EPS of $5.71 versus the $5.10 consensus and revenue of $3.63 billion versus $3.50 billion. Revenue rose 48.5% year over year, while the company highlighted record profitability and $3.1 billion in fiscal-year free cash flow. Seagate fiscal fourth-quarter results
• Positive Sentiment: Upbeat guidance raised confidence: Fiscal first-quarter 2027 EPS is expected at $7.10-$7.50, well above the approximately $5.63 analyst estimate, with revenue guidance of $4.0-$4.2 billion versus consensus near $3.7 billion. The outlook supports the view that demand is not limited to a short-lived AI spending spike. Seagate AI-driven storage outlook
• Positive Sentiment: AI storage demand and pricing power: Cloud and data-center customers are expanding storage capacity, while Seagate’s HAMR and Mozaic technologies allow higher-capacity drives without equivalent manufacturing expansion. Analysts cited strong execution, scarce supply and a potentially favorable new pricing environment. Wall Street praises Seagate execution and pricing power
• Positive Sentiment: Analyst sentiment improved: Citi, JPMorgan, Wells Fargo, TD Cowen, Wedbush, Susquehanna and Rosenblatt raised their price targets, with targets ranging from $875 to $1,400. Cantor Fitzgerald also reaffirmed an overweight rating with a $1,300 target, reinforcing the bullish reaction to the earnings report.
• Neutral Sentiment: Dividend declared: Seagate announced a quarterly dividend of $0.74 per share, payable October 7 to shareholders of record September 24. The payout provides income support but is modest relative to the stock’s valuation and growth profile.
• Negative Sentiment: Valuation and volatility remain risks: The stock trades at a high earnings multiple after a major rally, and its elevated beta leaves it vulnerable if AI infrastructure spending slows. A broader memory-sector selloff and concerns that strong results are already priced in could limit further gains.

About Seagate Technology

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.