Seagate Technology (NASDAQ:STX) Stock Falls 3.8% – Here’s Why

Seagate Technology Holdings PLC (NASDAQ:STX) shares traded down 3.8% during mid-day trading on Monday. The stock traded as low as $750.68 and last traded at $753.25. Approximately 4,072,240 shares changed hands during mid-day trading, a decline of 7% from the average session volume of 4,374,824 shares. The stock had previously closed at $783.00.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on the stock. Rosenblatt Securities upped their price target on shares of Seagate Technology from $1,300.00 to $1,400.00 and gave the stock a “buy” rating in a research report on Wednesday, July 29th. Fox Advisors downgraded shares of Seagate Technology from an “overweight” rating to an “equal weight” rating in a research note on Monday, June 22nd. Wall Street Zen upgraded shares of Seagate Technology from a “buy” rating to a “strong-buy” rating in a report on Saturday, September 26th. JPMorgan Chase & Co. boosted their price objective on shares of Seagate Technology from $1,095.00 to $1,240.00 and gave the company an “overweight” rating in a research note on Wednesday, July 29th. Finally, Melius Research began coverage on Seagate Technology in a report on Monday, June 29th. They set a “buy” rating and a $1,600.00 price objective for the company. Twenty-two analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Seagate Technology has an average rating of “Moderate Buy” and a consensus target price of $986.00.

Seagate Technology Stock Down 3.8%

The firm has a 50 day moving average price of $855.09 and a two-hundred day moving average price of $793.39. The firm has a market capitalization of $171.28 billion, a price-to-earnings ratio of 54.27 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.

Seagate Technology (NASDAQ:STX) last posted its quarterly earnings results on Tuesday, July 28th. The data storage provider reported $5.71 EPS for the quarter, beating the consensus estimate of $5.10 by $0.61. The firm had revenue of $3.63 billion for the quarter, compared to analyst estimates of $3.50 billion. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. Seagate Technology’s revenue for the quarter was up 48.5% compared to the same quarter last year. During the same quarter last year, the firm posted $2.59 earnings per share. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. On average, equities analysts expect that Seagate Technology Holdings PLC will post 35.70 earnings per share for the current fiscal year.

Seagate Technology Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, October 7th. Stockholders of record on Thursday, September 24th were paid a $0.74 dividend. This represents a $2.96 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend was Thursday, September 24th. Seagate Technology’s dividend payout ratio (DPR) is currently 21.33%.

Insider Buying and Selling at Seagate Technology

In related news, CEO William Mosley sold 97,889 shares of the stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $772.14, for a total value of $75,584,012.46. Following the completion of the sale, the chief executive officer directly owned 378,108 shares in the company, valued at approximately $291,952,311.12. This represents a 20.57% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Gianluca Romano sold 49,984 shares of the business’s stock in a transaction dated Tuesday, September 15th. The stock was sold at an average price of $772.16, for a total value of $38,595,645.44. Following the transaction, the chief financial officer owned 70,756 shares in the company, valued at approximately $54,634,952.96. This represents a 41.40% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders sold 466,959 shares of company stock worth $378,840,741. 0.51% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Seagate Technology

Hedge funds have recently modified their holdings of the stock. Wellington Management Group LLP grew 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 valued at $2,329,641,000 after purchasing an additional 2,326,538 shares during the last quarter. Janus Henderson Group PLC raised its position 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 worth $378,985,000 after purchasing an additional 943,170 shares during the period. Amanah Holdings Trust acquired a new stake in shares of Seagate Technology during the 4th quarter worth approximately $79,801,000. Swedbank AB raised its position in shares of Seagate Technology by 67.6% during the 1st quarter. Swedbank AB now owns 709,160 shares of the data storage provider’s stock worth $277,821,000 after purchasing an additional 285,949 shares during the period. Finally, Healthcare of Ontario Pension Plan Trust Fund lifted its holdings in shares of Seagate Technology by 3,380.4% in the 4th quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 293,012 shares of the data storage provider’s stock worth $80,693,000 after purchasing an additional 284,593 shares during the last quarter. 92.87% of the stock is currently owned by hedge funds and other institutional investors.

Seagate Technology Company Profile

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.