Seagate Technology (NASDAQ:STX) Shares Down 7.5% – Here’s Why

Shares of Seagate Technology Holdings PLC (NASDAQ:STX) dropped 7.5% during mid-day trading on Monday . The stock traded as low as $786.87 and last traded at $791.7610. 594,157 shares were traded during mid-day trading, a decline of 86% from the average session volume of 4,389,260 shares. The stock had previously closed at $856.13.

Analyst Ratings Changes

A number of equities analysts have commented on the company. Cantor Fitzgerald reissued an “overweight” rating and set a $1,300.00 target price on shares of Seagate Technology in a report on Wednesday, July 29th. Morgan Stanley boosted their price target on Seagate Technology from $1,035.00 to $1,187.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 29th. Argus increased their price objective on Seagate Technology from $750.00 to $900.00 and gave the company a “buy” rating in a research note on Thursday. Wells Fargo & Company raised their price objective on Seagate Technology from $1,100.00 to $1,180.00 and gave the company an “overweight” rating in a report on Wednesday, July 29th. Finally, Sanford C. Bernstein reaffirmed an “outperform” rating and set a $1,350.00 target price on shares of Seagate Technology in a research note on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Seagate Technology has a consensus rating of “Moderate Buy” and an average price target of $986.00.

Seagate Technology Trading Down 3.9%

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 company has a fifty day moving average price of $896.91 and a two-hundred day moving average price of $629.98. The firm has a market capitalization of $184.40 billion, a price-to-earnings ratio of 59.28 and a beta of 2.06.

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. Seagate Technology had a return on equity of 369.98% and a net margin of 26.11%.The firm had revenue of $3.63 billion during the quarter, compared to analysts’ expectations of $3.50 billion. During the same quarter last year, the firm earned $2.59 earnings per share. The business’s revenue for the quarter was up 48.5% on a year-over-year basis. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. As a group, research analysts forecast that Seagate Technology Holdings PLC will post 33.08 earnings per share for the current fiscal year.

Seagate Technology Dividend Announcement

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

Insider Transactions at Seagate Technology

In other news, CEO William D. Mosley sold 30,000 shares of the business’s stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $751.29, for a total transaction of $22,538,700.00. Following the transaction, the chief executive officer owned 339,591 shares of the company’s stock, valued at approximately $255,131,322.39. The trade was a 8.12% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Gianluca Romano sold 22,488 shares of the company’s stock in a transaction dated Wednesday, May 6th. The shares were sold at an average price of $774.22, for a total transaction of $17,410,659.36. Following the completion of the sale, the chief financial officer directly owned 42,847 shares of the company’s stock, valued at $33,173,004.34. This represents a 34.42% 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 a total of 144,746 shares of company stock worth $121,521,088 in the last quarter. Company insiders own 0.79% of the company’s stock.

Institutional Trading of Seagate Technology

Hedge funds and other institutional investors have recently made changes to their positions in the company. Annis Gardner Whiting Capital Advisors LLC lifted its holdings in Seagate Technology by 23.1% in the first quarter. Annis Gardner Whiting Capital Advisors LLC now owns 80 shares of the data storage provider’s stock valued at $31,000 after acquiring an additional 15 shares during the last quarter. Salomon & Ludwin LLC increased its stake 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 acquiring an additional 51 shares during the last quarter. WealthCollab LLC increased its stake 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 acquiring an additional 20 shares during the last quarter. Catalyst Capital Advisors LLC purchased a new stake in Seagate Technology in the first quarter valued at $39,000. Finally, Concord Wealth Partners purchased a new stake in Seagate Technology in the fourth quarter valued at $28,000. Institutional investors and hedge funds own 92.87% of the company’s stock.

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.