Seagate Technology (NASDAQ:STX) Shares Gap Down – Here’s What Happened

Seagate Technology Holdings PLC (NASDAQ:STX) gapped down before the market opened on Tuesday . The stock had previously closed at $994.79, but opened at $929.50. Seagate Technology shares last traded at $931.21, with a volume of 573,770 shares.

Key Headlines Impacting Seagate Technology

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

• Positive Sentiment: Seagate shares have gained alongside SanDisk, Micron and other memory stocks as investors anticipate sustained AI-driven demand for data-center storage. Why Sandisk Stock Is Getting Its Mojo Back
• Positive Sentiment: Recent analysis highlights Seagate’s record cash flow and argues that AI infrastructure expansion is strengthening demand for high-capacity hard drives and storage systems. Seagate Stock Gains as AI Storage Demand Fuels Record Cash Flow
• Positive Sentiment: Growth-focused commentary cites Seagate’s above-average financial growth and positioning as reasons the stock could continue outperforming the broader market. 3 Reasons Why Growth Investors Shouldn’t Overlook Seagate
• Positive Sentiment: Jim Cramer described memory and storage as one of the market’s most explosive opportunities and included STX among stocks that may still have significant upside. Cramer Says Red-Hot Stock Can Double Again
• Neutral Sentiment: Seagate’s shares have risen roughly 134% over six months and reached a new 52-week high, reflecting strong momentum but also increasing expectations after its recent earnings beat. 3 Reasons We Love Seagate
• Negative Sentiment: Memory and storage markets are historically boom-and-bust industries: aggressive capacity expansion can eventually create oversupply and pressure pricing, margins and STX’s valuation. Jim Cramer Says It’s Not Too Late to Invest in Memory Stocks

Analyst Upgrades and Downgrades

Several brokerages have commented on STX. China Renaissance raised their target price on shares of Seagate Technology from $802.00 to $983.00 in a report on Friday, June 12th. Citigroup upped their price target on shares of Seagate Technology from $1,240.00 to $1,300.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Seagate Technology in a research note on Wednesday, June 24th. Melius Research assumed coverage on shares of Seagate Technology in a research report on Monday, June 29th. They set a “buy” rating and a $1,600.00 price objective on the stock. Finally, TD Cowen lifted their price objective on shares of Seagate Technology from $850.00 to $1,000.00 and gave the stock a “buy” rating in a research report on Wednesday, July 29th. One analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $986.00.

Seagate Technology Stock Down 8.7%

The company has a quick ratio of 1.17, a current ratio of 1.67 and a debt-to-equity ratio of 1.56. The firm has a market capitalization of $205.88 billion, a PE ratio of 65.97 and a beta of 2.06. The business’s 50-day moving average price is $893.72 and its 200-day moving average price is $671.34.

Seagate Technology (NASDAQ:STX) last announced its quarterly earnings data on Tuesday, July 28th. The data storage provider reported $5.71 EPS for the quarter, beating analysts’ consensus estimates of $5.10 by $0.61. The firm had revenue of $3.63 billion for the quarter, compared to the consensus estimate of $3.50 billion. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. The firm’s revenue was up 48.5% on a year-over-year basis. During the same period in the previous year, the firm posted $2.59 earnings per share. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. As a group, equities research analysts predict that Seagate Technology Holdings PLC will post 34.42 EPS for the current fiscal year.

Seagate Technology Announces Dividend

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 dividend of $0.74 per share. 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 0.3%. Seagate Technology’s dividend payout ratio (DPR) is 21.33%.

Insider Activity

In other news, EVP Ban Seng Teh sold 7,361 shares of the company’s stock in a transaction on Thursday, August 13th. The shares were sold at an average price of $920.80, for a total value of $6,778,008.80. Following the transaction, the executive vice president directly owned 2,931 shares of the company’s stock, valued at approximately $2,698,864.80. This represents a 71.52% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Gianluca Romano sold 14,091 shares of the stock in a transaction on Friday, August 7th. The stock was sold at an average price of $811.25, for a total value of $11,431,323.75. Following the sale, the chief financial officer owned 21,543 shares of the company’s stock, valued at approximately $17,476,758.75. This represents a 39.54% 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. Insiders have sold a total of 163,650 shares of company stock worth $138,616,274 in the last ninety days. Corporate insiders own 0.79% of the company’s stock.

Institutional Investors Weigh In On Seagate Technology

A number of hedge funds and other institutional investors have recently made changes to their positions in STX. Salomon & Ludwin LLC lifted its holdings in shares of Seagate Technology by 124.4% during the 4th quarter. Salomon & Ludwin LLC now owns 92 shares of the data storage provider’s stock valued at $27,000 after buying an additional 51 shares during the last quarter. Rakuten Securities Inc. grew its stake in shares of Seagate Technology by 884.2% in the 2nd quarter. Rakuten Securities Inc. now owns 187 shares of the data storage provider’s stock valued at $27,000 after buying an additional 168 shares in the last quarter. Concord Wealth Partners acquired a new position in Seagate Technology in the fourth quarter worth approximately $28,000. Annis Gardner Whiting Capital Advisors LLC raised its position in Seagate Technology by 23.1% during 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 in the last quarter. Finally, Quarry LP bought a new position in Seagate Technology during the fourth quarter valued at approximately $31,000. 92.87% of the stock is owned by hedge funds and other institutional investors.

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.