Seagate Technology (NASDAQ:STX) Shares Climb 2.2% – Time to Buy?

Seagate Technology Holdings PLC (NASDAQ:STX)’s share price rose 2.2% on Monday. The stock traded as high as $665.55 and last traded at $644.21. Approximately 4,245,466 shares were traded during mid-day trading, a decline of 4% from the average daily volume of 4,409,510 shares. The stock had previously closed at $630.49.

Key Headlines Impacting Seagate Technology

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

• Positive Sentiment: Seagate reported fiscal Q1 revenue of $4.23 billion, up 61% year over year, and non-GAAP EPS of $7.68, exceeding analyst estimates. Management also projected approximately $4.8 billion in December-quarter revenue and $9.20 in non-GAAP EPS, supported by data-center demand, pricing and HAMR adoption. Seagate Technology Reports Fiscal First Quarter 2027 Financial Results
• Positive Sentiment: Data-center customers represented 90% of shipped capacity, while most nearline exabyte supply is committed through 2028. These agreements offer visibility into future demand as cloud providers expand AI infrastructure. Seagate Technology: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Seagate raised its quarterly dividend 2.7% to $0.76 per share. Although the yield remains modest, the increase signals confidence in cash generation, which was boosted by record free cash flow. Seagate Just Raised Its Dividend
• Positive Sentiment: Several analysts still see upside: Citigroup, TD Cowen and Wells Fargo maintained buy or overweight ratings, while Wedbush reaffirmed an outperform rating. Citigroup’s revised $1,050 target remains materially above the referenced share price. Analysts Revise Forecasts on Seagate After Q1 Results

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on STX shares. Morgan Stanley lowered their price objective on shares of Seagate Technology from $1,200.00 to $1,148.00 and set an “overweight” rating for the company in a research report on Wednesday. Cantor Fitzgerald cut their price objective on shares of Seagate Technology from $1,300.00 to $1,000.00 and set an “overweight” rating on the stock in a research report on Monday. Wells Fargo & Company reduced their target price on shares of Seagate Technology from $865.00 to $820.00 and set an “overweight” rating for the company in a research note on Wednesday. UBS Group lowered their target price on Seagate Technology from $780.00 to $750.00 and set a “neutral” rating for the company in a report on Wednesday. Finally, Evercore reissued an “outperform” rating on shares of Seagate Technology in a research note on Wednesday. Twenty-two equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $971.64.

Seagate Technology Trading Up 4.5%

The stock has a market cap of $158.71 billion, a price-to-earnings ratio of 50.29 and a beta of 2.06. The business has a 50-day simple moving average of $809.95 and a two-hundred day simple moving average of $682.75. The company has a debt-to-equity ratio of 1.56, a quick ratio of 1.17 and a current ratio of 1.67.

Seagate Technology (NASDAQ:STX) last posted its quarterly earnings data on Tuesday, October 27th. The data storage provider reported $7.68 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $7.45 by $0.23. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. The company had revenue of $4.23 billion for the quarter, compared to the consensus estimate of $4.15 billion. During the same period last year, the company earned $2.61 earnings per share. The firm’s revenue was up 61.0% compared to the same quarter last year. As a group, research analysts forecast that Seagate Technology Holdings PLC will post 35.79 EPS for the current year.

Seagate Technology Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 7th. Investors of record on Wednesday, December 23rd will be given a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a yield of 0.4%. This is an increase from Seagate Technology’s previous quarterly dividend of $0.74. The ex-dividend date of this dividend is Wednesday, December 23rd. Seagate Technology’s payout ratio is 21.33%.

Insider Transactions at Seagate Technology

In other news, CFO Gianluca Romano sold 49,984 shares of the stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $772.16, for a total transaction of $38,595,645.44. Following the completion of the transaction, the chief financial officer directly owned 70,756 shares in the company, valued at $54,634,952.96. This represents a 41.40% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Ban Teh sold 52,730 shares of the firm’s stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $782.08, for a total value of $41,239,078.40. Following the completion of the transaction, the executive vice president owned 5,810 shares of the company’s stock, valued at $4,543,884.80. The trade was a 90.08% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 467,506 shares of company stock worth $379,191,992. 0.51% of the stock is owned by insiders.

Institutional Trading of Seagate Technology

Institutional investors and hedge funds have recently bought and sold shares of the stock. Wellington Management Group LLP grew its stake in Seagate Technology by 2,655.9% in 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 in the last quarter. Janus Henderson Group PLC raised its stake 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 in the last quarter. Swedbank AB raised its stake 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 in the last quarter. Amundi raised its stake in shares of Seagate Technology by 32.2% during the 1st quarter. Amundi now owns 965,565 shares of the data storage provider’s stock worth $378,267,000 after purchasing an additional 235,359 shares in the last quarter. Finally, Hsbc Holdings PLC boosted its holdings in shares of Seagate Technology by 119.7% in the 1st quarter. Hsbc Holdings PLC now owns 378,527 shares of the data storage provider’s stock valued at $147,753,000 after buying an additional 206,196 shares during the last quarter. Institutional investors own 92.87% of the company’s stock.

About Seagate Technology

Seagate Technology Holdings plc (NASDAQ: STX) is a data storage company that develops and manufactures mass-capacity storage products and solutions. Its portfolio is centered on hard disk drives (HDDs) used in cloud data centers, enterprise systems, network-attached storage, video and imaging applications, and personal computers.

The company also provides storage-related services and solutions designed to help organizations store, manage, protect, and access large volumes of digital information.