Wedbush Reaffirms Outperform Rating for Seagate Technology (NASDAQ:STX)

Seagate Technology (NASDAQ:STX)‘s stock had its “outperform” rating restated by Wedbush in a research note issued on Wednesday, Benzinga reports. They currently have a $1,000.00 price target on the data storage provider’s stock. Wedbush‘s target price would suggest a potential upside of 50.93% from the stock’s previous close.

Other analysts have also recently issued reports about the stock. Weiss Ratings upgraded shares of Seagate Technology from a “buy (b-)” rating to a “buy (b)” rating in a research note on Friday, October 16th. UBS Group reiterated a “neutral” rating and issued a $750.00 target price on shares of Seagate Technology in a research report on Wednesday. Rosenblatt Securities decreased their target price on shares of Seagate Technology from $1,400.00 to $1,100.00 and set a “buy” rating for the company in a research report on Monday. Argus boosted their target price on shares of Seagate Technology from $750.00 to $900.00 and gave the company a “buy” rating in a research report on Thursday, July 30th. Finally, Morgan Stanley decreased their price target on Seagate Technology from $1,200.00 to $1,148.00 and set an “overweight” rating for the company in a report on Wednesday. Twenty-two investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, Seagate Technology currently has an average rating of “Moderate Buy” and an average target price of $983.44.

Seagate Technology Trading Down 0.8%

STX stock traded down $5.29 during midday trading on Wednesday, hitting $662.56. The company’s stock had a trading volume of 2,944,756 shares, compared to its average volume of 4,422,324. Seagate Technology has a 12 month low of $228.61 and a 12 month high of $1,145.00. The company has a 50 day moving average of $809.95 and a two-hundred day moving average of $682.75.

Seagate Technology (NASDAQ:STX) last announced its earnings results on Tuesday, October 27th. The data storage provider reported $7.68 earnings per share for the quarter, beating the consensus estimate of $7.45 by $0.23. The firm had revenue of $4.23 billion during the quarter, compared to analysts’ expectations of $4.15 billion. During the same period in the prior year, the company posted $2.61 EPS. The company’s revenue was up 61.0% compared to the same quarter last year. Research analysts anticipate that Seagate Technology will post 35.79 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, EVP Ban Teh sold 52,730 shares of the stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $782.08, for a total transaction of $41,239,078.40. Following the completion of the transaction, the executive vice president directly owned 5,810 shares in the company, valued at approximately $4,543,884.80. This represents a 90.08% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William D. 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 transaction, the chief executive officer owned 378,108 shares of the company’s stock, valued at approximately $291,952,311.12. This represents a 20.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 467,506 shares of company stock valued at $379,191,992. 0.51% of the stock is owned by company insiders.

Hedge Funds Weigh In On Seagate Technology

Several large investors have recently made changes to their positions in STX. Wellington Management Group LLP raised its holdings in shares of Seagate Technology by 2,655.9% in the 2nd 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 buying an additional 2,326,538 shares during the period. National Pension Service raised its holdings in shares of Seagate Technology by 0.8% in the 2nd quarter. National Pension Service now owns 834,705 shares of the data storage provider’s stock valued at $805,490,000 after buying an additional 6,944 shares during the period. Janus Henderson Group PLC raised 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 buying an additional 943,170 shares during the period. Amundi raised its holdings in shares of Seagate Technology by 32.2% in the 1st quarter. Amundi now owns 965,565 shares of the data storage provider’s stock valued at $378,267,000 after buying an additional 235,359 shares during the period. Finally, Swedbank AB raised its holdings in shares of Seagate Technology by 67.6% in the 1st quarter. Swedbank AB now owns 709,160 shares of the data storage provider’s stock valued at $277,821,000 after buying an additional 285,949 shares during the period. 92.87% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Seagate Technology

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

• Positive Sentiment: Seagate reported adjusted earnings of $7.68 per share and revenue of $4.23 billion, exceeding analyst estimates of $7.45 and $4.15 billion, respectively. Revenue increased 61% year over year, while data-center revenue rose 63%, reflecting strong demand tied to artificial-intelligence infrastructure. Seagate Technology Reports Fiscal First Quarter 2027 Financial Results
• Positive Sentiment: Management forecast approximately $4.8 billion of December-quarter revenue and $9.20 in non-GAAP EPS, reportedly above Wall Street expectations. Seagate also cited record free cash flow and customer commitments extending through 2030, supporting the longer-term AI and cloud-storage growth case. Seagate Says It Can’t Make Hard Drives Fast Enough for AI
• Positive Sentiment: The company raised its quarterly dividend 2.7% to $0.76 per share. Wedbush reaffirmed an “outperform” rating with a $1,000 price target, while Morgan Stanley maintained an “overweight” rating and set a $1,148 target. Analysts revise forecasts on Seagate after Q1 results
• Neutral Sentiment: Seagate’s HAMR and SMR storage technologies achieved expanded interoperability with Broadcom systems and validation at Microsoft Azure, potentially improving adoption among hyperscale customers, although the financial impact will take time to develop. Seagate’s HAMR and SMR breakthrough
• Negative Sentiment: Investors focused on slowing shipment growth, potentially moderating margins, and whether AI-related demand can justify Seagate’s elevated valuation. The earnings beat may have been insufficient against already-high expectations, prompting profit-taking after the release. Why is Seagate stock falling despite an earnings beat?
• Negative Sentiment: Susquehanna lowered its price target from $925 to $765 and changed its rating to “neutral,” adding to concerns that much of Seagate’s expected growth may already be reflected in the stock price. Susquehanna Seagate recommendations

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.