Seagate Technology (NASDAQ:STX) Stock Price Down 9.2% – Here’s What Happened

Seagate Technology Holdings PLC (NASDAQ:STX) fell 9.2% during mid-day trading on Tuesday . The company traded as low as $898.68 and last traded at $903.68. Approximately 4,525,961 shares were traded during mid-day trading, an increase of 2% from the average daily volume of 4,440,186 shares. The stock had previously closed at $994.79.

Seagate Technology News Summary

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

• Positive Sentiment: AI demand and HAMR technology support the growth outlook. Recent analysis says Seagate’s momentum is being driven by strong demand for data-center storage, advances in heat-assisted magnetic recording (HAMR), disciplined execution, expanding margins and record cash flow. Seagate’s Growth Engine Gains Momentum Across 3 Fronts
• Positive Sentiment: Analysts and commentators remain bullish on the storage cycle. Jim Cramer included STX among memory and storage stocks that may still have significant upside, while other coverage highlights Seagate’s above-average financial growth and positioning to benefit from rising AI infrastructure spending. Jim Cramer says it’s not too late to invest in SNDK, MU, STX, WDC
• Positive Sentiment: Strong recent results have reinforced the investment case. Seagate’s latest quarterly report exceeded earnings and revenue expectations, with revenue up sharply year over year. Coverage also points to the company’s strong cash generation and the potential for sustained earnings growth. Seagate Stock Gains as AI Storage Demand Fuels Record Cash Flow
• Neutral Sentiment: Broader market momentum is supporting storage stocks. Seagate has been moving alongside SanDisk, Micron, Marvell and other AI-related names as investors favor semiconductor and data-center themes. However, the broader market is also focused on Federal Reserve policy and upcoming retail earnings. Stocks That Explain Today’s Market
• Negative Sentiment: Valuation and recent gains raise the risk of a pullback. STX has climbed substantially over the past six months and recently reached a new 52-week high. With a high earnings multiple and a cyclical storage industry vulnerable to supply-demand swings, investors may be locking in gains despite the favorable long-term outlook. 3 Reasons We Love Seagate

Wall Street Analyst Weigh In

A number of brokerages have weighed in on STX. Zacks Research raised Seagate Technology from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, July 28th. Wall Street Zen downgraded Seagate Technology from a “strong-buy” rating to a “buy” rating in a report on Saturday. BNP Paribas Exane upped their price objective on shares of Seagate Technology from $530.00 to $860.00 and gave the stock an “outperform” rating in a research note on Wednesday, April 29th. Fox Advisors cut shares of Seagate Technology from an “overweight” rating to an “equal weight” rating in a report on Monday, June 22nd. Finally, UBS Group raised their target price on shares of Seagate Technology from $515.00 to $545.00 and gave the company a “neutral” rating in a research report on Wednesday, April 29th. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $986.00.

Seagate Technology Trading Down 9.2%

The firm has a market capitalization of $204.77 billion, a PE ratio of 65.09 and a beta of 2.06. 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 company’s 50-day simple moving average is $893.72 and its 200 day simple moving average is $671.34.

Seagate Technology (NASDAQ:STX) last issued its quarterly earnings data on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share (EPS) for the quarter, topping 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 company’s quarterly revenue was up 48.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.59 EPS. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. As a group, sell-side analysts expect that Seagate Technology Holdings PLC will post 34.42 EPS for the current year.

Seagate Technology Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 7th. Shareholders of record on Thursday, September 24th will be issued a $0.74 dividend. This represents a $2.96 annualized dividend and a yield of 0.3%. The ex-dividend date of this dividend is Thursday, September 24th. Seagate Technology’s payout ratio is currently 21.33%.

Insider Transactions at Seagate Technology

In related news, CFO Gianluca Romano sold 14,091 shares of the business’s stock in a transaction on Friday, August 7th. The stock was sold at an average price of $811.25, for a total transaction of $11,431,323.75. Following the transaction, the chief financial officer directly owned 21,543 shares in the company, valued at $17,476,758.75. The trade was a 39.54% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Ban Seng Teh sold 7,361 shares of the company’s stock in a transaction dated 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 in the company, valued at $2,698,864.80. This represents a 71.52% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 163,650 shares of company stock valued at $138,616,274. Corporate insiders own 0.79% of the company’s stock.

Institutional Investors Weigh In On Seagate Technology

Institutional investors have recently added to or reduced their stakes in the business. Integrated Wealth Concepts LLC raised its position in shares of Seagate Technology by 168.0% in the 1st quarter. Integrated Wealth Concepts LLC now owns 7,177 shares of the data storage provider’s stock valued at $610,000 after purchasing an additional 4,499 shares during the last quarter. Sivia Capital Partners LLC purchased a new stake in Seagate Technology during the 2nd quarter worth approximately $262,000. Cerity Partners LLC increased its stake in Seagate Technology by 25.8% during the 2nd quarter. Cerity Partners LLC now owns 36,682 shares of the data storage provider’s stock valued at $5,294,000 after purchasing an additional 7,517 shares in the last quarter. Sei Investments Co. increased its stake in Seagate Technology by 64.8% during the 2nd quarter. Sei Investments Co. now owns 8,543 shares of the data storage provider’s stock valued at $1,233,000 after purchasing an additional 3,358 shares in the last quarter. Finally, The Manufacturers Life Insurance Company raised its holdings in shares of Seagate Technology by 0.4% in the second quarter. The Manufacturers Life Insurance Company now owns 127,887 shares of the data storage provider’s stock worth $18,458,000 after buying an additional 462 shares during the last quarter. Institutional investors and hedge funds own 92.87% of the company’s stock.

Seagate Technology Company Profile

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.