Seagate Technology (NASDAQ:STX) Given New $865.00 Price Target at Wells Fargo & Company

Key Points

• Wells Fargo lowered Seagate’s price target from $1,180 to $865 while maintaining an “overweight” rating, implying 31.75% upside from the previous close. Despite the reduction, the analyst remains bullish, and the consensus rating is “Moderate Buy” with a $973.40 target.
• Seagate reported stronger-than-expected quarterly results, with earnings of $5.71 per share versus a $5.10 estimate and revenue of $3.63 billion. Revenue increased 48.5% year over year, supported by continued data-storage demand.
• Insiders sold significant stock, including CEO William Mosley’s approximately $75.6 million sale, though the transactions were reportedly made to cover tax obligations from vested equity awards. Institutional investors continue to hold a dominant 92.87% of the company’s shares.

Seagate Technology (NASDAQ:STX - Get Free Report) had its price objective lowered by investment analysts at Wells Fargo & Company from $1,180.00 to $865.00 in a report released on Friday, Benzinga reports. The brokerage currently has an "overweight" rating on the data storage provider's stock. Wells Fargo & Company's price target points to a potential upside of 31.75% from the stock's previous close.

A number of other equities analysts also recently commented on STX. JPMorgan Chase & Co. lifted their price objective on Seagate Technology from $1,095.00 to $1,240.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 29th. Citigroup upped their target price on Seagate Technology from $1,240.00 to $1,300.00 and gave the company a "buy" rating in a report on Wednesday, July 29th. Barclays raised their target price on Seagate Technology from $1,000.00 to $1,250.00 and gave the stock an "overweight" rating in a research note on Thursday, July 30th. Morgan Stanley lifted their price target on Seagate Technology from $1,035.00 to $1,187.00 and gave the stock an "overweight" rating in a report on Wednesday, July 29th. Finally, Melius Research initiated 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 target on the stock. Twenty-two equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, Seagate Technology has a consensus rating of "Moderate Buy" and a consensus target price of $973.40.

Seagate Technology Price Performance

STX stock traded down $34.28 during mid-day trading on Friday, reaching $656.53. The company's stock had a trading volume of 3,500,472 shares, compared to its average volume of 4,387,913. 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's 50 day moving average is $845.85 and its two-hundred day moving average is $802.60. Seagate Technology has a fifty-two week low of $209.00 and a fifty-two week high of $1,145.00. The stock has a market cap of $149.29 billion, a PE ratio of 47.36 and a beta of 2.06.

Seagate Technology (NASDAQ:STX - Get Free Report) last issued its earnings results on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share for the quarter, topping the consensus estimate of $5.10 by $0.61. The business had revenue of $3.63 billion for the quarter, compared to analysts' expectations of $3.50 billion. Seagate Technology had a return on equity of 369.98% and a net margin of 26.11%. The business's revenue for the quarter was up 48.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $2.59 EPS. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. Equities research analysts expect that Seagate Technology will post 35.70 EPS for the current year.

Insiders Place Their Bets

In other news, EVP John Morris sold 15,466 shares of the stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $772.15, for a total transaction of $11,942,071.90. Following the completion of the transaction, the executive vice president directly owned 31,132 shares in the company, valued at approximately $24,038,573.80. This represents a 33.19% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO William D. Mosley sold 97,889 shares of the firm's stock in a transaction dated 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 sale, the chief executive officer directly owned 378,108 shares of the company's stock, valued at $291,952,311.12. The trade was a 20.57% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 466,959 shares of company stock worth $378,840,741. Company insiders own 0.51% of the company's stock.

Institutional Trading of Seagate Technology

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. NewEdge Advisors LLC increased its position in shares of Seagate Technology by 85.9% during the first quarter. NewEdge Advisors LLC now owns 22,046 shares of the data storage provider's stock worth $8,637,000 after acquiring an additional 10,190 shares during the period. UNICOM Systems Inc. raised its holdings in Seagate Technology by 18.2% in the second quarter. UNICOM Systems Inc. now owns 43,500 shares of the data storage provider's stock valued at $41,978,000 after acquiring an additional 6,700 shares in the last quarter. USA Financial Formulas acquired a new position in Seagate Technology during the 1st quarter worth approximately $1,328,000. Financial Insights Inc. purchased a new stake in shares of Seagate Technology during the 2nd quarter worth $706,000. Finally, Silverleafe Capital Partners LLC acquired a new position in shares of Seagate Technology during the third quarter worth $820,000. Hedge funds and other institutional investors own 92.87% of the company's stock.

Key Stories Impacting Seagate Technology

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

• Positive Sentiment: Wells Fargo says the selloff is overdone: Although the firm reduced its price targets for Seagate and Western Digital because of competition, AI-spending uncertainty and questions about industry pricing, it remains bullish on both companies. Wells Fargo views the weakness as a potential opportunity. Seagate and Western Digital Stocks Have Tanked on Toshiba Fears. Wells Fargo Is Still Bullish.
• Positive Sentiment: Mozaic 4 technology could improve profitability: Seagate’s 44-terabyte Mozaic 4 drives are designed to serve growing cloud-storage demand while increasing areal density and lowering costs. The technology could support additional gross-margin expansion if hyperscaler demand remains strong. Can Seagate’s 44TB Mozaic 4 Drives Lift Gross Margins Further?
• Positive Sentiment: Long-term storage demand remains a potential growth driver: Analysts point to expanding data volumes, cloud infrastructure investment and AI-generated data as reasons Seagate may have a multiyear demand runway, despite recent sector volatility. Seagate Could Have a Long Runway as Data Storage Demand Explodes

Seagate Technology Company Profile

Seagate Technology Holdings plc is a data storage technology company that designs, manufactures and supplies solutions for storing, managing and accessing digital information. Its product portfolio is centered on hard disk drives (HDDs), including high-capacity drives used in cloud data centers, enterprise environments, surveillance systems, network-attached storage and personal computing.

The company also offers solid-state drives (SSDs), storage systems, external storage products and related services.

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