Bank of America Forecasts Strong Price Appreciation for Seagate Technology (NASDAQ:STX) Stock

Key Points

• Bank of America raised its price target on Seagate Technology to $605 from $450 and kept a "buy" rating, joining several other firms that have raised targets and leaving the consensus rating at a "Moderate Buy" with an average target of $502.67.
• Seagate beat quarterly expectations with $3.11 EPS vs. $2.77 est and revenue up 21.5% year-over-year, but the stock trades at a premium (P/E ~60.8) around $535 and has seen notable insider selling (112,223 shares, ~$46.7M sold in the last 90 days) as institutional ownership remains high (~92.9%).

Seagate Technology (NASDAQ:STX - Get Free Report) had its price target increased by stock analysts at Bank of America from $450.00 to $605.00 in a research note issued to investors on Monday,Benzinga reports. The firm presently has a "buy" rating on the data storage provider's stock. Bank of America's price target points to a potential upside of 13.05% from the stock's previous close.

Other equities analysts have also recently issued reports about the stock. Wedbush upped their target price on shares of Seagate Technology from $290.00 to $380.00 and gave the company an "outperform" rating in a research note on Friday, January 23rd. JPMorgan Chase & Co. boosted their price objective on shares of Seagate Technology from $525.00 to $600.00 and gave the stock an "overweight" rating in a report on Thursday. Mizuho upped their price objective on shares of Seagate Technology from $475.00 to $565.00 and gave the company an "outperform" rating in a research report on Friday, April 10th. Zacks Research cut shares of Seagate Technology from a "strong-buy" rating to a "hold" rating in a research note on Monday, March 30th. Finally, BNP Paribas Exane lifted their target price on Seagate Technology from $430.00 to $530.00 and gave the stock an "outperform" rating in a research report on Wednesday, February 4th. Nineteen analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $502.67.

Seagate Technology Stock Performance

Shares of NASDAQ STX traded down $12.58 during trading hours on Monday, hitting $535.17. 475,192 shares of the company's stock were exchanged, compared to its average volume of 4,051,945. The company's 50-day moving average price is $422.54 and its 200-day moving average price is $334.96. Seagate Technology has a 1-year low of $72.62 and a 1-year high of $553.57. The stock has a market capitalization of $116.71 billion, a price-to-earnings ratio of 60.82, a PEG ratio of 1.19 and a beta of 1.61. The company has a debt-to-equity ratio of 7.63, a current ratio of 1.12 and a quick ratio of 0.72.

Seagate Technology (NASDAQ:STX - Get Free Report) last released its earnings results on Tuesday, January 27th. The data storage provider reported $3.11 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.77 by $0.34. Seagate Technology had a negative return on equity of 936.38% and a net margin of 19.59%.The firm had revenue of $2.83 billion for the quarter, compared to analyst estimates of $2.73 billion. During the same quarter last year, the firm posted $2.03 EPS. The company's revenue was up 21.5% on a year-over-year basis. Seagate Technology has set its Q3 2026 guidance at 3.200-3.600 EPS. On average, sell-side analysts expect that Seagate Technology will post 6.83 earnings per share for the current fiscal year.

Insider Buying and Selling at Seagate Technology

In related news, EVP Kian Fatt Chong sold 5,846 shares of the company's stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $416.48, for a total value of $2,434,742.08. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Jay L. Geldmacher sold 925 shares of the stock in a transaction dated Friday, January 30th. The stock was sold at an average price of $448.02, for a total transaction of $414,418.50. Following the completion of the transaction, the director directly owned 223 shares of the company's stock, valued at $99,908.46. This trade represents a 80.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 112,223 shares of company stock worth $46,711,217 in the last 90 days. 0.79% of the stock is currently owned by insiders.

Institutional Trading of Seagate Technology

Institutional investors have recently bought and sold shares of the stock. National Pension Service grew its position in Seagate Technology by 28.0% during the 3rd quarter. National Pension Service now owns 250,121 shares of the data storage provider's stock worth $59,044,000 after acquiring an additional 54,722 shares during the last quarter. Tokio Marine Asset Management Co. Ltd. bought a new position in Seagate Technology in the 3rd quarter valued at $1,864,000. Sumitomo Mitsui Trust Group Inc. boosted its stake in Seagate Technology by 1.2% in the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 518,806 shares of the data storage provider's stock worth $142,874,000 after purchasing an additional 6,028 shares in the last quarter. Keystone Investors PTE Ltd. grew its holdings in shares of Seagate Technology by 55.7% during the third quarter. Keystone Investors PTE Ltd. now owns 50,321 shares of the data storage provider's stock worth $11,879,000 after purchasing an additional 18,000 shares during the last quarter. Finally, Estate Counselors LLC bought a new position in shares of Seagate Technology in the third quarter valued at about $2,557,000. 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.

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