Royal Bank of Canada Increases Stake in Seagate Technology Holdings PLC $STX

Key Points

• Royal Bank of Canada has increased its stake in Seagate Technology by 0.8%, owning a total of 1,628,941 shares worth approximately $138.4 million as of the latest SEC disclosure.
• Seagate Technology recently announced a quarterly dividend of $0.72 per share, to be paid on October 9th, representing a dividend yield of 1.7%.
• The company has a share buyback program authorized for up to $5 billion, indicating the board’s belief that its stock may be undervalued.

Royal Bank of Canada increased its stake in shares of Seagate Technology Holdings PLC (NASDAQ:STX - Free Report) by 0.8% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 1,628,941 shares of the data storage provider's stock after acquiring an additional 12,424 shares during the quarter. Royal Bank of Canada owned approximately 0.77% of Seagate Technology worth $138,378,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds and other institutional investors have also recently bought and sold shares of the stock. AXA S.A. increased its stake in shares of Seagate Technology by 465.4% in the fourth quarter. AXA S.A. now owns 19,150 shares of the data storage provider's stock worth $1,653,000 after buying an additional 15,763 shares during the period. Centiva Capital LP bought a new stake in Seagate Technology in the 4th quarter worth $566,000. Cetera Investment Advisers increased its position in shares of Seagate Technology by 3.8% in the fourth quarter. Cetera Investment Advisers now owns 55,069 shares of the data storage provider's stock valued at $4,753,000 after acquiring an additional 2,038 shares during the period. DigitalBridge Group Inc. raised its stake in shares of Seagate Technology by 69.0% during the fourth quarter. DigitalBridge Group Inc. now owns 478,490 shares of the data storage provider's stock valued at $41,298,000 after acquiring an additional 195,282 shares during the last quarter. Finally, Deutsche Bank AG raised its stake in shares of Seagate Technology by 53.7% during the fourth quarter. Deutsche Bank AG now owns 1,130,761 shares of the data storage provider's stock valued at $97,596,000 after acquiring an additional 394,908 shares during the last quarter. Institutional investors own 92.87% of the company's stock.

Analyst Ratings Changes

A number of research analysts recently issued reports on the company. BNP Paribas Exane upgraded Seagate Technology from an "underperform" rating to a "neutral" rating and set a $100.00 price target on the stock in a report on Friday, May 16th. BNP Paribas upgraded Seagate Technology from a "strong sell" rating to a "hold" rating in a research report on Friday, May 16th. Wall Street Zen cut Seagate Technology from a "buy" rating to a "hold" rating in a research note on Friday, May 30th. Wedbush reaffirmed an "outperform" rating and issued a $140.00 price target on shares of Seagate Technology in a research note on Wednesday, May 21st. Finally, Citigroup lifted their price target on shares of Seagate Technology from $140.00 to $170.00 and gave the company a "buy" rating in a report on Friday, July 11th. Fourteen equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $154.50.

Insider Buying and Selling at Seagate Technology

In related news, CEO William D. Mosley sold 54,347 shares of the business's stock in a transaction dated Monday, June 9th. The shares were sold at an average price of $130.19, for a total transaction of $7,075,435.93. Following the sale, the chief executive officer owned 515,677 shares of the company's stock, valued at $67,135,988.63. The trade was a 9.53% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider James Ci Lee sold 3,509 shares of the company's stock in a transaction dated Thursday, July 31st. The stock was sold at an average price of $154.74, for a total transaction of $542,982.66. Following the completion of the sale, the insider owned 1,288 shares in the company, valued at approximately $199,305.12. This trade represents a 73.15% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 115,019 shares of company stock valued at $16,104,159. Insiders own 0.81% of the company's stock.

Seagate Technology Stock Performance

Shares of STX traded up $4.18 on Friday, reaching $188.16. The stock had a trading volume of 3,760,377 shares, compared to its average volume of 2,534,018. Seagate Technology Holdings PLC has a 12-month low of $63.19 and a 12-month high of $189.23. The firm has a market capitalization of $40.02 billion, a price-to-earnings ratio of 27.79, a price-to-earnings-growth ratio of 1.16 and a beta of 1.53. The company has a 50-day simple moving average of $155.22 and a 200-day simple moving average of $118.49.

Seagate Technology (NASDAQ:STX - Get Free Report) last issued its quarterly earnings results on Tuesday, July 29th. The data storage provider reported $2.59 earnings per share for the quarter, topping the consensus estimate of $2.45 by $0.14. The company had revenue of $2.44 billion for the quarter, compared to analysts' expectations of $2.40 billion. Seagate Technology had a negative return on equity of 169.60% and a net margin of 16.15%.The firm's revenue for the quarter was up 29.5% on a year-over-year basis. During the same period in the prior year, the firm earned $1.05 earnings per share. Seagate Technology has set its Q1 2026 guidance at 2.100-2.500 EPS. On average, analysts expect that Seagate Technology Holdings PLC will post 6.83 EPS for the current fiscal year.

Seagate Technology Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 9th. Investors of record on Tuesday, September 30th will be paid a $0.72 dividend. This represents a $2.88 annualized dividend and a dividend yield of 1.5%. The ex-dividend date is Tuesday, September 30th. Seagate Technology's dividend payout ratio (DPR) is presently 42.54%.

Seagate Technology declared that its board has authorized a share buyback plan on Thursday, May 22nd that authorizes the company to buyback $5.00 billion in shares. This buyback authorization authorizes the data storage provider to reacquire up to 21.6% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's leadership believes its shares are undervalued.

About Seagate Technology

Seagate Technology Holdings plc provides data storage technology and solutions in Singapore, the United States, the Netherlands, and internationally. It provides mass capacity storage products, including enterprise nearline hard disk drives (HDDs), enterprise nearline solid state drives (SSDs), enterprise nearline systems, video and image HDDs, and network-attached storage drives.