Seagate Technology (NASDAQ:STX) Stock Price Down 1.2% After Insider Selling

Key Points

• Seagate shares fell 1.2% after CEO William Mosley sold 30,000 shares for approximately $24.5 million and Director Yolanda Conyers sold 750 shares for about $611,000. Both transactions were conducted under pre-arranged Rule 10b5-1 trading plans.
• Wall Street remains bullish, with a consensus “Moderate Buy” rating and an average price target of $986; several analysts recently raised their targets to between $900 and $1,400.
• Seagate reported strong quarterly results, including $5.71 in EPS and $3.63 billion in revenue, representing year-over-year growth of 48.5%. The company also declared a quarterly dividend of $0.74 per share, or a 0.4% annualized yield.

Seagate Technology Holdings PLC (NASDAQ:STX - Get Free Report) traded down 1.2% during trading on Thursday following insider selling activity. The stock traded as low as $763.52 and last traded at $798.61. Approximately 2,961,975 shares were traded during mid-day trading, a decline of 32% from the average session volume of 4,359,009 shares. The stock had previously closed at $808.54.

Specifically, Director Yolanda Conyers sold 750 shares of the business's stock in a transaction on Tuesday, September 1st. The shares were sold at an average price of $815.11, for a total transaction of $611,332.50. Following the transaction, the director directly owned 3,351 shares of the company's stock, valued at approximately $2,731,433.61. The trade was a 18.29% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William D. Mosley sold 30,000 shares of the firm's stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $816.28, for a total transaction of $24,488,400.00. Following the completion of the sale, the chief executive officer directly owned 295,168 shares of the company's stock, valued at approximately $240,939,735.04. This represents a 9.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analysts Forecast Growth

STX has been the topic of several research analyst reports. Argus boosted their price target 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. Wedbush raised their price objective on shares of Seagate Technology from $825.00 to $1,000.00 and gave the stock an "outperform" rating in a report on Wednesday, July 29th. JPMorgan Chase & Co. lifted their price objective on Seagate Technology from $1,095.00 to $1,240.00 and gave the company an "overweight" rating in a research report on Wednesday, July 29th. Rosenblatt Securities increased their target price on Seagate Technology from $1,300.00 to $1,400.00 and gave the stock a "buy" rating in a research report on Wednesday, July 29th. Finally, Sanford C. Bernstein restated an "outperform" rating and issued a $1,350.00 target price on shares of Seagate Technology in a research note on Wednesday, July 29th. One research 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 stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $986.00.

Seagate Technology Price Performance

The firm has a market capitalization of $181.00 billion, a P/E ratio of 57.54 and a beta of 2.06. The company has a debt-to-equity ratio of 1.56, a quick ratio of 1.17 and a current ratio of 1.67. The firm has a 50-day moving average of $857.47 and a 200-day moving average of $706.14.

Seagate Technology (NASDAQ:STX - Get Free Report) last posted its earnings results on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.10 by $0.61. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. The business had revenue of $3.63 billion for the quarter, compared to analysts' expectations of $3.50 billion. During the same quarter in the prior year, the business earned $2.59 EPS. The business's revenue for the quarter was up 48.5% compared to the same quarter last year. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. As a group, analysts predict that Seagate Technology Holdings PLC will post 35.7 EPS for the current year.

Seagate Technology Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 7th. Stockholders of record on Thursday, September 24th will be paid a $0.74 dividend. The ex-dividend date of this dividend is Thursday, September 24th. This represents a $2.96 annualized dividend and a dividend yield of 0.4%. Seagate Technology's dividend payout ratio (DPR) is 21.33%.

Institutional Trading of Seagate Technology

Institutional investors and hedge funds have recently modified their holdings of the company. California State Teachers Retirement System grew its holdings in Seagate Technology by 102,975.8% during the 2nd quarter. California State Teachers Retirement System now owns 316,744,845 shares of the data storage provider's stock valued at $305,658,775,000 after buying an additional 316,437,552 shares in the last quarter. Wellington Management Group LLP lifted its holdings in shares of Seagate Technology by 2,655.9% in the second quarter. Wellington Management Group LLP now owns 2,414,136 shares of the data storage provider's stock worth $2,329,641,000 after buying an additional 2,326,538 shares in the last quarter. Norges Bank bought a new position in shares of Seagate Technology during the fourth quarter worth $498,363,000. Soroban Capital Partners LP boosted its position in shares of Seagate Technology by 1,468.1% during the second quarter. Soroban Capital Partners LP now owns 1,417,600 shares of the data storage provider's stock worth $204,602,000 after acquiring an additional 1,327,197 shares during the last quarter. Finally, Janus Henderson Group PLC grew its stake in Seagate Technology by 3,872.1% during the first quarter. Janus Henderson Group PLC now owns 967,528 shares of the data storage provider's stock valued at $378,985,000 after acquiring an additional 943,170 shares in the last quarter. 92.87% of the stock is currently owned by institutional investors.

About Seagate Technology

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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