Seagate Technology (NASDAQ:STX) Reaches New 12-Month High - Here's Why

Key Points

• Seagate Technology shares hit a new 52-week high of $163.26 during mid-day trading, with significant recent upgrades from major analysts, including a buy rating from Goldman Sachs and Citigroup.
• The company reported a quarterly EPS of $2.59, exceeding analysts' expectations, and noted a 29.5% increase in revenue year-over-year, setting its Q1 2026 guidance between 2.100-2.500 EPS.
• Seagate Technology recently announced a quarterly dividend of $0.72 and initiated a $5.00 billion stock buyback plan, indicating management's confidence in the company's value and future prospects.

Seagate Technology Holdings PLC (NASDAQ:STX - Get Free Report) shares reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $162.66 and last traded at $163.26, with a volume of 337961 shares traded. The stock had previously closed at $159.21.

Analyst Ratings Changes

Several equities analysts recently issued reports on STX shares. BNP Paribas upgraded Seagate Technology from a "strong sell" rating to a "hold" rating in a research report on Friday, May 16th. The Goldman Sachs Group started coverage on Seagate Technology in a research report on Thursday, July 10th. They set a "buy" rating and a $170.00 price target on the stock. Citigroup raised their price target on Seagate Technology from $140.00 to $170.00 and gave the stock a "buy" rating in a research report on Friday, July 11th. Wedbush reiterated an "outperform" rating and issued a $140.00 price objective on shares of Seagate Technology in a report on Wednesday, May 21st. Finally, Benchmark increased their price objective on Seagate Technology from $128.00 to $165.00 and gave the stock a "buy" rating in a report on Wednesday, July 30th. Fourteen research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $151.44.

Seagate Technology Stock Performance

The company has a market cap of $35.14 billion, a P/E ratio of 24.41, a price-to-earnings-growth ratio of 0.98 and a beta of 1.50. The stock has a 50-day moving average of $147.68 and a two-hundred day moving average of $113.58.

Seagate Technology (NASDAQ:STX - Get Free Report) last posted its earnings results on Tuesday, July 29th. The data storage provider reported $2.59 EPS for the quarter, topping analysts' consensus estimates of $2.45 by $0.14. Seagate Technology had a negative return on equity of 169.60% and a net margin of 16.15%.The business had revenue of $2.44 billion during the quarter, compared to analyst estimates of $2.40 billion. During the same quarter last year, the company earned $1.05 EPS. The company's quarterly revenue was up 29.5% compared to the same quarter last year. Seagate Technology has set its Q1 2026 guidance at 2.100-2.500 EPS. Research analysts predict that Seagate Technology Holdings PLC will post 6.83 EPS for the current year.

Seagate Technology Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 9th. Stockholders of record on Tuesday, September 30th will be given a $0.72 dividend. This represents a $2.88 annualized dividend and a dividend yield of 1.7%. The ex-dividend date is Tuesday, September 30th. Seagate Technology's payout ratio is presently 42.54%.

Seagate Technology declared that its Board of Directors has approved a stock buyback plan on Thursday, May 22nd that allows the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization allows the data storage provider to purchase up to 21.6% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company's leadership believes its shares are undervalued.

Insider Transactions at Seagate Technology

In other Seagate Technology news, Director Jay L. Geldmacher sold 2,500 shares of the company's stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $150.50, for a total transaction of $376,250.00. Following the sale, the director directly owned 352 shares in the company, valued at $52,976. This represents a 87.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, CEO William D. Mosley sold 20,000 shares of the company's stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $153.75, for a total value of $3,075,000.00. Following the transaction, the chief executive officer directly owned 478,912 shares in the company, valued at approximately $73,632,720. This represents a 4.01% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 343,414 shares of company stock valued at $43,661,770 over the last three months. Corporate insiders own 0.81% of the company's stock.

Hedge Funds Weigh In On Seagate Technology

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. JPMorgan Chase & Co. grew its holdings in shares of Seagate Technology by 12.9% during the first quarter. JPMorgan Chase & Co. now owns 18,920,792 shares of the data storage provider's stock worth $1,607,321,000 after purchasing an additional 2,161,191 shares during the last quarter. Norges Bank purchased a new stake in Seagate Technology in the 2nd quarter valued at approximately $197,027,000. Boston Partners purchased a new stake in Seagate Technology in the 2nd quarter valued at approximately $193,500,000. Soroban Capital Partners LP boosted its holdings in Seagate Technology by 1,468.1% in the 2nd quarter. Soroban Capital Partners LP now owns 1,417,600 shares of the data storage provider's stock valued at $204,602,000 after purchasing an additional 1,327,197 shares in the last quarter. Finally, Wellington Management Group LLP lifted its position in shares of Seagate Technology by 3,339.4% during the 1st quarter. Wellington Management Group LLP now owns 933,996 shares of the data storage provider's stock valued at $79,343,000 after acquiring an additional 906,840 shares during the period. Hedge funds and other institutional investors own 92.87% of the company's stock.

Seagate Technology Company Profile

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.

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