Seagate Technology (NASDAQ:STX) Shares Up 4.4% - Still a Buy?

Key Points

• Shares jumped 4.4% intraday to as high as $792.01 with ~6.43M shares traded (about 51% above average), reflecting a strong market reaction to recent news.
• Seagate beat earnings and raised guidance, reporting $4.10 EPS vs. $3.51 expected and $3.11B revenue (up 44.1% YoY), and management set Q4 2026 EPS guidance of 4.800–5.200, with analysts citing AI/data‑center demand as a key catalyst.
• Multiple firms raised price targets (TD Cowen $850, Wedbush $825, Mizuho $700), leaving a consensus "Moderate Buy" and $709.13 target, even as the stock trades at a high PE (~73) and a market cap of about $173B.

Seagate Technology Holdings PLC (NASDAQ:STX - Get Free Report)'s share price shot up 4.4% during mid-day trading on Tuesday . The company traded as high as $792.01 and last traded at $771.01. 6,427,137 shares changed hands during trading, an increase of 51% from the average session volume of 4,244,382 shares. The stock had previously closed at $738.54.

Seagate Technology News Summary

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

• Positive Sentiment: Analysts and commentators point to three core reasons for optimism—robust earnings, AI/data-center demand and positive momentum—framing the rally as fundamentally driven rather than speculative. Read More.
• Positive Sentiment: Zacks labels STX a top momentum stock, noting technical strength and analyst upgrades that make it attractive to momentum-focused investors. Read More.
• Positive Sentiment: A feature on AI winners highlights a lesser-known AI play that has outpaced Nvidia, reinforcing the narrative that Seagate is benefiting from AI/storage demand and drawing new investor interest. Read More.
• Positive Sentiment: Multiple outlets report earnings-estimate revisions moving higher for Seagate, a bullish signal for near-term fundamentals and a common catalyst for further price gains. Read More.
• Positive Sentiment: Coverage highlighting Seagate as a growth stock (three reasons) and inclusion on Zacks’ #1 momentum list reinforce institutional and retail buy interest. Read More.
• Neutral Sentiment: Seagate announced management will present at upcoming investor conferences (J.P. Morgan and TD Cowen), which may give additional forward guidance and investor access but are not immediate earnings news. Read More.
• Neutral Sentiment: BusinessWire/Yahoo releases detail the same conference schedule and timing for presentations—useful for tracking potential management commentary. Read More.
• Neutral Sentiment: Feature pieces on long-term returns (what $1,000 would have become) raise investor interest and highlight strong multi-year performance, but have limited short-term catalytic value. Read More.
• Negative Sentiment: Some commentary warns the run-up may be overextended — Jim Cramer (via InsiderMonkey) flagged names like Seagate as “really overextended,” a caution that could prompt profit-taking or dampen momentum if echoed by institutional investors. Read More.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on STX. Mizuho upped their price target on shares of Seagate Technology from $565.00 to $700.00 and gave the company an "outperform" rating in a research note on Wednesday, April 29th. Jefferies Financial Group reaffirmed a "hold" rating on shares of Seagate Technology in a research note on Wednesday, February 4th. TD Cowen upped their price target on shares of Seagate Technology from $500.00 to $850.00 and gave the company a "buy" rating in a research note on Wednesday, April 29th. Wedbush upped their price target on shares of Seagate Technology from $700.00 to $825.00 and gave the company an "outperform" rating in a research note on Monday, April 27th. Finally, Weiss Ratings reaffirmed a "buy (b)" rating on shares of Seagate Technology in a research note on Friday, March 27th. One analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $709.13.

Seagate Technology Trading Up 4.4%

The firm has a market cap of $172.88 billion, a PE ratio of 73.15 and a beta of 1.98. The company has a quick ratio of 0.85, a current ratio of 1.33 and a debt-to-equity ratio of 3.16. The company's 50 day moving average price is $454.23 and its two-hundred day moving average price is $358.04.

Seagate Technology (NASDAQ:STX - Get Free Report) last announced its earnings results on Tuesday, April 28th. The data storage provider reported $4.10 earnings per share for the quarter, beating the consensus estimate of $3.51 by $0.59. Seagate Technology had a net margin of 21.60% and a return on equity of 1,005.65%. The business had revenue of $3.11 billion for the quarter, compared to the consensus estimate of $2.96 billion. During the same quarter in the prior year, the firm posted $1.90 earnings per share. The business's revenue for the quarter was up 44.1% on a year-over-year basis. Seagate Technology has set its Q4 2026 guidance at 4.800-5.200 EPS. As a group, sell-side analysts forecast that Seagate Technology Holdings PLC will post 14.1 EPS for the current year.

Seagate Technology Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, July 7th. Stockholders of record on Wednesday, June 24th will be paid a $0.74 dividend. The ex-dividend date of this dividend is Wednesday, June 24th. This represents a $2.96 annualized dividend and a dividend yield of 0.4%. Seagate Technology's dividend payout ratio is currently 28.08%.

Insider Buying and Selling at Seagate Technology

In related news, CEO William D. Mosley sold 20,000 shares of the firm's stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $420.73, for a total value of $8,414,600.00. Following the transaction, the chief executive officer owned 355,591 shares of the company's stock, valued at $149,607,801.43. This trade represents a 5.32% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Kian Fatt Chong sold 5,846 shares of the firm's stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $416.48, for a total transaction of $2,434,742.08. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 70,430 shares of company stock worth $28,544,576. Insiders own 0.79% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the stock. Salomon & Ludwin LLC increased its stake in Seagate Technology by 124.4% in the 4th quarter. Salomon & Ludwin LLC now owns 92 shares of the data storage provider's stock worth $27,000 after buying an additional 51 shares during the period. Rakuten Securities Inc. increased its stake in Seagate Technology by 884.2% in the 2nd quarter. Rakuten Securities Inc. now owns 187 shares of the data storage provider's stock worth $27,000 after buying an additional 168 shares during the period. Armstrong Advisory Group Inc. purchased a new position in Seagate Technology in the 4th quarter worth about $28,000. Avion Wealth increased its stake in Seagate Technology by 343.5% in the 4th quarter. Avion Wealth now owns 102 shares of the data storage provider's stock worth $28,000 after buying an additional 79 shares during the period. Finally, Concord Wealth Partners purchased a new position in Seagate Technology in the 4th quarter worth about $28,000. Hedge funds and other institutional investors own 92.87% of the company's stock.

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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