Seagate Technology (NASDAQ:STX) Shares Down 9.2% – Here’s Why

Seagate Technology Holdings PLC (NASDAQ:STX) shares fell 9.2% during mid-day trading on Tuesday . The company traded as low as $898.68 and last traded at $903.68. 4,525,961 shares were traded during trading, an increase of 2% from the average daily volume of 4,440,186 shares. The stock had previously closed at $994.79.

Analyst Ratings Changes

Several analysts have issued reports on STX shares. Wall Street Zen downgraded shares of Seagate Technology from a “strong-buy” rating to a “buy” rating in a report on Saturday, August 15th. BNP Paribas Exane lifted their price objective on Seagate Technology from $530.00 to $860.00 and gave the stock an “outperform” rating in a research report on Wednesday, April 29th. Wells Fargo & Company upped their target price on Seagate Technology from $1,100.00 to $1,180.00 and gave the company an “overweight” rating in a research note on Wednesday, July 29th. Mizuho increased their target price on Seagate Technology from $875.00 to $1,090.00 and gave the company an “outperform” rating in a report on Monday, June 8th. Finally, Sanford C. Bernstein reissued an “outperform” rating and set a $1,350.00 price target on shares of Seagate Technology in a research report on Wednesday, July 29th. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, Seagate Technology presently has a consensus rating of “Moderate Buy” and a consensus target price of $986.00.

Seagate Technology Trading Up 1.8%

The company has a debt-to-equity ratio of 1.56, a current ratio of 1.67 and a quick ratio of 1.17. The firm has a market cap of $192.14 billion, a price-to-earnings ratio of 60.59 and a beta of 2.06. The business’s 50-day moving average price is $895.20 and its two-hundred day moving average price is $677.30.

Seagate Technology (NASDAQ:STX) last announced its earnings results on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.10 by $0.61. The firm had revenue of $3.63 billion for the quarter, compared to analyst estimates of $3.50 billion. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. Seagate Technology’s revenue was up 48.5% compared to the same quarter last year. During the same quarter last year, the business earned $2.59 earnings per share. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. Equities analysts expect that Seagate Technology Holdings PLC will post 34.42 earnings per share for the current year.

Seagate Technology Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 7th. Stockholders of record on Thursday, September 24th will be given a $0.74 dividend. The ex-dividend date of this dividend is Thursday, September 24th. This represents a $2.96 dividend on an annualized basis and a dividend yield of 0.3%. Seagate Technology’s payout ratio is currently 21.33%.

Insiders Place Their Bets

In other Seagate Technology news, EVP James Ci Lee sold 694 shares of the firm’s stock in a transaction dated Thursday, July 30th. The stock was sold at an average price of $877.45, for a total value of $608,950.30. Following the sale, the executive vice president directly owned 347 shares of the company’s stock, valued at approximately $304,475.15. This trade represents a 66.67% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Gianluca Romano sold 880 shares of Seagate Technology stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $845.12, for a total value of $743,705.60. Following the completion of the sale, the chief financial officer owned 20,663 shares of the company’s stock, valued at $17,462,714.56. This trade represents a 4.08% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 133,650 shares of company stock valued at $116,077,574. 0.79% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the stock. Integrated Wealth Concepts LLC increased its position in Seagate Technology by 168.0% during the first quarter. Integrated Wealth Concepts LLC now owns 7,177 shares of the data storage provider’s stock worth $610,000 after purchasing an additional 4,499 shares during the last quarter. Sivia Capital Partners LLC purchased a new position in Seagate Technology during the second quarter worth approximately $262,000. Cerity Partners LLC boosted its holdings in shares of Seagate Technology by 25.8% in the 2nd quarter. Cerity Partners LLC now owns 36,682 shares of the data storage provider’s stock valued at $5,294,000 after purchasing an additional 7,517 shares during the last quarter. Sei Investments Co. boosted its holdings in shares of Seagate Technology by 64.8% in the 2nd quarter. Sei Investments Co. now owns 8,543 shares of the data storage provider’s stock valued at $1,233,000 after purchasing an additional 3,358 shares during the last quarter. Finally, The Manufacturers Life Insurance Company grew its stake in shares of Seagate Technology by 0.4% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 127,887 shares of the data storage provider’s stock valued at $18,458,000 after buying an additional 462 shares during the period. 92.87% of the stock is currently owned by hedge funds and other 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.