Seagate Technology (NASDAQ:STX) Shares Up 1.1% – Time to Buy?

Seagate Technology Holdings PLC (NASDAQ:STX) shot up 1.1% during mid-day trading on Friday. The company traded as high as $789.59 and last traded at $783.00. Approximately 3,913,994 shares were traded during trading, a decline of 11% from the average session volume of 4,376,333 shares. The stock had previously closed at $774.83.

Trending Headlines about Seagate Technology

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

• Positive Sentiment: Seagate’s AI-driven growth remains the primary bullish argument. Demand from data-center and AI infrastructure buildouts is supporting expectations for strong hard-drive sales, though investors are questioning whether that growth justifies the stock’s elevated valuation. Can Seagate’s AI-Driven Growth Justify Its Sky-High Expectations?
• Positive Sentiment: Commentary from Jim Cramer highlighted Seagate and Western Digital’s restrained capacity additions amid surging AI storage demand, suggesting disciplined supply could support pricing and margins. Seagate and Western Digital Capacity Strategy
• Neutral Sentiment: Seagate generated $3.1 billion in fiscal 2026 free cash flow, comfortably covering its $0.74 quarterly dividend. However, the annualized $2.96 payout represents only a modest yield at the recent share price, limiting the dividend’s appeal as an income catalyst. Seagate’s Dividend Has a Large Cash Cushion
• Neutral Sentiment: Investors are looking ahead to Seagate’s next quarterly earnings report for evidence that AI demand, revenue growth, and management guidance can support the stock’s high earnings expectations. What to Expect From Seagate Technology’s Next Quarterly Earnings Report
• Negative Sentiment: Reports involving a TDK unit bid and Toshiba’s expansion of AI hard-drive capacity raised concerns about additional competition and future industry supply, contributing to a sharp sell-off in STX. Seagate Down After TDK and Toshiba News
• Negative Sentiment: Disappointing preliminary results from Samsung cooled the broader memory and AI trade, creating negative sentiment for storage-related stocks even though Seagate’s business is focused on hard drives. The Memory Trade Cools After Samsung’s Results

Wall Street Analyst Weigh In

A number of brokerages have weighed in on STX. Barclays lifted their price target on shares of Seagate Technology from $1,000.00 to $1,250.00 and gave the company an “overweight” rating in a research note on Thursday, July 30th. Wells Fargo & Company raised their price objective on shares of Seagate Technology from $1,100.00 to $1,180.00 and gave the stock an “overweight” rating in a report on Wednesday, July 29th. TD Cowen boosted their price objective on shares of Seagate Technology from $850.00 to $1,000.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $1,300.00 target price on shares of Seagate Technology in a research note on Wednesday, July 29th. Finally, JPMorgan Chase & Co. increased their target price on Seagate Technology from $1,095.00 to $1,240.00 and gave the stock an “overweight” rating in a report on Wednesday, July 29th. Twenty-two equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $986.00.

Seagate Technology Stock Up 1.1%

The company has a current ratio of 1.67, a quick ratio of 1.17 and a debt-to-equity ratio of 1.56. The company has a market capitalization of $178.05 billion, a P/E ratio of 56.41 and a beta of 2.06. The firm’s 50 day moving average price is $856.56 and its two-hundred day moving average price is $790.73.

Seagate Technology (NASDAQ:STX) last announced its quarterly earnings data on Tuesday, July 28th. The data storage provider reported $5.71 EPS for the quarter, topping analysts’ consensus estimates of $5.10 by $0.61. The business 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%. The firm’s revenue for the quarter was up 48.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.59 earnings per share. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. Equities research analysts forecast that Seagate Technology Holdings PLC will post 35.7 EPS for the current year.

Seagate Technology Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, October 7th. Stockholders of record on Thursday, September 24th were paid a dividend of $0.74 per share. This represents a $2.96 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date was Thursday, September 24th. Seagate Technology’s dividend payout ratio is currently 21.33%.

Insider Buying and Selling

In related news, EVP Ban Teh sold 52,730 shares of the company’s stock in a transaction dated Tuesday, September 15th. The stock was sold at an average price of $782.08, for a total transaction of $41,239,078.40. Following the sale, the executive vice president owned 5,810 shares in the company, valued at approximately $4,543,884.80. This represents a 90.08% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP John Morris sold 9,354 shares of the stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $877.91, for a total value of $8,211,970.14. Following the transaction, the executive vice president directly owned 22,693 shares of the company’s stock, valued at $19,922,411.63. This trade represents a 29.19% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 466,959 shares of company stock worth $378,840,741 in the last three months. Insiders own 0.51% of the company’s stock.

Hedge Funds Weigh In On Seagate Technology

A number of institutional investors have recently added to or reduced their stakes in STX. Wellington Management Group LLP lifted its stake in 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 valued at $2,329,641,000 after acquiring an additional 2,326,538 shares during the last quarter. Janus Henderson Group PLC lifted its stake in Seagate Technology by 3,872.1% in the 1st quarter. Janus Henderson Group PLC now owns 967,528 shares of the data storage provider’s stock valued at $378,985,000 after purchasing an additional 943,170 shares during the last quarter. Deutsche Bank AG lifted its stake in Seagate Technology by 102.0% in the 4th quarter. Deutsche Bank AG now owns 1,599,962 shares of the data storage provider’s stock valued at $440,614,000 after purchasing an additional 807,962 shares during the last quarter. Amanah Holdings Trust bought a new position in Seagate Technology during the fourth quarter worth about $79,801,000. Finally, Swedbank AB grew its holdings in Seagate Technology by 67.6% during the first quarter. Swedbank AB now owns 709,160 shares of the data storage provider’s stock worth $277,821,000 after purchasing an additional 285,949 shares during the period. 92.87% of the stock is currently owned by institutional investors and hedge funds.

About Seagate Technology

Seagate Technology Holdings plc is a data storage technology company that designs, manufactures and supplies solutions for storing, managing and accessing digital information. Its product portfolio is centered on hard disk drives (HDDs), including high-capacity drives used in cloud data centers, enterprise environments, surveillance systems, network-attached storage and personal computing.

The company also offers solid-state drives (SSDs), storage systems, external storage products and related services.