Seagate Soars 7% on Earnings Beat and Bullish Outlook as Storage Demand Accelerates

Seagate Technology Holdings plc, trading under the symbol NASDAQ:STX, is a prominent player in the data storage industry. The company specializes in mass-capacity storage solutions, which are increasingly in demand due to the rapid growth of data driven by technological advancements and artificial intelligence.

Seagate's competitors include Western Digital and Toshiba, both of which also operate in the data storage sector. On May 23, 2025, Vijay Rakesh from Mizuho Securities set a new price target for STX at $130. At the time, the stock was trading at $112.74, indicating a potential increase of 15.31%. This optimistic outlook aligns with Seagate's strategic initiatives discussed at their recent 2025 Investor and Analyst Conference. The event highlighted the company's focus on leveraging technological innovation to drive growth and profitability.

The conference featured key figures such as CEO Dave Mosley and CFO Gianluca Romano, who provided insights into Seagate's future direction. Analysts from major financial institutions like Morgan Stanley and Wells Fargo Securities attended, underscoring the significance of the event. Seagate's emphasis on artificial intelligence and data growth positions it well to meet the rising demand for storage solutions.

Currently, STX is priced at $112.74, with a recent price change of $3.88, marking a 3.56% increase. The stock has fluctuated between $108.43 and $113.15 today, reflecting investor interest and market dynamics. Over the past year, STX has seen a high of $115.32 and a low of $63.19, indicating significant volatility and potential for growth. Seagate's market capitalization is approximately $23.93 billion, with a trading volume of 5.8 million shares. This robust market presence, combined with strategic initiatives and a positive outlook from analysts, suggests that Seagate is well-positioned to capitalize on industry trends and deliver value to shareholders.

Seagate Technology (NASDAQ:STX) shares surged more than 7% in pre-market today after the company delivered strong third-quarter results and issued a better-than-expected forecast, signaling robust momentum in the data storage market.

For the quarter, the company posted adjusted earnings of $1.90 per share, beating analyst expectations of $1.73. Revenue reached $2.16 billion, also ahead of the $2.12 billion consensus and representing a sharp 30.5% increase from the prior year.

The results were fueled by sustained demand for mass capacity storage solutions and improvements to the company’s operating structure. Seagate’s gross margin rose to 36.2%, a significant jump from 26.1% a year earlier, reflecting improved efficiency and pricing power.

Looking ahead, Seagate offered an upbeat fourth-quarter outlook, guiding for adjusted EPS between $2.20 and $2.60—well above the $2.05 analyst estimate. Revenue is expected to range from $2.25 billion to $2.55 billion, with the midpoint of $2.40 billion exceeding Street forecasts of $2.28 billion.

Seagate Technology PLC (NASDAQ:STX) delivered better-than-expected results for its second quarter, driven by robust demand for its data storage solutions. Following the announcement, the company's shares rose around 7% in pre-market today.

For the quarter, Seagate reported adjusted earnings per share of $2.03, surpassing analyst expectations of $1.87. The company posted a net income of $336 million. Revenue for the quarter reached $2.33 billion, slightly above the consensus estimate of $2.32 billion.

Looking ahead, Seagate provided third-quarter revenue guidance of $2.10 billion, with a margin of $150 million, and projected non-GAAP diluted earnings per share in the range of $1.50 to $1.90.

The company is focusing on its heat-assisted magnetic recording (HAMR) technology to cater to the growing demand for higher-capacity data storage. As cloud providers and enterprises continue to expand their data infrastructure, Seagate is banking on this cutting-edge technology to maintain its competitive edge.

During the December quarter, Seagate began ramping up production of HAMR-based Mozaic products, delivering to a major cloud customer. The company also highlighted progress in sampling drives with capacities of up to 36 terabytes, signaling a leap forward in storage innovation.

Seagate Technology PLC (NASDAQ:STX) delivered better-than-expected results for its second quarter, driven by robust demand for its data storage solutions. Following the announcement, the company's shares rose around 7% in pre-market today.

For the quarter, Seagate reported adjusted earnings per share of $2.03, surpassing analyst expectations of $1.87. The company posted a net income of $336 million. Revenue for the quarter reached $2.33 billion, slightly above the consensus estimate of $2.32 billion.

Looking ahead, Seagate provided third-quarter revenue guidance of $2.10 billion, with a margin of $150 million, and projected non-GAAP diluted earnings per share in the range of $1.50 to $1.90.

The company is focusing on its heat-assisted magnetic recording (HAMR) technology to cater to the growing demand for higher-capacity data storage. As cloud providers and enterprises continue to expand their data infrastructure, Seagate is banking on this cutting-edge technology to maintain its competitive edge.

During the December quarter, Seagate began ramping up production of HAMR-based Mozaic products, delivering to a major cloud customer. The company also highlighted progress in sampling drives with capacities of up to 36 terabytes, signaling a leap forward in storage innovation.

• Seagate Technology Holdings plc (NASDAQ:STX) reported earnings per share (EPS) of $1.55 (GAAP) and generated revenue of approximately $2.33 billion, surpassing the estimated $2.2 billion.
• The company's EPS for the quarter ending December 2024 was $2.03 (Non-GAAP), exceeding the consensus estimate of $1.88 and marking a significant rise from $0.12 in the year-ago quarter.
• Seagate's financial metrics reveal a price-to-earnings (P/E) ratio of approximately 18.12, a price-to-sales ratio of about 2.67, and an enterprise value to sales ratio of around 2.57, indicating strong financial health and market position.

Seagate Technology Holdings plc (NASDAQ:STX) is a prominent player in the mass-capacity data storage industry. The company focuses on providing scalable, cost-efficient, and sustainable storage solutions, especially in the growing field of AI. Seagate's competitors include Western Digital and Toshiba, which also operate in the data storage sector.

On January 21, 2025, Seagate reported EPS of $2.03 (Non-GAAP) for the quarter ending December 2024 was a substantial rise from $0.12 in the year-ago quarter. This EPS exceeded the consensus estimate of $1.88, delivering a surprise of 7.98%. This performance underscores Seagate's ability to exceed market expectations. The company generated revenue of approximately $2.33 billion, surpassing the estimated $2.2 billion. This revenue figure marked a significant increase of 49.5% compared to the same period last year, as highlighted by Zacks.

Seagate's financial metrics provide further insight into its market position. The company has a price-to-earnings (P/E) ratio of approximately 18.12, indicating how the market values its earnings. Its price-to-sales ratio is about 2.67, reflecting investor willingness to pay per dollar of sales. The enterprise value to sales ratio is around 2.57, showing the company's total valuation relative to its sales.

The company's financial structure is unique, with a negative debt-to-equity ratio of -0.44, which may suggest a specific financial strategy. Additionally, Seagate's current ratio of approximately 1.23 indicates its ability to cover short-term liabilities with short-term assets. These metrics, combined with a decade-high gross margin performance, highlight Seagate's strong financial health and strategic focus.

• Seagate Technology Holdings plc (NASDAQ:STX) reported earnings per share (EPS) of $1.55 (GAAP) and generated revenue of approximately $2.33 billion, surpassing the estimated $2.2 billion.
• The company's EPS for the quarter ending December 2024 was $2.03 (Non-GAAP), exceeding the consensus estimate of $1.88 and marking a significant rise from $0.12 in the year-ago quarter.
• Seagate's financial metrics reveal a price-to-earnings (P/E) ratio of approximately 18.12, a price-to-sales ratio of about 2.67, and an enterprise value to sales ratio of around 2.57, indicating strong financial health and market position.

Seagate Technology Holdings plc (NASDAQ:STX) is a prominent player in the mass-capacity data storage industry. The company focuses on providing scalable, cost-efficient, and sustainable storage solutions, especially in the growing field of AI. Seagate's competitors include Western Digital and Toshiba, which also operate in the data storage sector.

On January 21, 2025, Seagate reported EPS of $2.03 (Non-GAAP) for the quarter ending December 2024 was a substantial rise from $0.12 in the year-ago quarter. This EPS exceeded the consensus estimate of $1.88, delivering a surprise of 7.98%. This performance underscores Seagate's ability to exceed market expectations. The company generated revenue of approximately $2.33 billion, surpassing the estimated $2.2 billion. This revenue figure marked a significant increase of 49.5% compared to the same period last year, as highlighted by Zacks.

Seagate's financial metrics provide further insight into its market position. The company has a price-to-earnings (P/E) ratio of approximately 18.12, indicating how the market values its earnings. Its price-to-sales ratio is about 2.67, reflecting investor willingness to pay per dollar of sales. The enterprise value to sales ratio is around 2.57, showing the company's total valuation relative to its sales.

The company's financial structure is unique, with a negative debt-to-equity ratio of -0.44, which may suggest a specific financial strategy. Additionally, Seagate's current ratio of approximately 1.23 indicates its ability to cover short-term liabilities with short-term assets. These metrics, combined with a decade-high gross margin performance, highlight Seagate's strong financial health and strategic focus.