Seagate Stock Rises As Earnings, Revenue Beat Expectations


Seagate Technology (STX) stock rallied late Tuesday after the hard drive maker reported fiscal-fourth quarter earnings and sales that exceeded expectations. The company’s sales forecast, meanwhile, came in slightly ahead of expectations.





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Seagate said that it earned an adjusted $1.05 per share on sales of $1.89 billion for the June-ended quarter. On average, analysts projected the Fremont, Calif.-based company would post adjusted earnings of 76 cents per share on sales of $1.87 billion, according to FactSet.

For the same period a year earlier, Seagate posted an adjusted loss of 18 cents per share on sales of $1.6 billion.

For the current quarter, Seagate guided for sales of $2.1 billion at the midpoint of its range. Prior to the company posting its results, analysts were projecting Seagate would tally $2.07 billion in sales for the September-ending quarter, according to FactSet.

In an earnings release, the company highlighted its new Heat-Assisted Magnetic Recording, or HAMR, technology in hard drives.

“In fiscal 2025, we are remaining focused on driving profitability and maintaining supply discipline while continuing to execute our mass capacity product road map, anchored by our HAMR technology,” Chief Executive Dave Mosley said in the news release. “Our data storage solutions offer our cloud and enterprise customers with cost, power and space advantages that support their investments in critical AI and other data-driven initiatives.”

On the stock market today, Seagate stock is up more than 7% at 113 in after-hours action.

Seagate Stock: Technical Ratings

Seagate is the world’s largest manufacturer of hard disk drives. The data storage company struggled in 2022 and for the first half of last year, amid a hard drive supply glut and slowing demand. Shares are approaching recovery to an all-time high near 116 that Seagate reached near the start of 2022.

Prior to its earnings report, Seagate stock fell less than 1% to close at 105.30 in Tuesday trading. Shares have gained 25% this year compared to a 16.5% gain for the S&P 500. Seagate stock is up 82% compared to 12 months ago.

Coming into the report, Seagate stock had an IBD Composite Rating of 89, according to IBD Stock Checkup. The score combines five separate proprietary ratings into one rating. The best growth stocks have a Composite Rating of 90 or better.

Further, Seagate’s IBD Relative Strength Rating was 92 out of 99.

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