Seagate Technology Holdings plc (NASDAQ:STX) will release earnings results for its fiscal first quarter, after the closing bell on Tuesday, Oct. 28.Analysts expect the Singapore-based company to report quarterly earnings at $2.4 per share, up from $1.58 per share in the year-ago period. The consensus estimate for Seagate's quarterly revenue is $2.55 billion, compared to $2.17 billion a year earlier, according to data from Benzinga Pro.On July 29, Seagate reported better-than-expected fourth-quarter financia ...

Core Viewpoint - Seagate Technology Holdings plc (NASDAQ:STX) is viewed positively by Jim Cramer, who believes the stock could perform exceptionally well due to its supply constraints in the current market environment [1]. Company Overview - Seagate develops and supplies data storage solutions, including hard drives, solid-state drives, and external storage products [1]. Market Performance - The stock is currently trading at 20 times earnings and is among the top three performers in the S&P 500 [1]. - Despite its strong performance, caution is advised due to the high valuation for a storage company [1]. Investment Considerations - While Seagate shows potential as an investment, there are AI stocks that may offer greater upside potential and lower downside risk [1].

Core Viewpoint - Seagate Technology Holdings plc is expected to report strong earnings for the first quarter of fiscal 2026, with a projected earnings per share of $2.36, reflecting a 49.4% year-over-year increase, and revenues estimated at $2.53 billion, indicating a 16.7% rise from the previous year [1][9]. Financial Performance - Management anticipates first-quarter revenues of $2.5 billion, with a potential variance of +/- $150 million, suggesting a 15% year-over-year improvement. Non-GAAP earnings are expected to be $2.3 per share, with a variance of +/- 20 cents [2]. - Seagate has consistently beaten earnings estimates in the past four quarters, with an average surprise of 7% [2]. - The company expects mass capacity revenues to increase by 22.5% year-over-year to $2.1 billion in the fiscal first quarter, while HDD segment revenues are projected to rise by 17.4% to $2.35 billion [8]. Market Dynamics - The demand for mass capacity storage solutions is driven by robust nearline cloud storage needs, with revenues from mass capacity devices increasing by 40% year-over-year to $2 billion [5]. - Cloud service providers are prioritizing AI application development, which is expected to boost HDD demand [6]. - Seagate's new Mozaic 3+ hard drive platform, incorporating HAMR technology, is anticipated to enhance market share in mass capacity storage solutions [7]. Competitive Positioning - Seagate's stock has gained 185% over the past six months, outperforming the Zacks Computer-Integrated Systems industry, which grew by 100% [12]. - The company is trading at a price/earnings ratio of 20.21, which is lower than the industry average of 25.75 but above its historical mean of 11.84 [17]. Strategic Outlook - Management expects improved margin performance due to a favorable product mix and ongoing pricing optimization, with gross margin estimated at 39.4% for the fiscal first quarter, up from 33.3% in the prior year [10]. - The company is positioned for higher profitability and steady dividends in fiscal 2026, supported by a strong product pipeline and disciplined capital allocation [10][19].

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Seagate (STX) - Seagate currently holds a Momentum Style Score of B, indicating a positive momentum outlook [2] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [3] Performance Metrics - Over the past week, Seagate's shares increased by 5.14%, significantly outperforming the Zacks Computer - Integrated Systems industry, which rose by only 0.27% [5] - In a longer timeframe, Seagate's shares have risen by 44.2% over the past quarter and 117.74% over the last year, while the S&P 500 only increased by 6.22% and 17.55%, respectively [6] Trading Volume - Seagate's average 20-day trading volume is 4,745,104 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, two earnings estimates for Seagate have been revised upwards, raising the consensus estimate from $10.30 to $10.51 [9] - For the next fiscal year, there have also been two upward revisions with no downward changes, indicating a positive earnings outlook [9] Conclusion - Given the strong performance metrics and positive earnings revisions, Seagate is positioned as a promising momentum pick with a Momentum Score of B and a Zacks Rank of 2 (Buy) [10]

Core Insights - Seagate Technology Holdings plc (STX) is experiencing growth with its next-generation Heat-Assisted Magnetic Recording (HAMR)-based Mozaic 3+ platform, driven by demand from global cloud service providers (CSPs) [1][2] - The transition to high-capacity, energy-efficient drives is yielding positive technological and financial results, as highlighted in the latest earnings call [1][4] Company Performance - Seagate's Mozaic 3+ products represent a significant engineering achievement, providing advantages in areal density and total cost of ownership (TCO) [2] - The company has qualified three major CSPs for Mozaic 3+, with additional qualifications underway, leading to increased shipments to cloud customers [2] - Nearline shipments surged 52% year-over-year to 137 exabytes in the June quarter, with record sales for 24TB and 28TB PMR platforms [3] - Non-GAAP gross margins reached a record 37.9% and operating margins were 26.2% in the fourth quarter, reflecting the margin-accretive nature of the Mozaic ramp [4][10] Future Outlook - Seagate plans to qualify its Mozaic 4+ drives, which will have capacities up to 44TB, in the first half of fiscal 2026, further solidifying its leadership in high-capacity storage [5] - The combination of Mozaic 3+ and 4+ is expected to help global CSPs manage exponential data growth efficiently and sustainably [5] Competitive Landscape - Seagate faces competition from HDD and SSD manufacturers like Western Digital Corporation (WDC) and Pure Storage, which are also focusing on high-capacity storage solutions [6] - WDC reported strong demand for its high-capacity drives, shipping over 1.7 million units of 26TB and 32TB drives in the fourth quarter of fiscal 2025 [7] - Pure Storage achieved 13% year-over-year revenue growth in the second quarter of fiscal 2026, driven by its all-flash, software-driven data storage solutions [8] Stock Performance and Valuation - Seagate's shares have increased by 123.5% over the past year, outperforming the Zacks Computer Integrated Systems industry's growth of 53.6% [11] - The forward price/earnings ratio for STX is 21.76X, which is lower than the industry's 24.09X [12] - The Zacks Consensus Estimate for STX's earnings for fiscal 2026 has been revised up by 2.04% to $10.51 over the past 60 days [13]

Market Performance - US stock markets saw a broad increase, with the Dow Jones Industrial Average rising by 0.31%, the S&P 500 up by 0.58%, and the Nasdaq Composite gaining 0.89% as of the close on October 23 [1] - The Nasdaq Golden Dragon China Index, which tracks Chinese stocks listed in the US, increased by 1.66% [1] Technology Sector - Major US tech stocks mostly rose, with Intel up over 3%, Tesla over 2%, and Amazon and Nvidia each rising over 1% [2] - Notable gains were seen in storage stocks, with SanDisk surging over 13% to reach a record high, and Western Digital up over 5% [2] - AMD's stock fell by 8.72% after the company lowered its revenue guidance for Q1 2026 to $5 billion, down from a previous estimate of $6-7 billion due to changes in AI project delivery schedules [2] Chinese Stocks - Chinese stocks collectively rose, with notable increases including Xunlei up over 7%, Alibaba, Hesai, and Century Internet each up over 3% [3] - Other companies like Baidu and WeRide saw gains close to 3%, while JD.com and Sohu rose over 2% [3] Gold Market - COMEX gold futures rose by 1.91% to $4,143.2 per ounce, although there was a slight pullback later [5] - JPMorgan remains bullish on gold, predicting an average price of $5,055 per ounce by Q4 2026, a potential increase of about 15% from the recent high of $4,381 [5] - The forecast is driven by sustained demand for gold from global investors and central banks, estimated at around 566 tons [5] Long-term Outlook on Gold - Guojin Securities suggests that gold pricing reflects the collapse of the dollar-dominated international order, driven by low global growth and stagnation in technological progress [6] - The report indicates that gold prices may face downward risks if new technological advancements significantly boost productivity [6]

Core Viewpoint - The memory storage sector in the U.S. stock market is experiencing a significant surge, driven by an "AI-induced memory supercycle" that is leading to substantial price increases and long-term supply agreements among major suppliers [1] Group 1: Stock Performance - SanDisk Corp (SNDK.US) saw a rise of over 12.5%, reaching an all-time high [1] - Seagate Technology (STX.US) increased by more than 4.4% [1] - Western Digital (WDC.US) rose nearly 4.8% [1] - Micron Technology (MU.US) experienced an increase of over 2.8% [1] Group 2: Market Dynamics - The AI-driven demand is causing a "super cycle" in memory products, prompting major suppliers to raise prices significantly [1] - Samsung Electronics and SK Hynix have increased their DRAM and NAND flash prices by up to 30% in the fourth quarter [1] - This price adjustment reflects a direct response to the current supply-demand imbalance in the memory market [1]

Core Insights - Seagate Technology has transitioned from primarily manufacturing hard drives and solid-state drives for consumer applications to focusing on mass-capacity data storage solutions for data centers [1] Company Overview - Seagate Technology is listed on NASDAQ under the ticker STX and specializes in the production of storage devices [1] Industry Trends - The shift towards data center storage solutions indicates a broader industry trend where companies are adapting to the increasing demand for data storage capacity driven by cloud computing and big data [1]

Seagate (STX) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on October 28, might help the stock move higher if these key numbers are better than expectat ...

Group 1 - Seagate Technology Holdings PLC (NASDAQ:STX) is identified as a trending stock benefiting from the AI boom due to rising demand for storage solutions [1] - The company has experienced a significant stock price increase of 96% over the past year [2] - Analysts highlight that video content requires substantially more storage than text, indicating a growing market for storage solutions like hard drives and solid-state disks [1] Group 2 - There is a belief that while Seagate has potential, other AI stocks may offer higher returns with limited downside risk [2] - The report suggests that Seagate could be a major beneficiary of trends such as Trump tariffs and onshoring, making it an attractive investment option [2]