Seagate Technology (NASDAQ:STX) Stock Price Down 10.2% Following Insider Selling

Seagate Technology Holdings PLC (NASDAQ:STX)’s share price dropped 10.2% during mid-day trading on Friday following insider selling activity. The stock traded as low as $791.75 and last traded at $848.99. Approximately 13,511,547 shares changed hands during mid-day trading, an increase of 210% from the average session volume of 4,352,583 shares. The stock had previously closed at $945.57.

Specifically, CEO William D. Mosley sold 18,998 shares of the company’s stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $914.67, for a total transaction of $17,376,900.66. Following the sale, the chief executive officer directly owned 373,110 shares of the company’s stock, valued at approximately $341,272,523.70. This represents a 4.85% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William D. Mosley sold 11,002 shares of the business’s stock in a transaction that occurred on Thursday, October 1st. The stock was sold at an average price of $935.60, for a total value of $10,293,471.20. Following the completion of the transaction, the chief executive officer directly owned 362,108 shares in the company, valued at $338,788,244.80. The trade was a 2.95% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analysts Set New Price Targets

Several equities analysts have issued reports on STX shares. TD Cowen lifted their price objective on Seagate Technology from $850.00 to $1,000.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Wells Fargo & Company increased 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. Mizuho boosted their target price on shares of Seagate Technology from $875.00 to $1,090.00 and gave the stock an “outperform” rating in a research note on Monday, June 8th. Argus upped their target price on shares of Seagate Technology from $750.00 to $900.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Finally, Sanford C. Bernstein reissued an “outperform” rating and set a $1,350.00 price target on shares of Seagate Technology in a research note on Wednesday, July 29th. Twenty-two research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $986.00.

Seagate Technology News Roundup

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

• Positive Sentiment: AI data-center growth continues to support demand for high-capacity hard drives, and Seagate has benefited from record margins and capacity that was reportedly close to fully allocated. The company remains positioned to supply the rapidly expanding need to store AI-generated data. AI Needs Massive Storage. Seagate Is Ready
• Positive Sentiment: Seagate’s recent operating momentum has been substantial: quarterly revenue and earnings exceeded expectations, with revenue rising strongly year over year. That performance demonstrates the benefit of tight industry supply and robust AI-related demand.
• Neutral Sentiment: Seagate’s stock had already risen more than 270% over the past year, prompting debate over whether its valuation fully reflects the AI-storage opportunity. Investors are weighing continued demand growth against the risk that the current shortage-driven earnings surge is temporary. Seagate Is Selling Into a Shortage. What Happens When It Ends?
• Negative Sentiment: Toshiba reportedly plans to double HDD production capacity for drives used in AI data centers during fiscal 2027, while other reports described an ambition to substantially increase market share. The potential influx of competing supply threatens to reduce scarcity, limit future price increases, and intensify competition for Seagate and Western Digital. Seagate Stock and Western Digital Tumble as AI Shortage Shows Signs of Easing

Seagate Technology Stock Performance

The company has a debt-to-equity ratio of 1.56, a quick ratio of 1.17 and a current ratio of 1.67. The company has a market cap of $193.05 billion, a price-to-earnings ratio of 61.17 and a beta of 2.06. The firm’s 50-day moving average price is $854.72 and its 200 day moving average price is $776.28.

Seagate Technology (NASDAQ:STX) last announced its quarterly earnings data on Tuesday, July 28th. The data storage provider reported $5.71 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $5.10 by $0.61. Seagate Technology had a net margin of 26.11% and a return on equity of 369.98%. The firm had revenue of $3.63 billion for the quarter, compared to analysts’ expectations of $3.50 billion. During the same period last year, the firm earned $2.59 earnings per share. The business’s revenue for the quarter was up 48.5% on a year-over-year basis. Seagate Technology has set its Q1 2027 guidance at 7.100-7.500 EPS. On average, sell-side analysts anticipate that Seagate Technology Holdings PLC will post 35.7 EPS for the current year.

Seagate Technology Dividend Announcement

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

Hedge Funds Weigh In On Seagate Technology

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Wellington Management Group LLP increased its position in shares of Seagate Technology by 2,655.9% in the 2nd 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 buying an additional 2,326,538 shares in the last quarter. Janus Henderson Group PLC lifted its holdings in Seagate Technology by 3,872.1% during the first quarter. Janus Henderson Group PLC now owns 967,528 shares of the data storage provider’s stock worth $378,985,000 after acquiring an additional 943,170 shares in the last quarter. Deutsche Bank AG grew its stake in Seagate Technology by 102.0% in the fourth quarter. Deutsche Bank AG now owns 1,599,962 shares of the data storage provider’s stock valued at $440,614,000 after acquiring an additional 807,962 shares during the period. Amanah Holdings Trust acquired a new position in Seagate Technology in the fourth quarter valued at about $79,801,000. Finally, Swedbank AB increased its holdings in shares of Seagate Technology by 67.6% in the first quarter. Swedbank AB now owns 709,160 shares of the data storage provider’s stock worth $277,821,000 after acquiring an additional 285,949 shares in the last quarter. Institutional investors own 92.87% of the company’s stock.

Seagate Technology Company Profile

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.