Rosenblatt Hikes Seagate PT to $1,400 on Pricing Power, Supply Shortages
STX has more than doubled off its 52-week low of $138.3.
Summary
Rosenblatt analyst Kevin Cassidy raised Seagate's price target to $1,400 from $1,300, citing stronger pricing power and widening supply shortages after the company's blowout Q4. Revenue of $3.63B and EPS of $5.71 beat estimates, with gross margins hitting a record 52.7%. Cassidy sees pricing as the key driver, with newly negotiated long-term agreements resetting higher. He raised FY27 EPS estimate to $34.16 and FY28 to $57.04, well above consensus. The stock gained 2.56% to $766.58 on Wednesday, adding to post-earnings momentum. This follows yesterday's earnings release and multiple analyst notes, but the aggressive estimate revisions and $1,400 target signal conviction that the HDD upcycle has further to run.
At the time of this announcement, STX was trading at $792.84 on NASDAQ in the Technology sector, with a market capitalization of approximately $177.8B. The 52-week trading range was $138.30 to $1,145.00. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Benzinga.