Seagate’s Promising Growth: Technological Advancements and Financial Outlook Drive Buy Rating

Robert W. Baird analyst Tristan Gerra has maintained their bullish stance on STX stock, giving a Buy rating on May 21.

Tristan Gerra has given his Buy rating due to a combination of factors including Seagate’s strong technological advancements and promising financial outlook. The company is capitalizing on the growing demand for data storage, with a significant increase in exabyte shipments expected, driven by their cost-effective HDDs which maintain a substantial cost advantage over SSDs.
Additionally, Seagate’s innovative HAMR-based Mozaic products are gaining traction, with successful qualifications and shipments to major cloud service providers. The company has set ambitious financial targets, projecting revenue growth and margin expansion, along with a substantial share repurchase program, all of which contribute to a positive long-term growth trajectory.

Gerra covers the Technology sector, focusing on stocks such as Intel, ON Semiconductor, and Knowles. According to TipRanks, Gerra has an average return of 4.5% and a 46.80% success rate on recommended stocks.

In another report released on May 21, Wedbush also reiterated a Buy rating on the stock with a $140.00 price target.