Seagate Technology (STX) has rallied more than 190% year-to-date, as the data storage provider is seeing strong artificial intelligence (AI)-driven demand for its products such as hard disk drives. STX stock jumped about 8% on Thursday, as chip giant Nvidia’s (NVDA) fiscal first-quarter results gave investors confidence about continued demand for AI infrastructure. It helped Seagate stock recover from the 6.9% decline on Monday after CEO Dave Mosley cautioned that building new factories would “take too long,” triggering concerns that the company won’t be able to meet the robust demand for storage.
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STXX: an alternative to margin or options on STXAlso, Seagate announced privately negotiated agreements to exchange $185.9 million of its 3.5% Exchangeable Senior notes due 2028 with a mix of cash and ordinary shares.
Seagate’s Ownership Structure
Now, according to TipRanks’ Ownership Tool, exchange-traded funds (ETFs) own 31.06% of Seagate. They are followed by mutual funds, other institutional investors, public companies and individual investors, and insiders at 29.01%, 21.69%, 18.01%, and 0.23%, respectively.
Looking closely at the top shareholders, Vanguard owns the highest stake in Seagate at 10.87%, followed by Vanguard Index Funds with a 9.47% holding.
Among the top ETF holders, Vanguard Total Stock Market ETF (VTI) owns a 3.09% stake in STX, while Vanguard S&P 500 ETF (VOO) holds 2.52%. Also, Vanguard Mid-Cap ETF (VO) owns a 2.10% stake.
Moving to mutual funds, Vanguard Index Funds holds 9.47% of Seagate. Meanwhile, Ivy Funds owns 3.87%.
Is STX a Good Stock to Buy?
Given a solid demand backdrop, Wall Street has a Strong Buy consensus rating on Seagate Technology stock based on 14 Buys and three Holds. The average STX stock price target of $773.65 indicates about 5% downside risk from current levels.
