Analyst Upgrades and Seagate's Strong Earnings Surprise

Author: Olivia Taylor Updated: 10-29-2025 09:50 AM

Understanding Seagate Technology's Earnings Report

Seagate Technology Holdings PLC (NASDAQ: STX) has recently impressed investors and analysts alike with its unexpectedly strong first-quarter earnings report, which has led to an optimistic outlook from various quarters.

Strong Financial Performance

The reported earnings reached $2.61 per share, significantly surpassing analysts' expectations of $2.37. This robust performance was reflected in quarterly revenues amounting to $2.62 billion, again outperforming the anticipated figure of $2.54 billion.

Insights from the CEO

Dave Mosley, Seagate's CEO, commented, "Seagate delivered strong September quarter results, with revenue growth of 21% year-over-year and non-GAAP EPS exceeding the high end of our guided range. Our performance underscores the team's strong execution and robust customer demand for our high-capacity storage products."

Future Predictions for Seagate

Looking ahead, Seagate provided guidance for the second quarter, projecting adjusted earnings per share between $2.55 and $2.95, slightly higher than the market's estimate of $2.62. Revenue expectations were set between $2.6 billion and $2.8 billion, again above the forecasted $2.65 billion.

Market Reaction

On the heels of these encouraging results, Seagate shares surged by 13.5%, reaching a trading value of $253.00.

Analyst Adjustments Following Results

In the wake of this strong earnings announcement, several analysts have adjusted their price targets for Seagate:

Kevin Cassidy from Rosenblatt has maintained a Buy rating on Seagate and raised the price target from $250 to $270.
Tom O’Malley from Barclays also reiterated their Equal-Weight rating while increasing the price target from $200 to $240.

Investor Considerations

If you’re contemplating an investment in STX, it’s essential to weigh the latest analysts' insights and the company's promising financial performance. The upward revisions in price targets signal confidence in Seagate's continued growth and strong market positioning in the data storage sector.

Frequently Asked Questions

What were Seagate's reported earnings per share (EPS)?

Seagate reported an EPS of $2.61 for the first quarter.

How much did Seagate's shares rise following the earnings report?

Seagate shares increased by 13.5%, reaching $253.00 post-announcement.

What guidance did Seagate provide for the second quarter?

Seagate forecasts adjusted EPS between $2.55 and $2.95 for the second quarter.

Which analysts revised their price targets for Seagate?

Kevin Cassidy from Rosenblatt and Tom O’Malley from Barclays revised their targets, with raises to $270 and $240, respectively.

What impact does Seagate's performance have on investors?

The strong earnings and price target increases reflect positive sentiment about Seagate's future, suggesting it might be a good investment opportunity.

About The Author

Olivia Taylor here, a 26-year-old writer and financial advisor. After earning a degree in finance, I worked in the sector for years. I've always loved numbers and had a talent for simplifying difficult financial ideas so that anyone could understand. I wrote my first book because of this passion; it helps readers take charge of their financial futures by fusing real-life stories with useful financial advice.

Whether they are just beginning their careers, preparing for significant life events, or seeking to invest wisely, my goal with my writing is to enable people to make educated financial decisions. The foundation of my work is the conviction that security and freedom of the individual are largely determined by financial literacy. To further financial education, I run workshops and frequently write for financial blogs in addition to my books.

I like to travel, experience other cultures, and find inspiration in daily life when I'm not writing or examining market trends. My passion is utilizing sound financial practices to help people reach their financial objectives and lead the best lives possible.

Contact Olivia Taylor privately here. Or send an email with ATTN: Olivia Taylor as the subject to contact@investorshangout.com.

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