Overview
Data storage products maker's fiscal Q2 revenue rose, beating analysts' expectations
Adjusted EPS rose 53.2% yr/yr, beating analysts' expectations
Company declared a quarterly cash dividend of $0.74 per share
Outlook
Seagate projects fiscal Q3 2026 revenue of $2.90 bln, plus or minus $100 mln
Company expects fiscal Q3 2026 non-GAAP EPS of $3.40, plus or minus $0.20
Seagate anticipates minimal impact from global tariff policies in fiscal Q3 2026
Result Drivers
DATA CENTER DEMAND - Seagate attributed strong results to durable demand in the data center sector, as stated by CEO Dave Mosley
HAMR PRODUCTS - The ongoing ramp of HAMR-based Mozaic products contributed to quarterly performance, according to CEO Dave Mosley
AI-DRIVEN STORAGE NEEDS - AI applications driving demand for cost-efficient, high-performance storage solutions, per CEO Dave Mosley
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $2.83 bln | $2.73 bln (18 Analysts) |
Q2 Adjusted EPS | Beat | $3.11 | $2.81 (19 Analysts) |
Q2 EPS | $2.60 | ||
Q2 Net Income | $593 mln | ||
Q2 Gross Margin | 41.60% | ||
Q2 Dividend | $0.74 |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 21 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the computer hardware peer group is "buy"
Wall Street's median 12-month price target for Seagate Technology Holdings PLC is $370.00, about 3.3% above its January 26 closing price of $358.29
The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 21 three months ago
Press Release: ID:nBw1M8P5Sa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)