Seagate Technology Holdings STX

NASDAQ STX

$528.29 -16.85 (-3.09%)

At close: Nov 13, 2026 · 4:00 PM EST

Seagate Technology Holdings (STX) stock price is $528.29, down 3.09% on the day, as of Nov 13, 2026. It has a market cap of $121.35Bn and a P/E ratio of 27.40, and is classified in the Server and Storage Hardware industry (Technology sector).

Key Stats

Market Cap121.35 Bn

P/E27.40

FCF (Yr)3.10 Bn

ROA (Yr)35.48

EV to EBIT21.27

Net Income (Yr)3.18 Bn

Enterprise Value116.20 Bn

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About

Seagate Technology Holdings plc is a leading provider of data storage technology and infrastructure solutions that enable enterprises and end users to store and unlock the value of their data. The company's principal products are hard disk drives (HDDs), which store data on rotating magnetic disks and are valued for their high capacity, reliability, energy efficiency and cost effectiveness. In addition to HDDs, Seagate designs and manufactures solid state drives (SSDs) that use NAND flash memory for fast access and durability, and it offers storage subsystems that combine drives with controllers, enclosures and software for enterprise and cloud environments. Seagate also provides the Lyve edge‑to‑cloud mass capacity platform, which includes a shuttle solution for moving large data sets from endpoints to core cloud locations and a storage‑as‑a‑service offering that delivers scalable, secure storage at the metro edge. These products serve a range of markets from hyperscale data centers and cloud service providers to enterprise servers, small and medium businesses and consumer applications such as gaming consoles and personal computers.

Seagate Technology Holdings plc generates revenue primarily through the sale of its HDDs, SSDs, storage subsystems and related data storage solutions to original equipment manufacturers (OEMs), distributors, retailers, cloud service providers and enterprise customers. Revenue is derived from product shipments of drives and systems that vary by capacity, interface (SATA, SAS, NVMe), performance features and form factor. The company also earns revenue from its Lyve platform, which includes fees for data transfer shuttles and subscriptions for storage‑as‑a‑service cloud offerings. Additional revenue streams arise from aftermarket services such as data recovery and from licensing arrangements tied to its technology portfolio. Sales are typically executed under master purchase agreements with large OEMs and cloud providers, while distribution and retail channels are supported by quarterly sales programs and price protection arrangements.

The company operates through the following segments.

Reportable business segment: This segment encompasses the design, manufacture and sale of hard disk drives for mass capacity, nearline, video imaging (VIA), network attached storage (NAS) and mission critical applications; solid state drives for enterprise, consumer and gaming use cases; storage subsystems that integrate drives with controllers, enclosures and management software for scalable cloud and enterprise deployments; and the Lyve edge‑to‑cloud platform comprising data transfer shuttles and storage‑as‑a‑service cloud solutions. The segment serves customers across cloud infrastructure, enterprise data centers, small and medium businesses and consumer markets, offering products differentiated by capacity (up to 35 TB for HDDs and up to 30 TB for SSDs), performance characteristics, reliability metrics, power efficiency and security features.

Seagate Technology Holdings plc holds a strong position in the data storage industry, competing with major manufacturers such as Kioxia Holdings Corporation, Micron Technology, Inc., Samsung Electronics, Sandisk Corporation, SK hynix, Inc., Toshiba Corporation, and Western Digital Corporation. Its competitive advantages arise from a vertically integrated model that designs and manufactures critical components including read/write heads and recording media, which reduces costs and improves component synergy. The company maintains leadership in areal density through innovations such as the HAMR‑based Mozaic platform, shingled magnetic recording (SMR) and multi‑actuator MACH.2 technologies, enabling higher capacity drives without proportional increases in physical size. Seagate benefits from a broad product portfolio that spans HDDs, SSDs and systems, allowing it to address diverse workloads from high‑performance computing to low‑cost consumer storage. Its global manufacturing footprint in regions such as China, Thailand, Malaysia, Singapore, Northern Ireland and the United States provides supply chain flexibility, while sustained investment in research and development supports ongoing technology transitions and product quality improvements.

Seagate Technology Holdings plc serves a diverse customer base that includes major OEMs, cloud and hyperscale data center companies, distributors, retailers and enterprise clients. Specific customer relationships noted in the filing include partnerships with Microsoft’s Xbox and Sony’s PlayStation for consumer storage solutions, reflecting its presence in the gaming console market. The company also supplies large hyperscale data center providers and cloud service providers under master purchase agreements that often involve long‑term forecasts and commitments to align supply with demand. Distributors typically enter into non‑exclusive resale agreements and receive quarterly sales programs, while retailers sell Seagate‑branded storage products both directly and through distributor channels. In addition, Seagate reaches end users through its consumer product lines such as Ultra Touch, One Touch, Expansion, Basics and the LaCie brand, which are distributed via retail and online channels for backup, portable and augmented storage needs.

Investment Thesis

▲ Bull case

Seagate is positioned to capture sustained structural growth in data storage demand driven by the proliferation of AI workloads, particularly Agentic AI and physical AI applications, which generate massive, long-term data retention requirements that favor high-capacity, energy-efficient hard drives over alternative storage solutions. The company's Mozaic HAMR-based platform, now in its second generation with Mozaic 4 delivering up to 44 terabytes per drive and Mozaic 5 targeting 50 terabytes by late calendar 2027, enables Seagate to scale exabyte output without proportional increases in unit volume or manufacturing complexity, directly supporting its mid-20% nearline exabyte CAGR target. This aerial density-focused strategy leverages existing supply chain investments and minimizes bill-of-material changes, creating a capital-efficient path to margin expansion as higher-capacity drives improve cost and power efficiency per terabyte for customers. With nearline capacity already almost fully allocated through calendar 2027 and build-to-order contracts finalized through fiscal 2027, Seagate has secured predictable revenue visibility and pricing discipline, allowing it to convert rising demand into profitable growth. The company's strong free cash flow generation—exceeding $950 million in the March quarter with a 31% margin—combined with ongoing debt reduction (gross debt down approximately $1.1 billion year-to-date in fiscal 2026) and an improved net leverage ratio of 0.7x, provides significant flexibility to enhance shareholder returns through buybacks and dividends while continuing to invest in HAMR ramp and technology innovation. Furthermore, Seagate's value-based pricing approach, reinforced by long-term customer agreements and a proven ability to increase non-GAAP operating margin by 560 basis points sequentially to 37.5% in the March quarter, supports sustained profitability expansion as the mix shifts toward higher-margin HAMR products, with Mozaic 4 expected to represent a majority of HAMR exabyte shipments exiting calendar 2026.

Seagate is positioned to capture sustained structural growth in data storage demand driven by the proliferation of AI workloads, particularly Agentic AI and physical AI applications, which generate massive, long-term data retention requirements that favor high-capacity, energy-efficient hard drives over alternative storage solutions. The company's Mozaic HAMR-based platform, now in its second generation with Mozaic 4 delivering up to 44 terabytes per drive and Mozaic 5 targeting 50 terabytes by late calendar 2027, enables Seagate to scale exabyte output without proportional increases in unit volume or manufacturing complexity, directly supporting its mid-20% nearline exabyte CAGR target. This aerial density-focused strategy leverages existing supply chain investments and minimizes bill-of-material changes, creating a capital-efficient path to margin expansion as higher-capacity drives improve cost and power efficiency per terabyte for customers. With nearline capacity already almost fully allocated through calendar 2027 and build-to-order contracts finalized through fiscal 2027, Seagate has secured predictable revenue visibility and pricing discipline, allowing it to convert rising demand into profitable growth. The company's strong free cash flow generation—exceeding $950 million in the March quarter with a 31% margin—combined with ongoing debt reduction (gross debt down approximately $1.1 billion year-to-date in fiscal 2026) and an improved net leverage ratio of 0.7x, provides significant flexibility to enhance shareholder returns through buybacks and dividends while continuing to invest in HAMR ramp and technology innovation. Furthermore, Seagate's value-based pricing approach, reinforced by long-term customer agreements and a proven ability to increase non-GAAP operating margin by 560 basis points sequentially to 37.5% in the March quarter, supports sustained profitability expansion as the mix shifts toward higher-margin HAMR products, with Mozaic 4 expected to represent a majority of HAMR exabyte shipments exiting calendar 2026.

▼ Bear case

Seagate's growth narrative faces significant headwinds from the cyclical nature of the memory and storage markets, where surging AI-driven demand for semiconductors has intensified competition for constrained supply chains, particularly affecting the NAND and DRAM components essential for its solid-state drive (SSD) business, which remains a notable portion of its revenue mix despite the earnings call's focus on nearline HDDs. The company's reliance on external memory chip suppliers introduces vulnerability to price volatility and allocation constraints, as highlighted by the CEO's comments at the JPMorgan conference expressing concern that building new factory capacity would take too long and slow technology adoption rates, suggesting Seagate may struggle to scale its SSD operations in line with AI infrastructure demand, potentially limiting its ability to capture full value from the broader data center storage opportunity. While Seagate emphasizes its build-to-order model and long-term contracts for nearline HDDs, a substantial portion of its enterprise OEM and edge IoT revenue remains exposed to fluctuating demand, and the shift toward lower-capacity HAMR products for these segments is being delayed due to overwhelming demand in the public cloud, which could constrain product portfolio diversification and leave Seagate over-reliant on a narrow set of hyperscale customers. Additionally, the retirement of a board veteran like Mike Cannon, who served as Lead Independent Director and Board Chair for over a decade, raises governance concerns about the loss of deep industry expertise and strategic continuity during a period of rapid technological transition, even as the company advances its HAMR roadmap. Finally, Seagate's guidance for non-GAAP operating margin in the lower 40% range for the June quarter, while strong, implies a potential deceleration from the 37.5% achieved in the March quarter, and the lack of specific long-term OpEx guidance beyond stating it will remain "relatively flat on a dollar basis" raises questions about whether the company can sustain its current pace of margin expansion without increased investment in R&D or sales efforts to counter competitive pressures from SSD innovators and alternative storage architectures.

Seagate's growth narrative faces significant headwinds from the cyclical nature of the memory and storage markets, where surging AI-driven demand for semiconductors has intensified competition for constrained supply chains, particularly affecting the NAND and DRAM components essential for its solid-state drive (SSD) business, which remains a notable portion of its revenue mix despite the earnings call's focus on nearline HDDs. The company's reliance on external memory chip suppliers introduces vulnerability to price volatility and allocation constraints, as highlighted by the CEO's comments at the JPMorgan conference expressing concern that building new factory capacity would take too long and slow technology adoption rates, suggesting Seagate may struggle to scale its SSD operations in line with AI infrastructure demand, potentially limiting its ability to capture full value from the broader data center storage opportunity. While Seagate emphasizes its build-to-order model and long-term contracts for nearline HDDs, a substantial portion of its enterprise OEM and edge IoT revenue remains exposed to fluctuating demand, and the shift toward lower-capacity HAMR products for these segments is being delayed due to overwhelming demand in the public cloud, which could constrain product portfolio diversification and leave Seagate over-reliant on a narrow set of hyperscale customers. Additionally, the retirement of a board veteran like Mike Cannon, who served as Lead Independent Director and Board Chair for over a decade, raises governance concerns about the loss of deep industry expertise and strategic continuity during a period of rapid technological transition, even as the company advances its HAMR roadmap. Finally, Seagate's guidance for non-GAAP operating margin in the lower 40% range for the June quarter, while strong, implies a potential deceleration from the 37.5% achieved in the March quarter, and the lack of specific long-term OpEx guidance beyond stating it will remain "relatively flat on a dollar basis" raises questions about whether the company can sustain its current pace of margin expansion without increased investment in R&D or sales efforts to counter competitive pressures from SSD innovators and alternative storage architectures.

Geographical Breakdown of Revenue (2026)

History

Contract with Customer, Sales Channel Breakdown of Revenue (2026)

History

Peer percentiles

How Seagate Technology Holdings ranks

Ranked against the 122 companies in Computer Hardware58 metrics · as of Nov 14, 2026

Valuation

12 metrics · Lower multiples rank higher; a negative multiple ranks last

P/E 27.4xMedian 26.9x 71^st
P/FCF 29.2xMedian 21.4x 63^rd
P/Operating cash flow 25.1xMedian 18.7x 57^th
P/S 8.79xMedian 2.24x 18^th
P/B 35.1xMedian 2.43x 2^nd
P/Tangible book 35.1xMedian 3.02x 2^nd
EV/EBITDA 21.3xMedian 15.5x 56^th
EV/EBIT 22.4xMedian 20.1x 63^rd
EV/Revenue 8.87xMedian 2.18x 16^th
EV/FCF 29.5xMedian 20.5x 60^th
EV/Operating cash flow 25.3xMedian 18.9x 53^rd
PEG (3Y EPS CAGR) 0.29Median 1.03 80^th

Growth

14 metrics · Year-on-year growth and three-year compound annual growth

Revenue growth (1Y) 44.4%Median 16.1% 81^st
Revenue CAGR (3Y) 26.6%Median 4.5% 84^th
Gross profit growth (1Y) 97.2%Median 20.2% 91^st
Gross profit CAGR (3Y) 89.7%Median 6.1% 95^th
Operating income growth (1Y) 151%Median 25.8% 81^st
Operating income CAGR (3Y) 125%Median 12.4% 96^th
Net income growth (1Y) 157%Median 28.4% 82^nd
Net income CAGR (3Y) 99.4%Median 10.9% 94^th
EPS growth (1Y) 150%Median 38.5% 81^st
EPS CAGR (3Y) 94.1%Median 21.4% 93^rd
Operating cash flow growth (1Y) 218%Median 6.5% 94^th
Operating cash flow CAGR (3Y) 80.3%Median 8.5% 90^th
Free cash flow growth (1Y) 241%Median 6.1% 94^th
Free cash flow CAGR (3Y) 93.8%Median 8.7% 92^nd

Profitability

14 metrics · Margins, returns on capital and the quality of earnings

Gross margin 50.4%Median 39.3% 75^th
EBITDA margin 41.6%Median 7.2% 96^th
Operating margin 39.6%Median 4.4% 97^th
Pretax margin 36.7%Median 3.7% 94^th
Net margin 31.9%Median 2.8% 92^nd
FCF margin 30.1%Median 3.3% 95^th
Operating cash flow margin 35.0%Median 5.4% 96^th
Return on equity 156%Median 5.0% 96^th
Return on assets 43.3%Median 2.5% 94^th
Return on invested capital 82.3%Median 9.2% 99^th
Return on capital employed 76.1%Median 4.9% 98^th
Asset turnover 1.36xMedian 0.71x 89^th
Cash conversion (OCF / net income) 1.10xMedian 1.11x 47^th
Stock comp / revenue 1.6%Median 2.8% 67^th

Financial Health

11 metrics · Leverage, liquidity and solvency; less debt ranks higher

Debt / assets 22.8%Median 14.9% 30^th
Debt / equity 0.68xMedian 0.28x 34^th
Net debt / EBITDA 0.19xMedian −0.07x 44^th
Debt / FCF 0.57xMedian 1.66x 81^st
Liabilities / assets 66.6%Median 44.9% 27^th
Equity / assets 33.4%Median 55.1% 27^th
Interest coverage 22.3xMedian 3.92x 89^th
Current ratio 1.82xMedian 2.11x 40^th
Quick ratio 1.08xMedian 1.37x 40^th
Cash ratio 0.42xMedian 0.75x 32^nd
Altman Z-score 13.3Median 2.90 87^th

Peer group

Peer Comparison

Companies in the Server and Storage Hardware

View all peers

S.No.	Ticker	Company	Market Cap	P/E	P/S	Total Debt (Qtr)
1	AAPL	Apple Inc.	5,177.41 Bn	39.52	10.81	80.11 Bn
2	CSCO	Cisco Systems, Inc.	377.40 Bn	25.27	5.64	-
3	ANET	Arista Networks, Inc.	249.38 Bn	52.43	20.97	-
4	DELL	Dell Technologies Inc.	220.34 Bn	19.52	1.46	34.47 Bn
5	SONY	Sony Group Corp	166.48 Bn	-34.10	2.01	9.20 Bn
6	SNDK	Sandisk Corp	127.44 Bn	6.65	4.40	-
7	STX	Seagate Technology Holdings plc	121.35 Bn	27.40	8.79	2.35 Bn
8	WDC	Western Digital Corp	110.67 Bn	10.80	7.64	0.79 Bn