Seagate stock enters tougher execution phase after record quarter
Published on 11/09/2026 at 17:33 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSKey figures and next tests
- Seagate reported fiscal first-quarter revenue of 4.233 billion US dollars and non-GAAP diluted earnings of 7.68 US dollars per share.
- Management expects fiscal second-quarter revenue of 4.8 billion US dollars and non-GAAP diluted earnings of 9.20 US dollars per share at the midpoint.
- HAMR qualification, pricing discipline and higher nearline shipments are central to the next execution phase.
Seagate stock is entering a tougher execution phase after record fiscal results and a stronger outlook for the December quarter. In a release dated October 27, Seagate Technology reported fiscal first-quarter revenue of 4.233 billion US dollars and non-GAAP diluted earnings of 7.68 US dollars per share.
The latest Lang & Schwarz quote was 452.50 euros at 17:30 CET on Monday, November 9, 2026. That was 9.83 percent above the 412.00-euro quote in the own report published at 11:31 CET the same day; this is a comparison with that report, not a Xetra daily performance measure.
Record quarter raises expectations
Seagate reported GAAP diluted earnings of 7.59 US dollars per share, compared with 2.43 US dollars a year earlier. Non-GAAP gross margin reached 57.8 percent, up from 40.1 percent, while non-GAAP operating margin rose to 50.7 percent from 29.0 percent.
Free cash flow reached 1.479 billion US dollars, versus 427 million US dollars in the prior-year quarter. The company retired approximately 1.2 billion US dollars of principal debt during the quarter and returned 568 million US dollars through dividends and share repurchases.
Guidance sets the next hurdle
For fiscal second quarter 2027, management expects revenue of 4.8 billion US dollars, plus or minus 100 million US dollars. Non-GAAP diluted earnings are expected at 9.20 US dollars per share, plus or minus 0.20 US dollars, excluding estimated pre-tax share-based compensation charges of 0.30 US dollars per share.
The December quarter will test whether stronger exabyte shipments, continued demand and value-based pricing can support the higher outlook. Seagate shipped a record 198 exabytes of nearline capacity to data-center customers in the September quarter, while its Mozaic 4 platform continues to ramp.
Balance sheet supports returns
After the quarter ended, Seagate retired another 750 million US dollars of principal debt, bringing principal debt to 1.6 billion US dollars. The quarterly dividend increased by approximately 3 percent to 0.76 US dollars per share, payable on January 7, 2027, to shareholders of record on December 23, 2026.
For investors, the central issue is converting demand visibility into qualified shipments without sacrificing pricing or margins. HAMR qualification, manufacturing execution, customer concentration and rising component costs remain key risks.
Seagate Technology Holdings
- Company: Seagate Technology Holdings plc
- ISIN: IE00BKVD2N49
- NASDAQ ticker: STX
- Lang & Schwarz quote: 452.50 euros, Monday, November 9, 2026, 17:30 CET
- Fiscal first-quarter revenue: 4.233 billion US dollars
- Fiscal second-quarter revenue guidance: 4.8 billion US dollars plus or minus 100 million US dollars
US technology stocks remain the broader market backdrop; see current S&P 500 market coverage.
More news and analyses on Seagate stock will track the companys execution against its December-quarter targets.
