Goldman Sachs Upgrades Seagate Technology, Raised Price Target Implies 6% Upside

August 12, 2021 10:03 AM | 1 min read | Make a Comment

Goldman Sachs analyst Toshiya Hari upgraded Seagate Technology Holdings PLC STX to Neutral from Sell with a price target of $98, up from $85, implying a 5.6% upside.
The stock is up 85% since being added to America's Sell List in 2018, Hari said.
Hari believes he underestimated the company's ability to gain share in nearline HDD, the pace at which gross margins would recover, and the expansion in STX's multiple.
He added, however, that Seagate shares now trade at 11.5x expected next-12-months earnings, which is above the 3-year median multiple of 10.7x.
Price Action: STX shares traded lower by 2.56% at $91.72 on the last check Thursday.