Seagate Technology: Takeaways from View from the Top series call with CEO Mosley

研报英文原文证据摘录

Seagate Technology: Takeaways from View from the Top series call with CEO Mosley

Accessible version

Seagate Technology

Takeaways from View from the Top series

call with CEO Mosley

Reiterate Rating: BUY | PO: 900.00 USD | Price: 812.73 USD

Long runway for HDDs 26 May 2026

We hosted a hosted a call for clients with CEO Dr. Dave Mosley. Data is an increasingly Equity

valuable asset and demand for storage is increasing driven by video, unstructured data,

robotics and need for data snap shots, checkpoints and data redundancy. Monetization

Key Changesopportunities associated with incremental storage far outweigh the costs. While demand

growth at hyperscale remains strong, STX is also seeing strong demand from traditional (US$) Previous Current

enterprise datacenters and edge applications. STX now has qualified Mozaic 3 at all Price Obj. 840.00 900.00

planned CSPs and also has two customers qualified on Mosaic 4. Reiterate Buy on secular

demand from cloud, revenue & margin improvement and path to higher capacity HAMR Wamsi Mohan

Research Analyst

HDDs. We raise our PO to $900 (from $840) on 31x (prior 29x) C27E EPS of $29.28. We BofAS

use a higher multiple on more confidence on sustainability of demand and pricing. +1 646 855 3854 wamsi.mohan@bofa.com

Margins have room to expand; HAMR – better cost per TB RupluResearchBhattacharyaAnalyst

Incremental margins remain high (>70% y/y) and STX has both pricing and cost levers to BofAS

+1 646 855 0315

drive gross margins higher. $/TB could exceed $20/TB over time (in our opinion) but will ruplu.bhattacharya@bofa.com

be consistent and relatively measured price increases. On the cost side, STX benefits Aisling Grueninger

from using the same platform architecture across HDD generations. As HAMR Research Analyst

BofAS