Seagate: Stock Up 6% This Week on BofA Price Target Increase

Key Stats for STX Stock

• Past-Week Performance: 6%
• 52-Week Range: $63 to $370
• Valuation Model Target Price: $542
• Implied Upside: 51% over 2.4 years

Before reading further, see whether Seagate’s post-upgrade valuation still hinges on sustained data center momentum by running the numbers on TIKR for free →

What Happened?

Seagate Technology Holdings plc (STX) rose about 6% during the past week, trading near the upper end of its recent range after extending gains from a strong multi-quarter rally.

During the week of January, analyst commentary dominated headlines after BofA Securities raised its price target to $400, citing expectations for a strong fiscal second quarter.

At the same time, analysts highlighted continued strength in data center demand, seasonal improvement in video and imaging applications, and sequential gross margin expansion through fiscal 2026.

Further, investors focused on favorable industry supply-demand dynamics and stable pricing trends, while markets had already reflected expectations for improved margins and earnings strength.

Overall, the period included no new earnings releases or management guidance changes, and trading reflected existing expectations shaped by analyst optimism and sector-wide storage market strength.

Seagate climbed as analysts pointed to improving data center demand and margins, but how much of that optimism is already priced in? Run a valuation check on TIKR for free →

Is STX Stock Fairly Valued Right Now?

Under the valuation model shown, the stock is modeled using:

• Revenue Growth: 16.3%
• Operating Margins: 34.9%
• Exit P/E Multiple: 25x

Based on assumptions realized through June 2028, the valuation model conditions Seagate’s outcomes on sustained revenue growth, margin expansion, and disciplined valuation execution.

Specifically, the model assumes roughly 16% revenue CAGR, operating margins near 35%, and an exit valuation multiple of approximately 25 times earnings.

Based on these inputs, the model estimates a $541.94 target price, implying roughly 51% total upside and 18.6% annualized returns.

Achieving this scenario depends on sustained data center demand, favorable supply discipline, pricing stability, and continued margin expansion through scale and cost leverage.

Seagate stock’s valuation reflects execution risk and cycle sensitivity, leaving returns dependent on sustained industry conditions rather than embedded optimism.

Analysts expect data center strength and stable pricing to support earnings, but valuation still depends on execution. Model Seagate’s upside scenarios on TIKR for free →

Value Any Stock in Under 60 Seconds (It’s Free)

With TIKR’s new Valuation Model tool, you can estimate a stock’s potential share price in under a minute.

All it takes is three simple inputs:

1. Revenue Growth
2. Operating Margins
3. Exit P/E Multiple

From there, TIKR calculates the potential share price and total returns under Bull, Base, and Bear scenarios so you can quickly see whether a stock looks undervalued or overvalued.

If you’re not sure what to enter, TIKR automatically fills in each input using analysts’ consensus estimates, giving you a quick, reliable starting point.

See a stock’s true value in under 60 seconds (Free with TIKR) >>>