Seagate (STX) closed at $47.86 in the latest trading session, marking a -1.93% move from the prior day. This move was narrower than the S&P 500's daily loss of 4.41%. Meanwhile, the Dow lost 4.44%, and the Nasdaq, a tech-heavy index, lost 4.41%.
Heading into today, shares of the electronic storage maker had lost 2.81% over the past month, outpacing the Computer and Technology sector's loss of 10.44% and the S&P 500's loss of 12.16% in that time.
Investors will be hoping for strength from STX as it approaches its next earnings release. In that report, analysts expect STX to post earnings of $1.30 per share. This would mark year-over-year growth of 56.63%. Meanwhile, our latest consensus estimate is calling for revenue of $2.62 billion, up 13.12% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.95 per share and revenue of $10.46 billion, which would represent changes of +2.7% and +0.63%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for STX. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 2.17% lower. STX is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, STX is holding a Forward P/E ratio of 9.85. Its industry sports an average Forward P/E of 11.7, so we one might conclude that STX is trading at a discount comparatively.
It is also worth noting that STX currently has a PEG ratio of 8.14. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computer- Storage Devices industry currently had an average PEG ratio of 4.68 as of yesterday's close.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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