U.S. markets closed
  • S&P 500

    3,901.36
    +0.57 (+0.01%)
     
  • Dow 30

    31,261.90
    +8.77 (+0.03%)
     
  • Nasdaq

    11,354.62
    -33.88 (-0.30%)
     
  • Russell 2000

    1,773.27
    -2.96 (-0.17%)
     
  • Crude Oil

    110.35
    +0.46 (+0.42%)
     
  • Gold

    1,845.10
    +3.90 (+0.21%)
     
  • Silver

    21.87
    -0.03 (-0.13%)
     
  • EUR/USD

    1.0562
    -0.0026 (-0.24%)
     
  • 10-Yr Bond

    2.7870
    -0.0680 (-2.38%)
     
  • GBP/USD

    1.2495
    +0.0020 (+0.16%)
     
  • USD/JPY

    127.8500
    +0.0560 (+0.04%)
     
  • BTC-USD

    29,438.87
    +171.53 (+0.59%)
     
  • CMC Crypto 200

    650.34
    -23.03 (-3.42%)
     
  • FTSE 100

    7,389.98
    +87.24 (+1.19%)
     
  • Nikkei 225

    26,739.03
    +336.19 (+1.27%)
     

Seagate (STX) Unveils Exos Application Platform: Key Takeaways

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·3 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Seagate Technology Holdings plc STX unveiled a new compute and storage platform — Exos Application Platform (“AP”). The platform is designed to help business enterprises to meet increasing data-storage requirements amid an exponential rise in data generation.

Exos AP is a scalable and comprehensive platform, which offers users compute and storage in a single enclosure. This will help to streamline rack space and storage density as well as allowing heat dissipation, noted Seagate.

Exos AP’s new controller is powered by Advanced Micro Devices’ AMD 2nd generation EPYC processors. AMD’s second-generation processors provide core counts of 8, 12 and 16 for different performance levels for the Exos AP Enterprise Data Storage System Controller.

For the Exos AP Enterprise Data Storage System Controller, EPYC processors offer PCIe 4 lanes that boast 200GbE network connectivity along with high bandwidth to SAS controller to facilitate a speedier hard disk drive and solid-state drive response, added Seagate.

Seagate noted that the Exos AP options containing the new AP-BV-1 controller would be available in the current month.

Seagate Technology Holdings PLC Price and Consensus

Seagate Technology Holdings PLC Price and Consensus
Seagate Technology Holdings PLC Price and Consensus

Seagate Technology Holdings PLC price-consensus-chart | Seagate Technology Holdings PLC Quote

Fast-Growing Data Center and Cloud Market Holds Promise

The demand for Seagate’s mass storage capacity solutions is being driven by strong cloud data center demand, recovery in the enterprise market and increasing investments in digital transformation by business enterprises. The data center business is booming owing to growth in the adoption of cloud-based solutions and 5G network deployment.

Seagate’s mass capacity portfolio is also gaining from strong uptake of its 20-terabyte HAMR drives in addition to 16 and 18 terabyte drives. It began shipping HAMR drives in November 2020.

In the last reported quarter, revenues from mass capacity storage soared 53.8% year over year and crossed $2 billion mark for the first time. The company shipped 132.3 exabytes for the mass capacity storage market (includes nearline and video and image applications as well as network-attached storage or NAS). This marked sequential growth of 7% and year-over-year improvement of 53% in exabytes shipments. Average mass capacity per drive improved sequentially to 9.6 TB from 9.4 TB.

Supply chain constraints, component shortages and logistics bottlenecks witnessed globally remain concerns for Seagate. Higher freight costs, owing to the COVID-19 crisis, along with increasing expenses on product enhancements and stiff competition in the storage market, is likely to put pressure on margin expansion.

Zacks Rank & Stocks to Consider

At present, Seagate currently carries a Zacks Rank #2 (Buy).

Other stocks worth consideration in the broader technology sector include Arrow Electronics ARW and Alphabet GOOGL. While Alphabet sports a Zacks Rank #1 (Strong Buy), Arrow Electronics carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

For Arrow Electronics, the Zacks Consensus Estimate for 2021 earnings is pegged at $14.60 per share, up 8.1% in the past 60 days. The long-term earnings growth rate of the company is pegged at 27.4%.

Arrow Electronics’ earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 18.6%. Shares of the company have rallied 27.7% year to date.

The Zacks Consensus Estimate for Alphabet’s 2021 earnings is pegged at $108.29 per share, up 6.3% in the past 60 days. The long-term earnings growth rate of the company is pegged at 25.8%.

Alphabet’s earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 41.5%. Shares of the company have rallied 64.2% year to date.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report

Seagate Technology Holdings PLC (STX) : Free Stock Analysis Report

Arrow Electronics, Inc. (ARW) : Free Stock Analysis Report

Alphabet Inc. (GOOGL) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research