My stock in focus today is
$Seagate Technology PLC(STX)$ after a blowout earnings report that further confirms the
storage super cycle. Seagate beat expectations across revenue, margins & guidance, driven by surging demand for enterprise nearline HDDs & high-performance SSDs from AI data centers, reinforcing storage as a core pillar of AI infrastructure.
Guidance was the key highlight. Seagate expects FY26 Q3 revenue of around $2.9B and EPS near $3.40, both well above consensus, with record margins underscoring strong pricing power. Management also noted nearline HDD capacity is effectively sold out through 2026, providing rare demand visibility.
Stepping back, AI data centers are expanding both SSD and HDD usage as hyperscalers adopt hybrid architectures to manage costs. With strong cash generation and clear positioning, Seagate continues to look like a structural winner in the AI-driven storage super cycle rather than a short-term trade.
@TigerStars @Tiger_comments @TigerClub
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