Data storage manufacturer Seagate (NASDAQ:STX) will be reporting results tomorrow after market hours. Here's what to look for.
Last quarter Seagate Technology reported revenues of $2.8 billion, up 2.59% year on year, missing analyst expectations by 0.31%. It was a weak quarter for the company, with an underwhelming revenue guidance for the next quarter and a miss on the bottom line.
Is Seagate Technology buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Seagate Technology's revenue to decline 7.31% year on year to $2.79 billion, a significant deceleration compared to the 19.7% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.89 per share.
The analysts covering the company have had mixed opinions about the business heading into the earnings, with revenue estimates seeing two upward and four downward revisions over the last thirty days. The company missed Wall St's revenue estimates once over the last two years.
With Seagate being the first among its peers to report earnings this season, we don't have anywhere else to look at to get a hint at how this quarter will unravel for semiconductor stocks, but investors in the segment have had steady hands going into the earnings, with the stocks up on average 7.97%% over the last month. Seagate Technology is up 9.27% during the same time, and is heading into the earnings with analyst price target of $94.9, compared to share price of $79.44.
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The author has no position in any of the stocks mentioned.