Fundamental analysis · SEC EDGAR · as of 03/07/2026

Fundamental analysis of Seagate Technology Holdings Plc

STX · Nasdaq · Technology

Fundamental quality

ATTRACTIVE

85

out of 100

Seagate Technology Holdings Plc runs like a cash machine: it converts about 25.5% of revenue into free cash flow and holds a 26.1% net margin, though it grows at a measured pace. On fundamental quality it scores 85 out of 100, profiling it as a company with solid fundamentals. Its weakest area is its growth (revenue +2.7%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Seagate is the other half of the global hard-drive duopoly: cheap mass storage for data centers, with its HAMR technology as the capacity leap. Same tailwind as Western Digital: AI needs to store absurd amounts of data.

What will shape its future

  • Hyperscaler storage demand and price per terabyte.
  • HAMR execution, its technology edge if it scales on time.
  • Duopoly discipline: two rational players after decades of price wars.

Breakdown by area

I.Growth
66

EPS growth: 21% · Revenue growth: 2.7%

II.Profitability
95

Net margin: 26.1% · ROE: 146.9% · ROIC: 86.9%

III.Financial health
95

Net debt/EBITDA: 0.43x · FCF: 25.5%

Source: SEC EDGAR · as of 03/07/2026

The score combines growth, profitability and financial strength. Here its profitability weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 101 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 67%
ROEbeats 100%
Growthbeats 8%
Cash generationbeats 47%
Less debtbeats 47%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Seagate Technology Holdings Plc strengths

  • Solid return on capital: its ROE (146.9%) is inflated by buybacks, but ROIC —which strips that out— is 86.9%.
  • Excellent free-cash-flow generation (FCF margin of 25.5%): profit turns into real cash.
  • Expanding margins: net margin has risen from 12% to 26% in recent years.
  • Exceptional net margin (26.1%), high even for its sector: the business is clearly profitable.

Seagate Technology Holdings Plc risks and weaknesses

  • Weak revenue growth (2.7% annualized).

Seagate Technology Holdings Plc historical evolution

YearRevenueNet incomeFree cash flowNet debt
202110,6811,3141,1284,007
202211,6611,6491,2765,100
20237,384-5296264,732
20246,5513356644,371
20259,0971,4698184,155
202612,1953,1843,1051,899

Between 2021 and 2026, revenue went from $10,681M to $12,195M (+14%) and net income went from $1,314M to $3,184M (+142%). Meanwhile, its margins have widened (from 12% to 26%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Dividend

$2.94

per share, yearly

19.9% of earnings

Payout

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Seagate Technology Holdings Plc cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Seagate Technology Holdings Plc a good company to invest in?

In terms of business quality, Seagate Technology Holdings Plc scores 85 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Seagate Technology Holdings Plc a profitable company?

Very. Seagate Technology Holdings Plc shows a net margin of 26.1% and an ROE of 146.9%, typical of a highly profitable business.

Does Seagate Technology Holdings Plc have a lot of debt?

Not particularly. Its net debt is 0.43 times its EBITDA, a low level.

Is Seagate Technology Holdings Plc growing?

Its revenue has grown 2.7% annualized in recent years and its earnings per share 21%.

Does Seagate Technology Holdings Plc generate cash?

Yes. It converts about 25.5% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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