"Seagate Technology ( NASDAQ: STX) reports fiscal Q1 2026 earnings after the close, entering with one of the hottest rebounds in tech hardware. The stock has soared more than 120% over the past year, powered by AI-linked storage demand, tighter supply discipline, and the commercial rollout of its HAMR-based Mozaic drives. Last quarter, Seagate delivered EPS of $2.59 vs. $2.44 expected on revenue of $2.44 billion vs. $2.42 billion consensus, capping a 30% YoY surge."
"It was Seagate's ninth straight quarter of gross-margin expansion, hitting a record 37.9%, with free cash flow doubling to $425 million. CEO Dave Mosley called fiscal 2025 one of the most profitable years in company history, underscoring demand for AI-driven cloud storage and Seagate's cost discipline."
"HAMR/Mozaic adoption curve - Three hyperscalers qualified; 4TB-per-disk (Mozaic 4+) volume ramp targeted for 1H-26, with HAMR exabyte crossover in 2H-26. Margin accretion from capacity/Cost-per-TB should show up in guide color."
Seagate enters Q1 FY2026 with guidance for $2.55 billion in revenue and EPS of $2.40, implying continued double-digit year-over-year growth. Management aims to push gross margins toward 40% as HAMR adoption accelerates and Mozaic drives roll out commercially. The stock has risen over 120% in the past year on AI-linked storage demand, supply discipline, and product ramp momentum. Prior quarter results included EPS of $2.59 on $2.44 billion revenue, a record 37.9% gross margin, and free cash flow of $425 million. HAMR qualification with hyperscalers and nearline capacity commitments support margin and revenue visibility into 2026.
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