PomegraSeagate Stock Falls 6% After Hours Despite Earnings Beat
Why is Seagate stock down today?
Seagate (STX) stock fell 6% to $631 in after-hours trading on Tuesday after earnings, as traders locked in gains from a 140% yearly run despite a beat and stronger guidance.
Key numbers
| Quarterly revenue | $4.2B+61% YoY |
|---|---|
| Adjusted EPS | $7.68vs $7.39 expected |
| Next-quarter revenue guide | $4.8Bvs $4.56B expected |
| Adjusted gross margin | 57.8%from 40.1% a year ago |
| Free cash flow | $1.5Bcompany record |
| After-hours move | -6%to $630.96 from $667.85 close |
What happened
Seagate (STX) stock fell 6% to $631 in after-hours trading on Tuesday after earnings, as traders locked in gains from a 140% yearly run despite a beat and stronger guidance. The data-storage maker reported $4.2 billion in sales for the September quarter, up 61% from a year earlier, and profit of $7.68 per share versus $7.39 expected. Its own forecast (guidance) for next quarter, $4.8 billion in sales, also topped the $4.56 billion analysts expected. Earlier Tuesday, shares had closed up 3.7% at $667.85 as storage stocks rallied.
Why it matters
Seagate's slide shows that strong results may not be enough for a stock that has already climbed a lot. Shares were up about 140% this year, so investors appeared to want more than a beat. Seagate makes the hard drives that store data for AI and cloud companies, and says most of its supply is already spoken for through 2028. A drop after good news can mean much of it was already in the price.
Who this affects
- MarketmixedMedium impact
- Chip and storage investors saw profit-taking despite strong results.
- CompanymixedMedium impact
- Seagate shareholders face a dip despite record profit.
- CompetitorsneutralMedium impact
- Western Digital and Sandisk face the same high expectations.
- IndustrybullishMedium impact
- Hard-drive makers gain from AI data demand and firm pricing.
Seagate vs Western Digital, Sandisk, Micron
How we got here
Seagate closes up 3.7% at $667.85 as storage stocks rally.
Seagate reports $4.2B September-quarter sales, up 61%, and guides to $4.8B.
Shares fall 6% after hours; outlets report drops ranging from 5% to 8.6%.
Sandisk is scheduled to report quarterly results.
What to watch
- Seagate's December-quarter sales versus its $4.8B guide, plus or minus $100MFQ2 2027
- Sandisk earnings, a read on memory demand and pricing2026-10-29
- Micron results, expected for more memory-demand signals2026-12-16
Educational content only. Not investment advice.
More briefsAll briefs →
Manhattan Associates Stock Jumps 11% After Earnings Beat
Manhattan Associates (MANH) hit a 52-week high as cloud sales rose 28% and it raised its 2026 outlook
NXP Stock Falls 9% After Hours on Q4 Revenue Guidance
NXP Semiconductors (NXPI) guided Q4 sales to $3.85B, in line with forecasts, as chip stocks rallied
Whirlpool Stock Falls 9% After Q3 Loss and Guidance Cut
Whirlpool (WHR) shares slid after it forecast a $1.30-per-share loss for 2026 on weak appliance demand.