This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Seagate (STX) Tumbles After Q2 Earnings Fail to Impress

NEW YORK (TheStreet) -- With Apple (AAPL) due to report any minute, it would have been easy to overlook Seagate Technology (STX - Get Report) which reported after the close Monday.

The data storage maker wasn't so lucky. Investors turned against the stock shortly after the release of weaker-than-expected second-quarter financials.

In extended trading, shares tumbled 6.5% to $54.30.

For its second quarter ended December, the company recorded net income of $1.32 a share, six cents short of expectations, according to analysts surveyed by Thomson Reuters. Revenue of $3.53 billion saw a 3.8% year-over-year decrease and missed consensus by around $30 million.

Must Read: VantageSouth Bancshares (VSB) Surges on Yadkin Financial (YDKN) Merger

On a quarter-by-quarter basis, net earnings grew 2.3% and revenue edged 1.2% higher.

"Seagate's results in the December quarter reflect discipline in managing the profitability of our business and strong operational execution," said CEO Steve Luczo in a statement.

The board approved a quarterly cash dividend of 43 cents a share, payable to shareholders of record at close of business Feb. 10.

TheStreet Ratings team rates SEAGATE TECHNOLOGY PLC as a Buy with a ratings score of A. The team has this to say about their recommendation:

"We rate SEAGATE TECHNOLOGY PLC (STX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
STX $50.68 0.00%
AAPL $113.29 0.00%
FB $91.01 0.00%
GOOG $630.38 0.00%
TSLA $248.48 0.00%

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs