New York, Jan 7, 2026, 05:23 EST — Premarket
Seagate Technology Holdings plc (STX.O) shares slipped 1.3% to $326 in premarket trading on Wednesday, as of 4:30 a.m. EST. The data-storage firm ended Tuesday up 14% at $330.42, after trading between $290.90 and $332.00.
The pullback follows a sharp rotation into storage and memory names after Nvidia (NVDA.O) CEO Jensen Huang, speaking at the Consumer Electronics Show in Las Vegas, gave details that included a new layer of storage technology. SanDisk (SNDK.O) jumped over 27%, Western Digital (WDC.O) rallied 17% and Micron Technology (MU.O) rose 10% on Tuesday, with all four stocks hitting record highs. “A very strong earnings season for Big Tech” could also drive capex — short for capital spending — estimates higher again, said Jed Ellerbroek, portfolio manager at Argent Capital. Reuters
Huang told CES attendees Nvidia’s next-generation chips are in “full production” and said they can deliver five times the artificial-intelligence computing of the prior generation when serving chatbots and other AI applications. He also highlighted “context memory storage,” a new storage layer aimed at helping chatbots deliver faster responses to long questions and conversations. Reuters
In a post-keynote session with analysts, Huang called the memory storage market “completely unserved” today and said it may become “the largest storage market in the world” as AI systems process more working memory — the information they keep on hand while answering questions. markets.businessinsider.com
Seagate’s surge followed a 219% run in 2025, when the stock ranked among the best performers in the S&P 500, IBD reported. Morgan Stanley analysts cited a growing shortage of hard-disk drive capacity, now projected at about 200 exabytes — roughly 200 billion gigabytes — as cloud customers expand storage for AI workloads, according to the report.
Seagate told investors in October it sees fiscal second-quarter revenue of about $2.70 billion, plus or minus $100 million, and non-GAAP earnings of $2.75 per share, plus or minus $0.20. CEO Dave Mosley said the company was ramping shipments of its Mozaic HAMR drives — heat-assisted magnetic recording that uses heat to pack more data on each disk — and that the products had been qualified with five of the world’s largest cloud customers. The company also said it will pay a quarterly cash dividend of $0.74 per share on Jan. 9.
But the pace of the move leaves the stock vulnerable to profit-taking if AI-linked capital spending cools or storage pricing eases. A regulatory filing showed Mosley sold 20,000 shares on Jan. 2 under a Rule 10b5-1 plan — a pre-arranged trading program — at prices ranging from about $280.66 to $289.25; the plan was adopted on Feb. 20, 2025.
