Lates News

Data storage device manufacturer Seagate Technology (STX.O) reported first-quarter fiscal 2027 revenue above market expectations, up 61% year-over-year to $4.23 billion. The company's revenue guidance midpoint for the next quarter is $4.8 billion, 6.7% above the market consensus. Seagate's revenue has now grown for 10 consecutive quarters, indicating that the current upcycle remains intact. A typical industry upcycle usually lasts 8 to 10 quarters. Management currently expects revenue to grow 69.9% year-over-year next quarter. Days inventory outstanding (DIO) is an important metric for chipmakers, reflecting a company's capital intensity as well as the cyclical characteristics of semiconductor supply and demand. This quarter, Seagate's DIO was 86 days, 5 days above its five-year average, indicating that the company's inventory has risen above historical levels. Following the earnings release, Seagate's shares fell as much as 8% in after-hours trading.