Seagate was caught in a sharp storage-sector selloff after investors reacted to the prospect of additional hard-drive supply.
Toshiba’s plan to double capacity for AI data-center drives in fiscal 2027 raised concerns that the current shortage could ease. STX dropped around 10.5%, moving in line with Western Digital as the market quickly repriced the scarcity narrative.
The decline highlights how tightly pricing power and margins have been tied to constrained supply. Attention now turns to whether hyperscale demand can absorb the added capacity without pressuring future estimates.
$STXB $STX.US $STXX #STX #Seagate #Storage #AI #HardDrives
Toshiba’s plan to double capacity for AI data-center drives in fiscal 2027 raised concerns that the current shortage could ease. STX dropped around 10.5%, moving in line with Western Digital as the market quickly repriced the scarcity narrative.
The decline highlights how tightly pricing power and margins have been tied to constrained supply. Attention now turns to whether hyperscale demand can absorb the added capacity without pressuring future estimates.
$STXB $STX.US $STXX #STX #Seagate #Storage #AI #HardDrives