Leading global investment bank Barclays has provided a new price prediction for Seagate stock (NASDAQ: STX). The forecast comes after the hard-disk drive manufacturer fell to the $740 level last week from a high of $1,145. Not just STX, its competitor SanDisk stock (NASDAQ: SNDK) also plunged below $1,000 during the late-July market crash.
However, both Seagate and SanDisk stocks recovered from the slump, and STX is trading at $837 on Thursday’s opening bell. On the heels of the price recovery, Barclays’ latest price prediction on STX remains optimistic about a comeback. The projection states that traders who take an entry position now at the $830 level stand a chance to make bigger gains.
Also Read: SanDisk Stock Reclaims $1,400: Wall Street Gives New Price Target
Seagate Stock Price Prediction: Barclays New Target For STX
Thomas O’Malley, the Equity Research Director at Barclays, has maintained his buy rating for Seagate stock. In a note sent to clients last week after the crash, the analyst predicted that STX could reach a price target of $1,250 next. He upgraded his projection from the previous target of $1,000 to $1,250, indicating bullishness on the hard-disk manufacturer.
Traders can expect a profit of nearly $413 per share if they take an entry position in Seagate stock at today’s price of $837. It is also an uptick and return on investment (ROI) of approximately 50% from its current price. Therefore, an investment of $1,000 could turn into $1,500 if the price prediction from Barclays turns out to be accurate and reaches the target.
That’s stellar gains and double-digit returns, as confidence in the hard-disk manufacturing segment is high. The confidence stems from the growing demand for its products in building AI data centers. Seagate stock stands to benefit from the market demand, as its products are vital in building the AI infrastructure. The equity could be in demand till 2030, and reward traders who hold on for the long term.
