Canaccord Genuity Morning Coffee on Seagate Technology (STX): I Sea Green
Tweet Send to a FriendGet Alerts STX Hot Sheet
Price: $41.52 +1.17%
Rating Summary:
5 Buy, 16 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 25 | New: 24
Rating Summary:
5 Buy, 16 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 25 | New: 24
Trade STX Now!
Canaccord Genuity Morning Coffee on Seagate Technology (NASDAQ: STX): I sea green.
Shares of Seagate Technology got a lift (yesterday) after Greenlight Capital, the hedge fund run by David Einhorn unveiled a big boost in its position in the computer hardware maker, riding on gains his funds made from Seagate in Q1. In a regulatory filing, Greenlight reported owning 23.1 million shares, or 5.4%, of Seagate's outstanding common stock, as of June 1. That's up from 14.5 million shares, or 3.4%, as of March 31. The move wasn't exactly unexpected as Einhorn praised Seagate in Greenlight's annual investor letter released last month, saying the company was expecting increased revenue because it would be able to charge higher prices on its hardware sales due to a recent shortage in the industry, and that an imminent stock repurchasing program would increase earnings per share in the future. Greenlight said it expects Seagate's earnings to reach $10 to $15 a share in 2012 and also argued that Seagate's share price remained at a very low multiple of both near-term and long-term earnings.
This morning, shares are trading up again, currently at $23.88, up $0.69 (+2.98%).
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Shares of Seagate Technology got a lift (yesterday) after Greenlight Capital, the hedge fund run by David Einhorn unveiled a big boost in its position in the computer hardware maker, riding on gains his funds made from Seagate in Q1. In a regulatory filing, Greenlight reported owning 23.1 million shares, or 5.4%, of Seagate's outstanding common stock, as of June 1. That's up from 14.5 million shares, or 3.4%, as of March 31. The move wasn't exactly unexpected as Einhorn praised Seagate in Greenlight's annual investor letter released last month, saying the company was expecting increased revenue because it would be able to charge higher prices on its hardware sales due to a recent shortage in the industry, and that an imminent stock repurchasing program would increase earnings per share in the future. Greenlight said it expects Seagate's earnings to reach $10 to $15 a share in 2012 and also argued that Seagate's share price remained at a very low multiple of both near-term and long-term earnings.
This morning, shares are trading up again, currently at $23.88, up $0.69 (+2.98%).
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Lazard Boosts PT on Western Digital (WDC) to $68; Sees Bottoming in HDD
- UPDATE: UBS Downgrades Carnival (CCL) to Neutral; Worst May Not Be Behind
- Needham & Company Lifts Numbers on 3D Systems (DDD) on Offering, RDPG Deal
Create E-mail Alert Related Categories
Analyst CommentsRelated Entities
Greenlight Capital, David Einhorn, Hedge Funds, Earnings
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
