Seagate Technology (STX) PT Raised to $52 at Baird; 'EB Comps Likely Peaking'
Baird raised its price target on Seagate Technology (NASDAQ: STX) to $52.00 (from $48.00) while maintaining a Neutral rating saying EB YoY comps are likely peaking this quarter.
Analyst Tristan Gerra commented, "We also expect Client Compute EB to return to a secular YoY decline as NAND cannibalization accelerates, while price per bit declines overall have remained steady. Net, in an environment of loosening NAND prices, the sustainability of EB growth exceeding price declines beyond F2018 is unlikely, and we consequently model a return to flat revenue for F2019. Neutral-rated."