Seagate Technology (NASDAQ: STX) stock selling price rose extra than 2x from $39 in 2018 stop to more than $80 at present, principally thanks to favorable modifications in its P/S many. During this period, the organization witnessed just an 8% rise in revenue, but a significant fall in the excellent share depend assisted raise the company’s income per share and stock price tag. Even further, in excess of the identical time period, the S&P 500 returned around 65%, this means that Seagate inventory managed to strongly outperform the broader markets.
In our interactive dashboard, Why Seagate Engineering Inventory Moved: STX Stock Has Gained 109% Due to the fact 2018, we crack down the factors guiding this transfer.
Seagate’s Overall Income has developed 7.7% from $11.2 billion in FY 2018 to $12 billion on an LTM foundation
- Seagate’s whole profits initially fell from $11.2 billion in FY ’18 to $10.5 billion in FY ’20, as income volume rose slower than the fall in charge for every little bit of its memory goods (Seagate’s fiscal yr ends in June).
- On the other hand, gross sales recovered step by step to $10.7 billion in FY ’21, and at this time stand as superior as $12 billion on an LTM foundation.
- Whilst Seagate stories its organization under a single functioning segment only, it is intriguing to notice that almost 50% of its product sales arrive from Singapore, with the United States and the Netherlands building up the bulk of the relaxation.
- For added particulars about Seagate’s revenues and comparison to peers, see Seagate Engineering Revenue Comparison
Profits per share elevated 43% from $38.79 in 2018 to $55.36 currently
- Seagate’s revenue rose from $11.2 billion in 2018 to $12 billion now, while the excellent share depend reduced at a brief rate, from 288 million in 2018 to under 220 million at the moment.
- Due to this, RPS has jumped from $38.79 in FY ’18 to $55.36 at present.
Value-To-Revenue (P/S) several for Seagate Engineering
- Seagate’s P/S a number of rose strongly to all-around 2.3x by late 2021, on the back again of mounting investor anticipations encompassing memory goods demand from customers growth.
- Having said that, because of to the existing geopolitical tensions and improved economic uncertainty weighing on the broader marketplaces, the P/S a number of has pulled back, at the moment standing at about 1.5x.
- For more aspects about the company inventory returns and comparison to peers, see Seagate Engineering Inventory Return Comparison.
What if you’re wanting for a a lot more well balanced portfolio instead? Our substantial-top quality portfolio and multi-strategy portfolio have beaten the market place continually considering the fact that the finish of 2016.
Make investments with Trefis Market place Beating Portfolios
See all Trefis Rate Estimates