Seagate Beats Earnings, Revenue Expectations In Q2 On Strong Data Center Demand

• The company reported $3.11 earnings per share (EPS) for the quarter, a jump of about 53% from the previous year, and above analyst expectations of $2.79, as per Fiscal.ai data. 
• Seagate reported $3.11 earnings per share (EPS) for the quarter, a jump of about 53% from the previous year, and above analyst expectations of $2.79.
• The company attributed its performance to increasing demand for AI data storage.

Seagate Technology Holdings (STX) reported second-quarter (Q2) 2026 results on Tuesday, with revenue and earnings beating street expectations.

The data storage company posted Q2 revenue of $2.8 billion, about 21.5% higher year-on-year compared to $2.3 billion for the previous year, and above analyst estimates of $2.71 billion, as per Fiscal.ai data.

Meanwhile, the company reported $3.11 earnings per share (EPS) for the quarter, a jump of about 53% from the previous year, and above analyst expectations of $2.79, as per Fiscal.ai data.

Shares of STX slipped about 1.6% in after-hours trading despite the strong results.

AI Data Storage

The company attributed its performance to increasing demand for AI data storage.

“This performance highlights our team’s strong operational execution, the durability of data center demand, and the ongoing ramp of our HAMR-based Mozaic products,” said Dave Mosley, Seagate’s chair and CEO.

“As AI applications amplify the creation and economic value of data, modern data centers increasingly need storage solutions that combine performance and cost-efficiency at exabyte-scale,” Mosley added, noting that the company’s areal-density-driven product roadmap positions it to meet evolving storage requirements and exabyte demand growth in the market.

Q3 Guidance

Seagate provided revenue and earnings guidance for its third-quarter (Q3) 2026, once again ahead of expectations.

The company said it expects revenue of $2.9 billion, plus or minus $100 million. Meanwhile, street expectations were at $2.72 billion, based on 18 estimates on Fiscal.ai.

The company also said that it expects a diluted EPS of $3.40, plus or minus $0.20, compared to expectations of $2.86, as per Fiscal.ai.

Seagate said that its guidance factored in the dilution impact from exchangeable senior notes due 2028, as well as the minimal-expected impact from global tariff policies.

The company’s board also declared a quarterly cash dividend of $0.74 per share, payable on Apr. 8.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around STX shares jumped from ‘bullish’ to ‘extremely bullish’ territory over the past 24 hours amid ‘extremely high’ message volumes.

One user said that the company’s revenue guidance was just ‘ok,’ which is why the stock was not climbing.

Another user said they expected the company to do better.

Shares of STX have gained over 259% in the past year.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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