Goldman Sachs Begins Coverage on Seagate Technology Holdings (STX) Stock with a Buy

Seagate Technology Holdings plc (NASDAQ:STX) is one of the Most Promising AI Stocks to Buy Now. Goldman Sachs initiated coverage on the company’s stock with a “Buy” rating and a price objective of $170.00. The firm highlighted Seagate Technology Holdings plc (NASDAQ:STX)’s technological leadership, mainly with respect to its HAMR-based drives, which can help it regain nearline HDD market share. Elsewhere, Mizuho upped the price target on Seagate Technology Holdings plc (NASDAQ:STX)’s stock to $155 from $130, noting that HAMR ramps are driving better ASPs and GMs, with demand looking robust into 2026E amidst increased capacity drives.

Goldman Sachs Begins Coverage on Seagate Technology Holdings (STX) Stock with a Buy

A technician configuring a network-attached storage drive.

Furthermore, Mizuho also added that Seagate Technology Holdings plc (NASDAQ:STX) continues to benefit from robust HAMR leadership/ramp, and added that large language models, such as GPT-5, continue to fuel AI server demand. Seagate Technology Holdings plc (NASDAQ:STX) highlighted that technology innovation and AI continue to fuel exponential data growth and drive demand for the hard drive storage industry. The company remains well-placed to capture this opportunity with its Mozaic portfolio powered by market-leading HAMR technology.

Seagate Technology Holdings plc (NASDAQ:STX) happens to be an AI-focused business by developing purpose-built hard drives such as SkyHawk AI.

While we acknowledge the potential of STX to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than STX and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.