Just_Super/E+ via Getty Images Investment Thesis When I first wrote about Seagate Technology Holdings ( STX ), the big idea was simple. That HAMR would matter. And AI would create more storage demand. And STX would be one of the cleanest beneficiaries. In one of the earlier pieces , I more or less said that HAMR was great for business. And I still believe that. But the story has changed in an impo...
Just_Super/E+ via Getty Images Investment Thesis When I first wrote about Seagate Technology Holdings ( STX ), the big idea was simple. That HAMR would matter. And AI would create more storage demand. And STX would be one of the cleanest beneficiaries. In one of the earlier pieces , I more or less said that HAMR was great for business. And I still believe that. But the story has changed in an important way. There is no longer a "wait for the roadmap" thesis. It is now a "the roadmap is showing up in production, margins and customer commitments "thesis. And that is exactly why I am reiterating STX with a Strong Buy rating. The fresh part of my thesis is not that Seagate has better technology. It is that the company now looks like a supply assurance asset inside AI infrastructure. I mean, management mentioned that nearline capacity is fully allocated through 2026. And the orders for the H1 2027 are about to open. Yet there are customers that are already discussing 2028 demand. And in my view, that is unusually strong visibility for a storage hardware company. Now if I add that to the fact that Mozaic 4+ is now qualified and in production with two leading hyperscale cloud providers, with capacities of up to 44TB. Then one would start to see some real shift. STX is moving from a cyclical HDD company into a business with better pricing discipline, stronger mix and much cleaner and clear earnings power than investors used to give it credit for. And I am saying this because the numbers already back that up. In 2Q 2026 for instance, STX posted $2.83Bn revenue, while the non-GAAP margin stood at 42.2%, non-GAAP operating margin on the other side was 31.9% and non-GAAP EPS sat at $3.11. FCFs came in at $607Mn and management called it the highest in over 8 years. Then it also guided for 3Q 2026 revenue to come in at $2.9Bn and noted that operating margin should approach the 30% range. In my opinion that is a financial profile of a company that is climbing into a richer part of...
An 89-year-old Hong Kong man has been rescued after he was discovered clinging to the exterior wall of a care home in To Kwa Wan following a fall from a second-floor window. Care home staff filed a report with the police at around 8am on Thursday, stating that the man was hanging from the wall. The building is located at the intersection of Lok Shan Road and Ma Tau Wai Road. The force said the man...
An 89-year-old Hong Kong man has been rescued after he was discovered clinging to the exterior wall of a care home in To Kwa Wan following a fall from a second-floor window. Care home staff filed a report with the police at around 8am on Thursday, stating that the man was hanging from the wall. The building is located at the intersection of Lok Shan Road and Ma Tau Wai Road. The force said the man fell from the window while trying to retrieve something and clung to a section of the wall near an...
Palantir (NASDAQ: PLTR) has been one of the most popular artificial intelligence (AI) stocks since the AI arms race began in 2023. Its AI platform has become more and more popular with each passing quarter, leading to huge growth for the stock. But is it the ultimate hypergrowth stock? Let's take a look, because the answer may surprise you. Image source: The Motley Fool. Continue reading
Palantir (NASDAQ: PLTR) has been one of the most popular artificial intelligence (AI) stocks since the AI arms race began in 2023. Its AI platform has become more and more popular with each passing quarter, leading to huge growth for the stock. But is it the ultimate hypergrowth stock? Let's take a look, because the answer may surprise you. Image source: The Motley Fool. Continue reading