Seagate stock price could reach $877 by end of 2026 as HDD shortage drives 79% earnings growth in fiscal Q3.

Data centers account for 87% of Seagate's shipments in fiscal Q2 2026 (ended Jan. 2, 2026), and the company has already sold out its high-capacity HDDs for 2026. Major cloud customers are lining up to purchase capacity for 2027 and 2028.

High-capacity storage drive prices jumped 60% between November 2025 and February 2026 due to HDD shortage. Seagate's non-GAAP earnings rose 53% year over year to $3.11 per share in fiscal Q2, and the company guided for $3.40 per share in fiscal 2026 (a 79% increase versus year-ago period's $1.90 per share).

If Seagate trades at 50 times earnings at end of 2026 with projected earnings of $17.53 per share, stock price could reach $877, suggesting a $1,000 investment could grow to $1,500 by year-end.