Underloved Tech Stock Upgraded on AI Potential

STX is on track for its best day in over a year after an upgrade from Morgan Stanley

Deputy Editor
Mar 26, 2024 at 10:43 AM
facebook X logo linkedin

Seagate Technology Holdings PLC (NASDAQ:STX) is up 9% to trade at $96.12 at last glance, after Morgan Stanley upgraded the tech stock to "overweight" from "equal weight," with a price-target hike to $115 from $73. The firm cited many factors, including the potential for increased demand from generative artificial intelligence (AI). 

Today's pop is poised to be the stock's best single-session gain since January 2023, and has STX climbing back toward its March 6 two-year peak of $101.26. The pullback from those highs was captured by the $85 level -- which has provided a floor of support since mid January -- as well as its 80-day moving average. Since the start of the year, the equity is up 12.7%. 

For a security up 55.3% year-over-year, there's still pessimism from the brokerage bunch. Of the 19 brokerages covering STX, 11 maintain "hold" or "strong sell" ratings, suggesting today's upgrade could be the start of a sentiment shift from the analyst community. 

Options traders are loading up at a faster-than-usual rate after the bull note. So far today, 6,759 calls and 1,310 puts have been exchanged, which is four times the volume typically seen at this point. The most popular eight contracts are all calls, topped by the June 140 call, where new positions are being opened.


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI