Why the high growth investor may take a look at SEAGATE TECHNOLOGY HOLDINGS (NASDAQ:STX).

Our stockscreener has identified a possible breakout setup on SEAGATE TECHNOLOGY HOLDINGS (NASDAQ:STX). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NASDAQ:STX for potential opportunities.

Deciphering the Technical Picture of NASDAQ:STX

ChartMill assigns a proprietary Technical Rating to each stock. The score is computed daily by evaluating various technical indicators and properties. The score ranges from 0 to 10.

We assign a technical rating of 7 out of 10 to STX. In the last year, STX was an average performer in the market. There are positive signs in the very recent evolution, but the medium term picture is still mixed.

• Both the short term and long term trends are positive. This is a very positive sign.
• In the last month STX has a been trading in the 92.68 - 103.84 range, which is quite wide. It is currently trading near the high of this range.
• When comparing the performance of all stocks over the past year, STX turns out to be only a medium performer in the overall market: it outperformed 57% of all stocks.
• STX is an average performer in the Technology Hardware, Storage & Peripherals industry, it outperforms 51% of 32 stocks in the same industry.
• STX is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so STX is lagging the market slightly.

Check the latest full technical report of STX for a complete technical analysis.

Looking at the Setup

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NASDAQ:STX currently holds a 8 as its setup rating, suggesting a particular level of consolidation in the stock.

Besides having an excellent technical rating, STX also presents a decent setup pattern. Prices have been consolidating lately. A pullback is taking place, which may present a nice opportunity for an entry. There is a support zone below the current price at 99.28, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Why NASDAQ:STX may be interesting for high growth investors.

• SEAGATE TECHNOLOGY HOLDINGS has shown positive momentum in its earnings per share (EPS) on a quarter-to-quarter (Q2Q) basis, with a 2.0K% increase. This reflects the company's successful execution of its business strategies and its commitment to delivering improved financial results.
• The q2q revenue growth of 49.52% of SEAGATE TECHNOLOGY HOLDINGS highlights the company's ability to generate incremental revenue and suggests positive market demand for its products or services.
• With impressive 1-year revenue growth of 24.17%, SEAGATE TECHNOLOGY HOLDINGS showcases its ability to generate increased sales and revenue. This growth highlights the company's strong customer demand and its effective business strategies.
• SEAGATE TECHNOLOGY HOLDINGS has seen a 17.32% change in the average next Quarter EPS Estimate by analysts over the last 3 months, signaling the shifting perception of the company's EPS outlook.
• The quarterly earnings of SEAGATE TECHNOLOGY HOLDINGS have shown a 2.0K% increase compared to the previous quarter, as revealed in the recent financial report. This growth signifies positive momentum in the company's financials, pointing towards a promising upward trend
• The earnings per share (EPS) growth of SEAGATE TECHNOLOGY HOLDINGS are accelerating: the current Q2Q growth of 2.0K% is above the previous year Q2Q growth of -25.0%. Earnings momentum and acceleration are key for high growth systems.
• With a favorable trend in its operating margin over the past year, SEAGATE TECHNOLOGY HOLDINGS demonstrates its ability to enhance profitability through efficient operations. This growth reflects the company's focus on optimizing its cost structure.
• SEAGATE TECHNOLOGY HOLDINGS has consistently exceeded EPS estimates in the last 4 quarters, demonstrating its ability to outperform market expectations. This trend highlights the company's strong financial performance and its potential for future growth.

More ideas for high growth momentum breakouts can be found on ChartMill in our High Growth Momentum Breakout screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.