Is Seagate Technology Stock Built to Withstand a Pullback?
Seagate Technology (STX) stock is up 17.6% in 21 trading days. The rally reflects surging demand for AI and cloud data storage, fueled by its HAMR tech, but big moves like this often invite a tougher question: is the stock truly resilient when markets reverse?
Before judging its downturn reslience, let’s look at where Seagate Technology stands today.
- Size: Seagate Technology is a $61 Bil company with $9.1 Bil in revenue currently trading at $282.85.
- Fundamentals: Last 12 month revenue growth of 38.9% and operating margin of 21.1%.
- Liquidity: Has Debt to Equity ratio of 0.08 and Cash to Assets ratio of 0.11
- Valuation: Seagate Technology stock is currently trading at P/E multiple of 41.4 and P/EBIT multiple of 33.2
- Has returned (median) 65.7% within a year following sharp dips since 2010. See STX Dip Buy Analysis.
These metrics point to a Strong operational performance, alongside Very High valuation – making the stock Relatively Expensive. For details, see Buy or Sell STX Stock
That brings us to the key consideration for investors chasing this rally: how resilient is STX stock if markets turn south? This is where our downturn resilience framework comes in. Suppose STX stock falls 20-30% to $198 – can investors comfortably hold on? Turns out, the stock has fared worse than the S&P 500 index during various economic downturns, based on (a) how much the stock fell and, (b) how quickly it recovered. Below, we dive deeper into each such downturn.
- Would You Still Hold Seagate Technology Stock If It Fell 30%?
- Seagate’s Massive Q1 Beat Shows the Power of AI Demand
- Western Digital vs Seagate Technology: Which Is the Stronger Buy Today?
- Seagate Technology Stock In Downward Spiral: -14% Loss After 6-Day Losing Streak
- Seagate Technology Stock In Downward Spiral: -13% Loss After 5-Day Losing Streak
- Seagate Technology Stock Dropped 13% In A Week. Have You Fully Evaluated The Risk?
2022 Inflation Shock
- STX stock fell 58.2% from a high of $116.02 on 4 January 2022 to $48.49 on 3 November 2022 vs. a peak-to-trough decline of 25.4% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 27 May 2025
- Since then, the stock increased to a high of $307.85 on 11 December 2025 , and currently trades at $282.85
| STX | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -58.2% | -25.4% |
| Time to Full Recovery | 936 days | 464 days |
2020 Covid Pandemic
- STX stock fell 35.6% from a high of $63.23 on 24 January 2020 to $40.73 on 20 March 2020 vs. a peak-to-trough decline of 33.9% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 4 December 2020
| STX | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -35.6% | -33.9% |
| Time to Full Recovery | 259 days | 148 days |
2018 Correction
- STX stock fell 41.8% from a high of $62.11 on 18 April 2018 to $36.13 on 24 December 2018 vs. a peak-to-trough decline of 19.8% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 23 January 2020
| STX | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -41.8% | -19.8% |
| Time to Full Recovery | 395 days | 120 days |
2008 Global Financial Crisis
- STX stock fell 89.1% from a high of $28.60 on 2 November 2007 to $3.11 on 23 January 2009 vs. a peak-to-trough decline of 56.8% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 18 April 2012
| STX | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -89.1% | -56.8% |
| Time to Full Recovery | 1,181 days | 1,480 days |
Feeling jittery about STX stock? Consider portfolio approach.
Portfolios Beat Stock Picking
Stocks can jump or crash but long term success comes from staying invested. The right portfolio helps you ride gains and cushion single stock drops
The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.