SOURCE: Five Star Equities

Five Star Equities

July 10, 2012 08:20 ET

Seagate's Lowered Outlook Raises Concerns for Hard Drive Makers

Five Star Equities Provides Stock Research on Seagate and Western Digital

NEW YORK, NY--(Marketwire - Jul 10, 2012) - Seagate Technology's lowered outlook last Thursday raised concerns for hard drive makers that the PC market was slowing faster than expected. Last month GeekWire reported that Rick Sherlund, analyst at Nomura Securities, in a note to clients said Gartner Inc. lowered its projected growth rate for PC shipments in 2012 to 0.9 percent from their previous forecast of 4.4 percent. Five Star Equities examines the outlook for companies in the Data Storage Devices Industry and provides equity research on Seagate Technology PLC (NASDAQ: STX) and Western Digital Corp. (NASDAQ: WDC).

Access to the full company reports can be found at:

www.FiveStarEquities.com/STX

www.FiveStarEquities.com/WDC

Seagate Technology last Thursday lowered their quarterly revenue to $4.5 billion, 500 million lower than their previous guidance. "Based on the macro-economic concerns indicated by a broad base of customers, we are approaching the September quarter conservatively and aligning our business for a relatively flat addressable market and modest improvements in our product mix. We are adjusting our production and inventory planning accordingly, and we expect average selling prices and margins to remain relatively stable in the September quarter," Steve Luczo, Seagate Chairman and CEO, said in a statement.

Five Star Equities releases regular market updates on the Data Storage Devices Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at www.FiveStarEquities.com and get exclusive access to our numerous stock reports and industry newsletters.

Seagate expects to report record unit shipments for the June quarter of approximately 66 million, reflecting approximately 45 exabytes of storage capacity and maintaining approximately 42% market share. During the quarter the company paid $1.2 billion to redeem over 45 million ordinary shares and exited June with 396 million basic shares outstanding. Cash, cash equivalents, restricted cash and short term investments totaled $2.2 billion at the end of the June quarter.

Western Digital, the world's leader in external storage solutions and maker of the popular WD TV media player family, recently unveiled its first line of wireless home networking products, designed specifically to accelerate movies, video and gaming, delivering a premium high-definition entertainment experience. After a strong first quarter shares of the company have fallen over 20 percent in the last three months.

Five Star Equities provides Market Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. Five Star Equities has not been compensated by any of the above-mentioned companies. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at: www.FiveStarEquities.com/disclaimer

Contact Information