Seagate shares hit record $460 as Morgan Stanley raises price target and prefers STX over Western Digital.

Seagate Technology's stock surged to a record $460 following Morgan Stanley's upgrade of its price target from $468 to $582 and its decision to make Seagate its preferred pick over Western Digital in the hard disk drive sector. The firm cited sustained demand for HDDs driven by expanding cloud infrastructure and AI data needs, pushing market equilibrium forecasts to 2029. Cantor Fitzgerald also raised its price target to $650, supporting the bullish outlook. Seagate's strong Q2 2026 earnings, beating revenue and EPS expectations, further justify these upgrades, highlighting the company's growth and profitability prospects in a market where HDDs still dominate cloud data storage.