Hard drive maker Seagate Technology (STX) late Thursday lowered its fiscal fourth quarter revenue and margin forecasts, sending its shares lower in aftermarket trading.
The Dublin, Ireland-based company said it now expects fiscal fourth quarter revenues of around $4.5 billion, down from its prior outlook for “at least” $5 billion. Its adjusted gross margin is now expected to be 33.6%, compared with its previous 34.5% estimate.
CEO Steve Luczo commented, “Based on the macroeconomic 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.”
Seagate shares fell 82 cents, or -3.3%, in premarket trading Friday.
The Bottom Line
Seagate currently offers a 3.99% dividend yield, based on last night’s closing price of $25.08 and the company’s annualized dividend payout of $1 per share.
Seagate Technology (STX) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.