Citigroup analyst Asiya Merchant made three bold calls on Monday, slashing price targets upward across the storage sector.
Seagate Technology received the biggest lift. Merchant raised the target from $740 to $1,150 — a 55% jump. The Buy rating stays in place. Seagate carries a $208 billion market cap.
Western Digital got a similar treatment. The target jumped from $500 to $685. Short interest sits at 8.8% of free float, suggesting some short sellers may face pressure if the stock rallies.
Hewlett Packard Enterprise also benefited. Merchant lifted the target from $39 to $70. Loop Capital separately upgraded HPE to Buy, with its own target at $75. Two upgrades in one session signals growing confidence.
Ciena Corporation saw a quieter but meaningful target move. The consensus average target rose to $477, up from $464. Networking gear demand remains a tailwind.
Elsewhere, Generac Holdings and Johnson Controls each picked up modest target increases. and saw target cuts — reflecting continued pressure on energy prices and staples margins.
The storage sweep by Citi is the standout. AI-driven data demand is lifting hard-drive makers back into favour.
ORTEX Market Intelligence content is generated by AI from a snapshot of ORTEX's proprietary data. Content is informational only and does not constitute investment advice.
