Seagate Technology Holdings PLC (NASDAQ:STX) is a leading figure in the data storage industry, renowned for its hard disk drives and storage solutions. As the company gears up to unveil its quarterly earnings on January 27, 2026, after the market closes, Wall Street analysts have set the earnings per share (EPS) expectation at $2.78 and anticipate revenue to be around $2.73 billion. This announcement is eagerly awaited, considering the company's recent performance and prevailing market trends.

Seagate's anticipated earnings showcase a notable year-over-year growth, with the Zacks Consensus Estimate predicting a 37% surge in EPS to $2.78. This uptick is primarily fueled by robust demand in the data center sector, especially from AI and cloud services. Revenue is expected to hit $2.73 billion, registering a 17.4% increase from the prior year, as per Bank of America's analysis.

The firm's progress in HAMR-based Mozaic drives is poised to bolster gross margins and elevate operating margins. Bank of America has reiterated its Buy rating on Seagate shares, lifting its price target from $320 to $400. This adjustment mirrors enhanced confidence in the company's revenue and margin growth prospects, with Seagate shares presently priced at $326.23.

Seagate's financial indicators reveal a solid market stance. The company's price-to-earnings (P/E) ratio stands at approximately 44.55, indicating that investors are ready to pay $44.55 for every dollar of earnings. Nonetheless, the debt-to-equity ratio is significantly negative at -79.27, pointing to a higher debt level relative to equity, which could raise concerns among some investors.

Despite these financial hurdles, Seagate's current ratio of roughly 0.98 suggests it possesses marginally fewer current assets than current liabilities. With the company set to leverage the ongoing demand in data centers and seasonal improvements in its consumer and VIA segments, investor enthusiasm remains strong, reflecting a positive outlook on its financial health.