3 Reasons to Buy Seagate
Together, Seagate (NAS: STX) and Western Digital (NAS: WDC) dominate the hard-drive market, holding around 85% of the market share. This supremacy became even more pronounced when floods reduced the industry supply chain, an event that allowed for significant pricing increases for Seagate and the broader HDD market. With shipments approaching normalized levels, many people fear the effect of the PC's downfall, but the fact remains that the rollout of Microsoft's (NAS: MSFT) Windows 8 operating system, along with the growing popularity of Intel's (NAS: INTC) Ultrabook movement, offers a meaningful short-term tailwind. In fact, today a Baird analyst downgraded SanDisk (NAS: SNDK) on the thesis that Ultrabooks containing hybrid drives were outselling those with pure solid-state drives.
With that as a backdrop, Brenton continues an ongoing series discussing both the bull and bear cases for specific stocks, by diving into the bull case for Seagate.
One headwind for the storage providers is the fact that the amount of data we store is growing by a mind-boggling 60% annually! To makes sense of this trend and pick out a winner, The Motley Fool has compiled a new report called The Only Stock You Need to Profit From the NEW Technology Revolution. The report highlights a company that has gained 300% since first recommended by Fool analysts but still has plenty of room left to run. Thousands have requested access to this special free report, and now you can access it today at no cost. To get instant access to the names of this company transforming the IT industry, click here -- it's free.
The article 3 Reasons to Buy Seagate originally appeared on Fool.com.Brenton Flynn has no positions in the stocks mentioned above. The Motley Fool owns shares of Intel, Microsoft, and Western Digital. Motley Fool newsletter services recommend Intel and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.