Seagate Technology Holdings Plc

**Strong Financial Performance**: Seagate reported revenue of $2.17 billion for the fiscal first quarter, a 49% year-over-year increase and a 15% sequential growth. Non-GAAP gross profit surged over 150% compared to the prior year, resulting in a non-GAAP EPS of $1.58, exceeding guidance expectations and indicating robust operational effectiveness.

**Market Dynamics and Demand Visibility**: The company is witnessing strong demand for high-capacity nearline drives driven by cloud providers and enterprise customers. The shift towards AI applications is expected to drive increased data demand, allowing Seagate to maintain a favorable supply-demand balance and predictability in revenue growth for the upcoming quarters, particularly with continued strength in the mass capacity market.

**Margin Expansion Potential**: Non-GAAP gross margin improved by 240 basis points sequentially to 33.3%, the highest in over a decade. The company anticipates further margin expansion as it ramps its HAMR products, with expectations to leverage increased capacity and cost efficiencies moving forward.