STX (Seagate Technology Holdings) Operating Income: $3,244 Mil (TTM As of Mar. 2026)

What is Seagate Technology Holdings Operating Income?

Seagate Technology Holdings STX +3.91% 70 Operating Income is $3,244 Mil as of Mar. 2026. GuruFocus rates STX with a GF Score™ of 70/100 and a GF Value™ of $159.64 (Significantly Overvalued). The stock has 3 warning signs investors should review.

Seagate Technology Holdings's Operating Income for the three months ended in Mar. 2026 was $1,110 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $3,244 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Seagate Technology Holdings's Operating Income for the three months ended in Mar. 2026 was $1,110 Mil. Seagate Technology Holdings's Revenue for the three months ended in Mar. 2026 was $3,112 Mil. Therefore, Seagate Technology Holdings's Operating Margin % for the quarter that ended in Mar. 2026 was 35.67%.

Warning Sign:

Seagate Technology Holdings PLC operating margin has been in a 5-year decline. The average rate of decline per year is -8.3%.

Seagate Technology Holdings's 5-Year average Growth Rate for Operating Margin % was -8.30% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Seagate Technology Holdings's annualized ROC % for the quarter that ended in Mar. 2026 was 69.58%. Seagate Technology Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 185.52%.

Seagate Technology Holdings (NAS:STX) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Seagate Technology Holdings's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

	ROC % (Q: Mar. 2026 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2025 )	+	Invested Capital (Q: Mar. 2026 ))	/ count )
=	4440 * ( 1 - 13.43% )	/	( (5750	+	5299)	/ 2 )
=	3843.708	/	5524.5
=	69.58 %

where

	Invested Capital		(Q: Dec. 2025 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	8708	-	2510	-	( 1046	-	max(0, 3761	-	4209	+	1046	))
=	5750

	Invested Capital		(Q: Mar. 2026 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	8892	-	2535	-	( 1146	-	max(0, 3241	-	4299	+	1146	))
=	5299

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Seagate Technology Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Mar. 2026 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Dec. 2025		Q: Mar. 2026
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	3728	/	( ( (1771 + max(245, 0))	+	(1852 + max(151, 0)) )	/	2 )
=	3728	/	( ( 2016	+	2003 )	/	2 )
=	3728	/	2009.5
=	185.52 %

where Working Capital is:

	Working Capital		(Q: Dec. 2025 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(1246	+	1498	+	264)	-	(2510	+	0	+	253)
=	245

	Working Capital		(Q: Mar. 2026 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(1197	+	1530	+	267)	-	(2535	+	0	+	308)
=	151

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Seagate Technology Holdings's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %	=	Operating Income (Q: Mar. 2026 )	/	Revenue (Q: Mar. 2026 )
	=	1110	/	3112
	=	35.67 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.

Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.

Seagate Technology Holdings Operating Income Related Terms

Seagate Technology Holdings Operating Income Historical Data

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The historical data trend for Seagate Technology Holdings's Operating Income can be seen below:

Seagate Technology Holdings Operating Income Chart

Seagate Technology Holdings Annual Data

Trend

Jun16

Jun17

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

Jun24

Jun25

Operating Income

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1,500.00

1,958.00

60.00

422.00

1,915.00

Seagate Technology Holdings Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Operating Income	Get a 7-Day Free Trial															441.00	581.00	707.00	846.00	1,110.00

70GF Score

Seagate Technology Holdings PLC STX

Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.

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Seagate Technology Holdings Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3,244 Mil.

Frequently Asked Questions Learn more about Operating Income →

What does a Operating Income of $3,244 Mil mean?

Seagate Technology Holdings (STX) has a Operating Income of $3,244 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Seagate Technology Holdings and its competitors.

Is Seagate Technology Holdings' Operating Income too high?

Seagate Technology Holdings' current Operating Income is $3,244 Mil. Overall, Seagate Technology Holdings has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Seagate Technology Holdings' Operating Income compare to WDC and ANET?

Seagate Technology Holdings' Operating Income of $3,244 Mil can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Operating Income for a Hardware company?

A good Operating Income depends on the Hardware industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Operating Income mean?

A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Seagate Technology Holdings and its competitors. Seagate Technology Holdings's current Operating Income is $3,244 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Seagate Technology Holdings stock overvalued right now?

Based on GuruFocus' analysis, Seagate Technology Holdings (STX) is currently considered Significantly Overvalued. The stock's GF Value™ is $159.64, compared to a current price of $860.02 — trading 438.7% above its estimated fair value. The current Operating Income is $3,244 Mil. Seagate Technology Holdings' overall GF Score™ is 70/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Operating Income calculated?

Operating Income is calculated from a company's financial statements. For Seagate Technology Holdings (STX), the current Operating Income is $3,244 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Seagate Technology Holdings (STX) Overvalued in 2026?

Based on GuruFocus' analysis, Seagate Technology Holdings stock appears to be overvalued. The current stock price of $860.02 is trading 438.7% above its estimated GF Value™ of $159.64. GuruFocus considers Seagate Technology Holdings to be Significantly Overvalued.

Key valuation signals for STX:

Operating Income: $3,244 Mil
GF Value™: $159.64 vs. price of $860.02 (438.7% above fair value)
GF Score™: 70/100 with 3 warning signs

No single metric tells the full story. See the STX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Seagate Technology Holdings Business Description

Industry Technology Hardware

Comparable Companies WDC ANET DELL SNDK P HPQ SMCI IONQ QBTS RGTI SHSE:688041 SHSE:688795 SZSE:002415 TPE:2382 SZSE:301308 HKSE:00992 TPE:6669 TSE:7751 SHSE:603019 TPE:2357

Other Exchanges STX N:Mexico 1STX:Italy 0AD3:UK 847:Germany S1TX34:Brazil STXH:Austria

Address 121 Woodlands Avenue 5, Singapore, SGP, 739009

Website https://www.seagate.com

Seagate Technology is a leading supplier of hard disk drives for data storage to the enterprise and consumer markets. It forms a practical duopoly in the market with its chief rival, Western Digital; they are both vertically integrated.

70GF Score

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$860.02

Price

$159.64

GF Value

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