Seagate Technology Shares Reach New Record High, Fourth Consecutive Daily Gain

Seagate Shares Surge to New Record High Amid AI-Driven Demand

Shares of Seagate Technology, an American data storage company, continued their bull run on Monday (6 April) for the fourth straight day, surging another 9.5% to hit a fresh record high of $470. This represents a four-day cumulative gain of 30%, as investors shifted their focus to memory stocks amid a slowdown in the broader tech rally.

Memory stocks have begun the year with a strong surge, with Seagate soaring nearly 50% in January to emerge as one of the best performers on the Nasdaq. The company's next-generation Mozaic 4+ platform, announced earlier in March, is the industry's only heat-assisted magnetic recording (HAMR)-based storage platform deployed at scale.

The strong demand for memory and storage products is driven by AI hyperscalers, which require significant amounts of memory and storage to power their operations. This has given companies like Seagate significant pricing power, suggesting that the traditional playbook around the cyclical nature of the business may need to be reconsidered.

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Last week, memory chipmaker Micron Technology Inc. issued a strong forecast that highlighted how AI-driven spending has made this cycle larger and potentially more durable than previous booms. This dynamic helps explain the group's outperformance even as investors grow sceptical about companies aggressively spending on AI, those at risk of disruption, and even long-time winners like Nvidia Corp.

In contrast, the Magnificent Seven technology giants are struggling to gain traction, with Microsoft and Meta Platforms having fallen over 30% from their recent highs. Investors are increasingly concerned that the company's booming revenue from AI-related demand may not be sustainable. At the same time, anxiety around AI-driven disruption has weighed on software companies and other sectors.

Broader technology stocks have been under pressure since peaking in October amid growing concerns that massive investments in artificial intelligence will not deliver returns. More recently, the escalating conflict involving Iran has further dampened risk appetite.

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Despite heightened volatility in the US stock market, demand for Seagate on Wall Street has remained resilient, with the stock gaining 66% so far in 2026. This rally builds on an explosive 219% surge in 2025. While the rally continues to strengthen, investor concerns remain that the surge in demand could eventually subside, allowing supply to catch up and price growth to moderate. However, analysts appear unconcerned about a potential downturn, given the strength in data centre spending.