Benchmark analyst Mark Miller said his channel checks of U.S. distributors indicate hard disk drive, or HDD, inventory levels are at or below normal seasonal levels and the demand for NAND flash chips continues to exceed supply. While he views a recent rise in NAND spot pricing as favorable for Western Digital (WDC), he also cautions that chip spot pricing may overstate the impact on Western Digital. Drive inventory and NAND pricing levels may also impact Seagate (STX). Miller has a Buy rating on Western Digital shares.

Sees Q4 revenue $1.7B-$2.0B, consensus $1.85B

Reports Q3 revenue $1.66B, consensus $1.68B. "Seagate's March quarter revenue grew 6% and non-GAAP EPS more than doubled over the December quarter as we benefit from improving cloud demand, our strong operating discipline and price execution. This combination sets the foundation for a return to target margin performance as the markets recover," said Dave Mosley, CEO. "This constructive demand backdrop is well-timed as we prepare to ramp our Mozaic products, anchored by industry-leading HAMR technology. HAMR-based products offer compelling economic value for our customers and position Seagate to drive further financial performance gains, as well as capitalize on favorable long-term demand for mass capacity storage."

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists. 1... To see the rest of the story go to thefly.com. See Story Here

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists. 1... To see the rest of the story go to thefly.com. See Story Here