Year to date, the shares of the archaic maker of hard drives, Seagate, is down 30%. But in the after hours, all is sublime, as STX sprints ahead by 9% on a superb earnings beat. The company upped guidance to $2.65b from $2.34b, citing an improvement in the HDD business.
With the additional revenues, the company intends to fucking fire a bunch of people, 6,500 in total, or 14% of their work force, by the end of 2017. Gross margins have improved to about 25.8%, thanks to its enterprise HDD portfolio of overpriced horseshit.
Wall Street is eating this shit up and calling it caviar.
NOTE: Back in April of 2015, the company had announced a $2.5b share buyback–upping a previously approved buyback to $3.1b. Since then, the stock has been cut in half. They have no idea what they’re doing.
WDC is seeing a 2% spike in relation to the STX report.
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i can only laugh at how we’ve decided that society is better off by buying back paper via share buybacks at the expense of ruining people’s lives.
Perhaps employees are for suckers? All robot companies coming up.