We recently published a list of 20 best data center actions to buy according to the billionaires. In this article, we are going to take a look at Where Seagate Technology Holdings PLC (NASDAQ: STX) stands against other best data center actions to buy according to the billionaires.
Data centers have become the basis of the digital economy, facilitating the storage, processing and distribution of large amounts of data that stimulate industries around the world. According to McKinsey & Company, the global data centers market is planned for significant expansion until 2030, fueled by business digital transformation and hyperscal cloud growth. Their analysis provides that global demand for capacity of the data center could increase each year from 19% to 22% between 2023 and 2030, finally reaching between 171 and 219 Gigawatts (GW) of annual capacity (compared to 60 GW currently). According to McKinsey, at least double the capacity of the data center built since 2000 should be built in less than a quarter of time, to avoid a deficit in capacity.
At the start of the year, investors’ feeling about data centers has skyrocketed following the highly publicized announcement of Project Stargate, a historic $ 500 billion initiative to revolutionize the infrastructure of the data center. However, enthusiasm later tempered in the first quarter, as discussions emerged on the potential repeal of the flea law. This legislation was initially designed to strengthen the American manufacturing of semiconductors and reduce dependence on foreign suppliers, and it played a key role in reshaping of domestic production capacities. The current debate on its future has introduced uncertainty on the market, influencing the perspectives of investors.
In the midst of these discussions, a PWC report in February 2025 highlights the strategic importance of expanding the infrastructure of the data center – not only for technological progress but also for geopolitical stability. Nations are increasingly suspicious of relying on critical infrastructure in high -risk regions. Geopolitical tensions and commercial restrictions continue to expose vulnerabilities in global supply chains, which has prompted companies to implement emergency strategies. PWC also adds that expansion in new markets introduces additional challenges, including strict security and data confidentiality regulations, in particular in non -American jurisdictions with rigorous compliance frameworks. Consequently, operators in the data center must carefully balance regulatory requirements, investment in infrastructure and market demand while sailing in an evolving global landscape.
In an interview of March 10 with CNBC, Charlie Sanchez, president of Infrastructure Advisory at Black & Veatch, discussed the sharp increase in Investments in Infrastructure focused on AI, especially in data centers. He stressed that despite commercial prices, the commitment to the development of the data center remains robust, in the United States and the world. Companies recognize the potential of AI to optimize supply chains, improve energy efficiency and unlock new value flows. Sanchez also stressed that AI stimulates not only the demand for infrastructure, but is also a key catalyst for future efficiency. In addition, progress in AI and processing power are already integrated into the design of new generation data centers, strengthening the need for development and continuous investment in the sector.
In summary, data centers play a crucial role in the modern digital economy, supporting innovation and global connectivity. Their sustained growth trajectory, driven by AI, cloud computing and business digitization, has a strong investment opportunity. With the support of business and government stakeholders, data centers will remain at the heart of economic transformation, serving as vital infrastructure for the data based on data.
To determine the 20 best data center actions to buy according to the billionaires, we carried out in -depth research to identify key players in the data center sector. Our approach consisted in analyzing negotiated funds on the stock market (ETF), industry research reports and proprietary databases to compile a full list of companies operating in the data center industry. We then refined our attention to the 20 main actions of the data center most favored by billionaire investors, taking advantage of the database of the first quarter of Monkey 2024 to extract data from the assets in billionaires. We organized them in an increasing order on the basis of the number of billionaire investors holding holdings in each company in the fourth quarter 2024. In addition, we provided an overview of the feeling of hedge fund surrounding these actions, using data from the database of the 2024 quarter of the monkey of the initiate of more than 1,000 hedge funds of elite.
Note: All prices data are closing the market on March 12.
Why are we interested in the stocks in which the hedge funds stacked? The reason is simple: our research has shown that we can surpass the market by imitating the main choices of stock of the best hedge funds. The strategy of our quarterly newsletter selects 14 shares with small capitalization and large capitalization each quarter and has rendered 373.4% since May 2014, beating its reference with 218 percentage points (See more details here).
Seagate Technology Holdings PLC (STX) is the best stock of data centers to buy according to the billionaires?
A technician configuring a storage reader attached to the network.
Number of billionaire investors: 14
Billionaire Holdings: $ 676 million
Number of hedge holders: 52
Seagate Technology Holdings PLC (NASDAQ: STX) is a supplier of data storage solutions, specialized in the design, manufacture and distribution of hard drives (hard disks) and solid disks (SSD). Their products serve a wide range of applications, ranging from personal storage and IT to corporate data centers and cloud storage infrastructure.
In its T2 2025 winning call, Seagate Technology Holdings PLC (NASDAQ: STX) has highlighted the growing role of hard drives in mass data storage, driven by the expansion of imagery and video generated by Genai, which should pass 170x from 2024 to 2028. HDD and the Flash Nand Memory to support various. Seagate has experienced high demand in most sectors, cloud growth, resulting in an increase in income of 50% in annual slipping and BPA increasing $ 2.00 against $ 0.12. The company has resolved previous supply constraints and expects its Intevac acquisition to strengthen its HAMR technological activities.
On March 12, a Bank of America analyst reaffirmed a purchase note on Seagate Technology (NASDAQ: STX) but reduced the price of courses from $ 130 to $ 112. The analyst has highlighted the sharp cyclical increase in the hard drive industry, driven by the growing demand for clouds, AI and video storage. Seagate is well positioned to increase income and extend the margins as the Expeditions of Exabyte increases. However, the analyst has adjusted the course objective to take into account higher tax expenditure, despite maintaining a positive long -term perspective of the business growth potential.
Overall, STX rank 13th On our list of the best actions of data center to buy according to the billionaires. While we recognize the potential of the STX to grow, our conviction lies in the conviction that AI actions are more promising to offer higher yields and do it within a shorter period. If you are looking for a more promising stock of AI than STX but which is negotiated within 5 times its income, consult our report on the Stock ai the cheapest.
