Seagate Stock Plunges 8% After Report Of Disappointing Sales

Shares of Seagate Technology Inc. plunged 8% in premarket trade Thursday, after the maker of electronic data storage products lowered its fiscal first quarter revenue estimates, citing disappointing demand for its nearline enterprise hard drives. The company expects to report revenue of $2.9 billion, at the low end of its previous guidance in the range of $2.9 billion to $3.1 billion. Seagate said it is betting new nearline products announced in September help improve growth over the next few quarters. Its shares were on track to open around $44.