Citywire: Four managers on the stock that has recently won their heart

This article was first published in Citywire Wealth Manager on 11 February 2022.

With Valentine’s Day around the corner, several leading investors reflect on the investments that have stolen their hearts in recent times.


Jacob Mitchell: Founder and chief investment officer, Antipodes Partners

Seagate is a leading provider of hard disk drives, an underappreciated part of the connected economy as the world becomes more data intensive. The hard disk drive sector endured a prolonged period of weak performance as other forms of data storage took market share in PCs and laptops, due to faster speeds.

However, while demand for hard disk drives from PCs and laptops is shrinking, demand from datacentres for Seagate’s much larger mass data storage solutions has been growing rapidly.

In fact, datacentres will account for the majority of Seagate’s revenue from next year, so it is a company pivoting from a zero-growth business to one that will see revenues grow by 3-10% per year.

The company is valued at just 10x forward earnings, which is a very attractive multiple given secular growth trends around computer and data storage, improving competitive dynamics between the sector’s two leading players, and the quality of Seagate’s business and growth profile.



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This communication was prepared by Antipodes Partners Limited (ABN 29 602 042 035, AFSL 481 580) (Antipodes). Antipodes believes the information contained in this communication is based on reliable information, no warranty is given as to its accuracy and persons relying on this information do so at their own risk. This communication is for general information only and was prepared for multiple distribution and does not take account of the specific investment objectives of individual recipients and it may not be appropriate in all circumstances. Persons relying on this information should do so in light of their specific investment objectives and financial situations. Any person considering action on the basis of this communication must seek individual advice relevant to their particular circumstances and investment objectives. Subject to any liability which cannot be excluded under the relevant laws, Antipodes disclaim all liability to any person relying on the information contained on this website in respect of any loss or damage (including consequential loss or damage), however caused, which may be suffered or arise directly or indirectly in respect of such information.

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Pinnacle Fund Services Limited ABN 29 082 494 362 AFSL 238371 is the product issuer of funds managed by Antipodes.  Any potential investor should consider the relevant Product Disclosure Statement available at when deciding whether to acquire, or continue to hold units in a fund. The issuer is not licensed to provide financial product advice.  Please consult your financial adviser before making a decision. Past performance is not a reliable indicator of future performance.







11 February 2022
2 min