Western Digital (WDC)
Market Price (8/16/2026): $508.0 | Market Cap: $178.3 BilInvestor Relations Sector: Information Technology | Industry: Technology Hardware, Storage & Peripherals
Western Digital (WDC)
Market Price (8/16/2026): $508.0Market Cap: $178.3 BilSector: Information TechnologyIndustry: Technology Hardware, Storage & Peripherals
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 5.3% Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 36% Attractive operating marginsOp Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is 36% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 30%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 27%, CFO LTM is 3.9 Bil, FCF LTM is 3.5 Bil Stock buyback supportStock Buyback 3Y Total is 2.7 Bil Megatrend and thematic driversMegatrends include Artificial Intelligence, and Cloud Computing. Themes include Data Centers & Infrastructure, Hybrid Cloud Solutions, Show more. | Stock price has recently run up significantly12M Rtn12 month market price return is 580% Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 76% Key risksWDC key risks include [1] heavy revenue concentration with a few large, Show more. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 5.3% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 36% |
| Attractive operating marginsOp Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is 36% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 30%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 27%, CFO LTM is 3.9 Bil, FCF LTM is 3.5 Bil |
| Stock buyback supportStock Buyback 3Y Total is 2.7 Bil |
| Megatrend and thematic driversMegatrends include Artificial Intelligence, and Cloud Computing. Themes include Data Centers & Infrastructure, Hybrid Cloud Solutions, Show more. |
| Stock price has recently run up significantly12M Rtn12 month market price return is 580% |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 76% |
| Key risksWDC key risks include [1] heavy revenue concentration with a few large, Show more. |
Qualitative Assessment
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Western Digital (WDC) stock has gained about 15% since 4/30/2026 because of the following key factors:
1. Strong Fiscal Third Quarter 2026 Financial Results and Upbeat Guidance. Western Digital's stock gained momentum following its fiscal Q3 2026 earnings report on April 30, 2026, which covered the period ended April 3, 2026. The company reported non-GAAP diluted earnings per share (EPS) of $2.72, significantly exceeding the forecast of $2.36 by 15.25%. Revenue reached $3.34 billion, surpassing the anticipated $3.23 billion and representing a 45% year-over-year increase. Furthermore, the company provided robust guidance for fiscal Q4 2026, projecting revenue of approximately $3.65 billion and non-GAAP diluted EPS of $3.25. This strong performance and optimistic outlook fueled investor confidence, with the stock rising 4.55% in after-hours trading post-announcement and continuing to climb in subsequent sessions.
2. Exceptional Fiscal Fourth Quarter 2026 Performance Driven by AI and Cloud Demand. Despite an initial "expectations reset" dip, Western Digital's fiscal Q4 2026 results, reported on August 5, 2026, for the period ended July 3, 2026, fundamentally reinforced the positive trend. The company reported revenue of $3.75 billion, beating analyst estimates of $3.71 billion and representing a 44% year-over-year increase. Non-GAAP diluted EPS of $3.56 also surpassed analyst estimates of $3.30. This strong growth was primarily driven by surging demand from the AI-driven data economy and hyperscale cloud infrastructure, with the cloud segment contributing significantly to revenue growth and nearline exabytes increasing to 209EB in Q4 FY26 from 170EB in Q4 FY25.
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Western Digital (WDC) stock has gained about 15% since 4/30/2026 because of the following key factors:
1. Strong Fiscal Third Quarter 2026 Financial Results and Upbeat Guidance. Western Digital's stock gained momentum following its fiscal Q3 2026 earnings report on April 30, 2026, which covered the period ended April 3, 2026. The company reported non-GAAP diluted earnings per share (EPS) of $2.72, significantly exceeding the forecast of $2.36 by 15.25%. Revenue reached $3.34 billion, surpassing the anticipated $3.23 billion and representing a 45% year-over-year increase. Furthermore, the company provided robust guidance for fiscal Q4 2026, projecting revenue of approximately $3.65 billion and non-GAAP diluted EPS of $3.25. This strong performance and optimistic outlook fueled investor confidence, with the stock rising 4.55% in after-hours trading post-announcement and continuing to climb in subsequent sessions.
2. Exceptional Fiscal Fourth Quarter 2026 Performance Driven by AI and Cloud Demand. Despite an initial "expectations reset" dip, Western Digital's fiscal Q4 2026 results, reported on August 5, 2026, for the period ended July 3, 2026, fundamentally reinforced the positive trend. The company reported revenue of $3.75 billion, beating analyst estimates of $3.71 billion and representing a 44% year-over-year increase. Non-GAAP diluted EPS of $3.56 also surpassed analyst estimates of $3.30. This strong growth was primarily driven by surging demand from the AI-driven data economy and hyperscale cloud infrastructure, with the cloud segment contributing significantly to revenue growth and nearline exabytes increasing to 209EB in Q4 FY26 from 170EB in Q4 FY25.
3. Significant Expansion in Margins and Robust Free Cash Flow Generation. Western Digital demonstrated notable improvements in profitability and financial health. The company's non-GAAP gross margin expanded to 50.5% in fiscal Q3 2026, surpassing the 50% mark for the first time, and further increased to 54.4% in fiscal Q4 2026. Additionally, the company generated approximately $3.5 billion in free cash flow for the full fiscal year 2026, with $1.28 billion in free cash flow reported in fiscal Q4 2026 alone. This robust cash generation and margin expansion underscore effective cost management and strong operational execution, supporting the stock's valuation.
4. Optimistic Fiscal First Quarter 2027 Guidance and Sustained Analyst Confidence. The company's guidance for fiscal Q1 2027, provided with the Q4 FY26 report, projected continued strong growth with revenue expected to be up 42% to 49% year-over-year, and non-GAAP diluted EPS ranging from $3.85 to $4.15 (midpoint of $4.00), both exceeding analyst estimates. Analyst sentiment remained largely positive, with a consensus "Moderate Buy" rating and an average price target of $534.56 as of August 13, 2026. Several major firms maintained or raised their price targets into the $600-$900 range, highlighting the company's strong fundamentals and long-term growth prospects tied to AI and cloud expansion.
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Stock Movement Drivers
Fundamental Drivers
The 17.1% change in WDC stock from 4/30/2026 to 8/15/2026 was primarily driven by a 103.0% change in the company's Net Income Margin (%).| (LTM values as of) | 4302026 | 8152026 | Change |
|---|---|---|---|
| Stock Price ($) | 434.41 | 508.80 | 17.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 10,734 | 12,919 | 20.4% |
| Net Income Margin (%) | 35.4% | 72.0% | 103.0% |
| P/E Multiple | 38.9 | 19.2 | -50.7% |
| Shares Outstanding (Mil) | 341 | 351 | -2.8% |
| Cumulative Contribution | 17.1% |
Market Drivers
4/30/2026 to 8/15/2026| Return | Correlation | |
|---|---|---|
| WDC | 17.1% | |
| Market (SPY) | 8.0% | 54.0% |
| Sector (XLK) | 19.1% | 71.3% |
Fundamental Drivers
The 103.5% change in WDC stock from 1/31/2026 to 8/15/2026 was primarily driven by a 103.0% change in the company's Net Income Margin (%).| (LTM values as of) | 1312026 | 8152026 | Change |
|---|---|---|---|
| Stock Price ($) | 250.05 | 508.80 | 103.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 10,734 | 12,919 | 20.4% |
| Net Income Margin (%) | 35.4% | 72.0% | 103.0% |
| P/E Multiple | 22.4 | 19.2 | -14.3% |
| Shares Outstanding (Mil) | 341 | 351 | -2.8% |
| Cumulative Contribution | 103.5% |
Market Drivers
1/31/2026 to 8/15/2026| Return | Correlation | |
|---|---|---|
| WDC | 103.5% | |
| Market (SPY) | 12.5% | 53.7% |
| Sector (XLK) | 32.2% | 67.3% |
Fundamental Drivers
The 548.3% change in WDC stock from 7/31/2025 to 8/15/2026 was primarily driven by a 289.0% change in the company's Net Income Margin (%).| (LTM values as of) | 7312025 | 8152026 | Change |
|---|---|---|---|
| Stock Price ($) | 78.48 | 508.80 | 548.3% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 8,919 | 12,919 | 44.8% |
| Net Income Margin (%) | 18.5% | 72.0% | 289.0% |
| P/E Multiple | 16.6 | 19.2 | 16.0% |
| Shares Outstanding (Mil) | 348 | 351 | -0.9% |
| Cumulative Contribution | 548.3% |
Market Drivers
7/31/2025 to 8/15/2026| Return | Correlation | |
|---|---|---|
| WDC | 548.3% | |
| Market (SPY) | 23.9% | 50.2% |
| Sector (XLK) | 45.2% | 63.2% |
Fundamental Drivers
The 1506.2% change in WDC stock from 7/31/2023 to 8/15/2026 was primarily driven by a 1839.0% change in the company's P/S Multiple.| (LTM values as of) | 7312023 | 8152026 | Change |
|---|---|---|---|
| Stock Price ($) | 31.68 | 508.80 | 1506.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 14,174 | 12,919 | -8.9% |
| P/S Multiple | 0.7 | 13.8 | 1839.0% |
| Shares Outstanding (Mil) | 319 | 351 | -9.1% |
| Cumulative Contribution | 1506.2% |
Market Drivers
7/31/2023 to 8/15/2026| Return | Correlation | |
|---|---|---|
| WDC | 1506.2% | |
| Market (SPY) | 75.6% | 52.5% |
| Sector (XLK) | 117.1% | 62.4% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| WDC Return | 18% | -52% | 66% | 14% | 288% | 183% | 1082% |
| Peers Return | 49% | -30% | 60% | 24% | 97% | 202% | 1118% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 14% | 108% |
Monthly Win Rates [3] | |||||||
| WDC Win Rate | 50% | 42% | 58% | 67% | 92% | 62% | |
| Peers Win Rate | 63% | 38% | 63% | 57% | 63% | 72% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| WDC Max Drawdown | -32% | -55% | -29% | -30% | -43% | -42% | |
| Peers Max Drawdown | -20% | -44% | -17% | -32% | -42% | -27% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: STX, MU, DELL, HPE, NTAP. See WDC Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 8/14/2026 (YTD)
How Low Can It Go
| Event | WDC | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -42.9% | -18.8% |
| % Gain to Breakeven | 75.1% | 23.1% |
| Time to Breakeven | 60 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -29.9% | -7.8% |
| % Gain to Breakeven | 42.6% | 8.5% |
| Time to Breakeven | 320 days | 18 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -25.4% | -6.7% |
| % Gain to Breakeven | 34.1% | 7.1% |
| Time to Breakeven | 100 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -51.2% | -24.5% |
| % Gain to Breakeven | 104.9% | 32.4% |
| Time to Breakeven | 544 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -58.0% | -33.7% |
| % Gain to Breakeven | 138.3% | 50.9% |
| Time to Breakeven | 337 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -39.9% | -19.2% |
| % Gain to Breakeven | 66.5% | 23.8% |
| Time to Breakeven | 212 days | 105 days |
In The Past
Western Digital's stock fell -42.9% during the 2025 US Tariff Shock. Such a loss loss requires a 75.1% gain to breakeven.
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Asset Allocation
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| Event | WDC | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -42.9% | -18.8% |
| % Gain to Breakeven | 75.1% | 23.1% |
| Time to Breakeven | 60 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -29.9% | -7.8% |
| % Gain to Breakeven | 42.6% | 8.5% |
| Time to Breakeven | 320 days | 18 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -25.4% | -6.7% |
| % Gain to Breakeven | 34.1% | 7.1% |
| Time to Breakeven | 100 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -51.2% | -24.5% |
| % Gain to Breakeven | 104.9% | 32.4% |
| Time to Breakeven | 544 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -58.0% | -33.7% |
| % Gain to Breakeven | 138.3% | 50.9% |
| Time to Breakeven | 337 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -39.9% | -19.2% |
| % Gain to Breakeven | 66.5% | 23.8% |
| Time to Breakeven | 212 days | 105 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -51.3% | -12.2% |
| % Gain to Breakeven | 105.3% | 13.9% |
| Time to Breakeven | 349 days | 62 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -59.7% | -6.8% |
| % Gain to Breakeven | 148.1% | 7.3% |
| Time to Breakeven | 525 days | 15 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -35.8% | -17.9% |
| % Gain to Breakeven | 55.6% | 21.8% |
| Time to Breakeven | 107 days | 123 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -40.2% | -15.4% |
| % Gain to Breakeven | 67.1% | 18.2% |
| Time to Breakeven | 745 days | 125 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -67.5% | -53.4% |
| % Gain to Breakeven | 208.0% | 114.4% |
| Time to Breakeven | 249 days | 1085 days |
In The Past
Western Digital's stock fell -42.9% during the 2025 US Tariff Shock. Such a loss loss requires a 75.1% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Western Digital (WDC)
Western Digital Corporation (WDC) is a global leader in data storage devices and solutions. The company designs, manufactures, and sells a comprehensive range of products for storing digital information, primarily focusing on both traditional hard disk drives (HDDs) and advanced flash-based solid state drives (SSDs) and memory products.
Its extensive product portfolio is categorized into three main areas. Client devices include HDDs and SSDs for personal computers, gaming consoles, and smart video systems, as well as embedded flash storage for mobile phones, tablets, and applications in automotive, IoT, and industrial sectors. Data center devices and solutions comprise enterprise-grade HDDs and SSDs, along with software and storage platforms for servers, online transactions, and big data analysis. Client solutions encompass external HDDs, portable SSDs, removable memory cards for consumer devices like cameras and phones, and USB flash drives.
Western Digital markets its products under well-known brands such as G-Technology, SanDisk, and WD. The company serves a diverse global customer base, including original equipment manufacturers (OEMs) who integrate storage into their products, as well as distributors, dealers, resellers, and retailers. Its products cater to a wide array of markets, from consumer electronics and mobile computing to enterprise data centers and specialized industrial applications across North America, Europe, Asia, and other international regions.
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They are the Intel of data storage, providing the core memory components (hard drives, SSDs, flash) for everything from consumer devices to massive data centers.
Imagine Samsung, but solely focused on manufacturing and selling digital storage devices (hard drives, SSDs, memory cards) for a vast range of products, from phones to enterprise servers.
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- Hard Disk Drives (HDDs): Data storage devices offered for client computing devices and enterprise data centers.
- Solid State Drives (SSDs): High-performance, flash-based storage solutions for client devices, embedded applications, and enterprise servers.
- Flash-based Embedded and Removable Storage: Compact flash-based products including memory wafers, embedded storage for mobile devices, and removable cards/USB drives.
- Data Center Storage Solutions: Comprehensive systems and platforms designed for enterprise data storage, including tiered models and software.
- External Storage and Wireless Drives: Portable and desktop external storage products (HDDs and SSDs), as well as wireless drives for backup and streaming.
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Western Digital (WDC) primarily sells its products to other companies (B2B) across various categories, as explicitly stated in its description: "original equipment manufacturers, distributors, dealers, resellers, and retailers."
Based on its product offerings, the major customer types and examples of companies that would likely be significant customers include:
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Original Equipment Manufacturers (OEMs): Companies that integrate Western Digital's HDDs, SSDs, and flash-based embedded storage into their own final products.
- PC and Laptop Manufacturers:
- HP Inc. (HPQ)
- Dell Technologies Inc. (DELL)
- Apple Inc. (AAPL)
- Gaming Console Manufacturers:
- Sony Group Corporation (SONY)
- Microsoft Corporation (MSFT) (for Xbox)
- Mobile and Tablet Manufacturers:
- Apple Inc. (AAPL)
- Server and Enterprise System Manufacturers:
- Hewlett Packard Enterprise Company (HPE)
- Dell Technologies Inc. (DELL)
- PC and Laptop Manufacturers:
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Hyperscale Cloud Service Providers and Data Center Operators: Large technology companies that purchase enterprise storage solutions for their extensive data centers and cloud infrastructure.
- Amazon.com, Inc. (AMZN) (for Amazon Web Services - AWS)
- Microsoft Corporation (MSFT) (for Azure)
- Alphabet Inc. (GOOGL) (for Google Cloud)
- Meta Platforms, Inc. (META)
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Distributors and Major Retailers: Companies that purchase Western Digital's branded products (such as SanDisk, WD, and G-Technology) for resale through their distribution networks or retail stores to businesses and individual consumers.
- Major Electronics Distributors:
- Arrow Electronics, Inc. (ARW)
- Avnet, Inc. (AVT)
- Large Retail Chains (including e-commerce):
- Amazon.com, Inc. (AMZN)
- Best Buy Co., Inc. (BBY)
- Walmart Inc. (WMT)
- Major Electronics Distributors:
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- Showa Denko K.K. (SDKYY)
- Hoya Corporation (HOCPY)
- Nidec Corporation (NJDCY)
- TDK Corporation (TTDKY)
- Marvell Technology, Inc. (MRVL)
- Silicon Motion Technology Corporation (SIMO)
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Irving Tan, Chief Executive Officer
Irving Tan leads Western Digital as its Chief Executive Officer, a role he assumed following the company's separation of its Flash business in early 2025. He has decades of experience in sales, global operations, market transitions, and customer and government dynamics. Before becoming CEO, Tan served as Western Digital's Executive Vice President for Global Operations, overseeing global operations functions, procurement, supply chain, and IT. He is also a veteran of Cisco. Tan currently chairs the Board of Directors for SATS and is on the Board of Directors for the U.S.-Japan Business Council. His predecessor, David Goeckeler, became CEO of the independent SanDisk.
Kris Sennesael, EVP, Chief Financial Officer
Kris Sennesael became Western Digital's Chief Financial Officer effective May 12, 2025, bringing over 25 years of experience in finance and general management within the semiconductor and technology sectors. In this role, he is responsible for the company's global finance organization, including accounting, financial planning and analysis, tax, treasury, internal audit, investor relations, and corporate real estate. Prior to joining Western Digital, Sennesael served as CFO at Skyworks Solutions, where he contributed to scaling the business through organic and inorganic growth strategies. His career also includes CFO positions at Enphase Energy and Standard Microsystems, as well as leadership roles at ON Semiconductor, AMI Semiconductor, and Alcatel Microelectronics. Sennesael currently serves on the Board of Directors of MaxLinear.
B. Scott Davis, Executive Vice President and Chief Sales & Marketing Officer
B. Scott Davis serves as Executive Vice President and Chief Sales & Marketing Officer at Western Digital.
Cynthia Tregillis, EVP, Chief Legal Officer & Secretary
Cynthia Tregillis holds the position of Executive Vice President, Chief Legal Officer & Secretary at Western Digital.
Katie Watson, Chief Human Resources Officer
Katie Watson is the Chief Human Resources Officer for Western Digital.
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Cyclicality of the Storage Industry and Customer Concentration: Western Digital operates in a storage industry historically prone to "boom-and-bust" cycles. The company's business is heavily concentrated on a few hyperscale cloud clients, with the Cloud segment driving a significant portion of its revenue. This makes Western Digital highly vulnerable to the capital expenditure cycles and purchasing pattern shifts of these major customers. A slowdown in spending from these key clients could immediately impact Western Digital's top line.
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Technological Execution and Competition: The data storage market is intensely competitive and rapidly evolving. Western Digital faces risks related to the continuous need for technological innovation, such as perfecting complex laser-assisted recording (HAMR) for higher-capacity drives, to maintain its density leadership against rivals like Seagate Technology. Additionally, while HDDs currently offer a better cost-per-terabyte for large-scale data storage, a precipitous drop in NAND Flash prices could lead to high-capacity SSDs beginning to cannibalize parts of the HDD market, posing a competitive threat.
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Geopolitical and Trade Headwinds: Western Digital maintains significant global supply chain and manufacturing operations, particularly in Southeast Asia. This exposes the company to geopolitical risks, including ongoing U.S.-China trade disputes and the potential for new tariffs, which could impact its global supply chain, manufacturing costs, and overall profitability. Macroeconomic volatility and rising global trade tensions could also trigger demand fluctuations across its enterprise, distribution, and retail segments.
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The widespread and accelerating shift of consumer and enterprise data storage from local/on-premise physical devices to cloud-based solutions.
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Addressable Markets for Western Digital's Main Products and Services
Western Digital Corporation (WDC) operates in several data storage markets, offering a range of products including hard disk drives (HDDs), solid-state drives (SSDs), flash-based embedded storage, data center solutions, and client solutions like external drives, removable cards, and USB flash drives. The addressable market sizes for these key product categories are substantial and predominantly global.Solid State Drives (SSDs)
The global Solid State Drive (SSD) market was valued at approximately USD 19.1 billion in 2023 and is projected to reach USD 55.1 billion by 2030, growing at a compound annual growth rate (CAGR) of 16.5% from 2024 to 2030. Other estimates place the global SSD market at USD 59.5 billion in 2024, with a projection to reach USD 166.1 billion by 2033 at a CAGR of 12.1%. The client SSD market, specifically for consumer and client-grade devices, was valued at approximately USD 10.3 billion in 2024 and is projected to reach USD 65.9 billion by 2030, growing at a CAGR of 36.3%. The enterprise SSD segment is expected to grow at the highest rate, with projections indicating a 40% revenue share by the end of 2035 for the enterprise segment within the broader SSD market.Hard Disk Drives (HDDs)
The global hard disk drive (HDD) market was estimated at USD 44.31 billion in 2024. Another report indicates the global HDD market reached approximately USD 49.68 billion in 2025, with forecasts suggesting an expansion to USD 92.55 billion by 2034. The market is projected to reach USD 117.5 billion by 2036, reflecting a CAGR of 5.30% from 2026. Enterprise adoption of HDDs accounted for 58% of total market usage in 2025.Data Center Storage
The global data center storage market was valued at USD 61.94 billion in 2024 and is projected to reach USD 148.39 billion by 2032, growing at a CAGR of 11.54% from 2025 to 2032. Another estimate for the global data center storage market values it at USD 63.72 billion in 2024, with a projection to surpass USD 208.96 billion by 2034, growing at a CAGR of 12.61% from 2025 to 2034. North America currently holds the largest share of the global data center storage market, accounting for approximately 40.1% to 45% in 2024.Flash-Based Embedded Storage Products
The global embedded storage solutions market was valued at approximately USD 10.24 billion in 2023 and is predicted to grow to around USD 22.07 billion by 2032, with a CAGR of roughly 8.91% between 2024 and 2032. Universal Flash Storage (UFS), a key component in embedded storage, was estimated at USD 7.7 billion globally in 2024 and is expected to reach USD 21.7 billion by 2030, growing at a CAGR of 18.8%.Client Solutions (External HDD/SSD, Removable Cards, USB Flash Drives)
The external hard disk market was valued at US$ 5.54 billion in 2025 and is expected to reach US$ 8.56 billion by 2032, with a CAGR of 6.4% from 2026-2032. The external SSD market was valued at USD 2.38 billion in 2024 and is projected to grow to USD 3.84 billion by 2032, exhibiting a CAGR of 7.2%. The global USB Flash Drive market size is projected to be USD 5.93 billion in 2025 and reach USD 8.77 billion by 2031, growing at a CAGR of 6.66% from 2026 to 2031. Another source estimates the global USB Flash Drives market size at USD 6.14 billion in 2025, with growth to USD 11.37 billion by 2033 at a CAGR of 8.00%.AI Analysis | Feedback
Western Digital (WDC) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market trends:
- Strong Demand for High-Capacity Nearline Drives in Cloud and Enterprise: Western Digital is experiencing robust demand for its high-capacity nearline drives, particularly from hyperscale cloud providers and enterprise data centers. The cloud segment consistently represents a significant portion of the company's total revenue and is a major growth engine. The company has reported strong year-over-year revenue increases driven by this demand, with a strategic focus on delivering scalable and cost-effective storage solutions for these markets.
- Growth Driven by AI-Powered Data Expansion: The accelerating proliferation of Artificial Intelligence (AI) across various industries is generating a rapid increase in data creation and the demand for storage. Use cases such as generative AI workloads (text-to-image, text-to-video) and the need for massive data lakes to fuel AI models are projected to significantly boost HDD exabyte shipments, with an expected 23% compound annual growth rate (CAGR) from 2024 to 2028.
- Advancements and Adoption of Next-Generation HDD Technologies: Western Digital's continued innovation in hard disk drive (HDD) technology, including Heat-Assisted Magnetic Recording (HAMR), Energy-Assisted Perpendicular Magnetic Recording (ePMR), and UltraSMR (Shingled Magnetic Recording), is crucial for meeting the escalating demand for higher capacity storage. The company has been shipping millions of units of its latest generation ePMR and UltraSMR products, and HAMR technology development is accelerating with qualifications planned with hyperscale customers in the first half of calendar year 2026.
- Strategic Focus on Data Center and Cloud Markets: The company has reinforced its leadership in delivering world-class, sustainable storage solutions at scale, specifically targeting the ever-growing data demands of the cloud and enterprise markets. This strategic emphasis ensures that Western Digital remains a trusted partner for hyperscale cloud providers, offering solutions with low total cost of ownership (TCO) that align with their expanding infrastructure needs.
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Share Repurchases
- In February 2026, Western Digital's Board of Directors authorized an additional $4.0 billion for share repurchases.
- As of February 2, 2026, approximately $484 million remained under a prior share repurchase authorization.
- The company repurchased approximately 3.8 million shares for $615 million in fiscal Q2 2026, contributing to $1.4 billion returned to shareholders through dividends and buybacks since fiscal Q4 2025.
Outbound Investments
- In January 2026, Western Digital announced a strategic investment in Qolab to support next-generation quantum hardware and nanofabrication process innovation.
Capital Expenditures
- Western Digital's capital expenditures have decreased from $1.146 billion in fiscal year 2021 to $412 million in fiscal year 2025.
- The latest twelve months (TTM) capital expenditures were $365 million, with $92 million reported for Q2 fiscal year 2026.
- The company's capital allocation strategy includes reinvestment in the business for maintaining existing and expanding new property, plant, and equipment, with a focus on high-value end markets and the AI-driven data economy.
Peer Outperformance in Technology Hardware, Storage & Peripherals
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Electronic Manufacturing Services | 9 | 76.6% | 253.0% | 452.4% | TTMI 896% · FLEX 838% · FN 537% |
| Semiconductor Materials & Equipment | 27 | 188.5% | 111.9% | 142.7% | AEHR 2463% · AXTI 789% · KLAC 549% |
| Technology Distributors | 9 | 24.9% | 66.2% | 84.1% | CLMB 361% · AVT 167% · SNX 121% |
| Electronic Components | 26 | 71.4% | 81.7% | 71.2% | CLS 3756% · BELFA 1499% · LPTH 694% |
| Communications Equipment | 35 | 43.0% | 95.4% | 53.8% | AAOI 2123% · LITE 1082% · FEIM 914% |
| Semiconductors | 54 | 44.6% | 54.9% | 48.2% | POET 2252% · MU 1305% · NVDA 1033% |
| Technology Hardware, Storage & Peripherals ← | 22 | 42.8% | 86.1% | 28.8% | STX 1146% · WDC 1005% · DELL 976% |
| Internet Services & Infrastructure | 6 | 15.3% | 38.2% | 21.8% | DOCN 153% · VRSN 37% · GDDY 35% |
| Electronic Equipment & Instruments | 27 | 3.6% | 13.5% | -2.9% | PI 250% · NSSC 133% · OSIS 127% |
| IT Consulting & Other Services | 28 | -25.1% | -10.5% | -19.2% | CHRN 550689% · APLD 2052% · TSSI 780% |
| Application Software | 124 | -19.2% | -12.8% | -39.7% | VIDA 234900% · INLX 5250% · PLTR 610% |
| Systems Software | 68 | -6.2% | 25.3% | -45.0% | QNC 985% · PANW 523% · ZETA 430% |
Latest Trefis Analyses
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 499.81 |
| Mkt Cap | 198.8 |
| Rev LTM | 25,856 |
| Op Inc LTM | 4,412 |
| FCF LTM | 3,750 |
| FCF 3Y Avg | 1,966 |
| CFO LTM | 5,144 |
| CFO 3Y Avg | 3,315 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 34.9% |
| Rev Chg 3Y Avg | 16.7% |
| Rev Chg Q | 46.2% |
| QoQ Delta Rev Chg LTM | 10.2% |
| Op Inc Chg LTM | 89.5% |
| Op Inc Chg 3Y Avg | 156.5% |
| Op Mgn LTM | 29.6% |
| Op Mgn 3Y Avg | 19.4% |
| QoQ Delta Op Mgn LTM | 2.8% |
| CFO/Rev LTM | 30.0% |
| CFO/Rev 3Y Avg | 16.9% |
| FCF/Rev LTM | 26.2% |
| FCF/Rev 3Y Avg | 10.1% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 198.8 |
| P/S | 9.0 |
| P/Op Inc | 32.1 |
| P/EBIT | 25.3 |
| P/E | 35.1 |
| P/CFO | 23.4 |
| Total Yield | 3.6% |
| Dividend Yield | 0.4% |
| FCF Yield 3Y Avg | 3.4% |
| D/E | 0.0 |
| Net D/E | 0.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 27.6% |
| 3M Rtn | 53.6% |
| 6M Rtn | 132.6% |
| 12M Rtn | 397.5% |
| 3Y Rtn | 1,131.3% |
| 1M Excs Rtn | 24.3% |
| 3M Excs Rtn | 45.1% |
| 6M Excs Rtn | 116.6% |
| 12M Excs Rtn | 371.0% |
| 3Y Excs Rtn | 1,017.4% |
Comparison Analyses
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Hard disk drives (HDD) | 9,520 | 6,317 | 6,255 | 9,040 | 8,216 |
| Flash-based products (Flash) | 9,753 | 8,706 | |||
| Total | 9,520 | 6,317 | 6,255 | 18,793 | 16,922 |
| $ Mil | 2001 |
|---|---|
| WDT | -4 |
| All Other | -30 |
| Total | -34 |
| $ Mil | 2025 | 2024 | 2023 |
|---|---|---|---|
| Hard disk drives (HDD) | 1,643 | -765 | -902 |
| Total | 1,643 | -765 | -902 |
| $ Mil | 2001 |
|---|---|
| WDT | 496 |
| All Other | 12 |
| Total | 508 |
Price Behavior
| Market Price | $508.80 | |
| Market Cap ($ Bil) | 174.0 | |
| First Trading Date | 01/02/1987 | |
| Distance from 52W High | -31.8% | |
| 50 Days | 200 Days | |
| DMA Price | $552.41 | $349.61 |
| DMA Trend | up | up |
| Distance from DMA | -7.9% | 45.5% |
| 3M | 1YR | |
| Volatility | 102.1% | 79.1% |
| Downside Capture | 463.84 | 279.61 |
| Upside Capture | 395.24 | 443.14 |
| Correlation (SPY) | 54.8% | 51.3% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 4.43 | 4.57 | 4.23 | 3.43 | 3.07 | 1.96 |
| Up Beta | 14.86 | 9.41 | 7.70 | 4.69 | 3.32 | 1.76 |
| Down Beta | -2.43 | 1.57 | 1.36 | 1.72 | 1.92 | 1.72 |
| Up Capture | 233% | 597% | 672% | 919% | 2990% | 7917% |
| Bmk +ve Days | 11 | 22 | 35 | 67 | 138 | 427 |
| Stock +ve Days | 12 | 24 | 36 | 73 | 151 | 422 |
| Down Capture | 420% | 320% | 313% | 213% | 164% | 111% |
| Bmk -ve Days | 11 | 21 | 28 | 59 | 114 | 326 |
| Stock -ve Days | 10 | 19 | 27 | 53 | 101 | 330 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with WDC | |
|---|---|---|---|---|
| WDC | 575.8% | 78.8% | 2.76 | - |
| Sector ETF (XLK) | 42.4% | 25.9% | 1.33 | 63.5% |
| Equity (SPY) | 21.5% | 12.8% | 1.25 | 50.9% |
| Gold (GLD) | 30.0% | 28.5% | 0.91 | 28.6% |
| Commodities (DBC) | 38.1% | 20.1% | 1.49 | 3.9% |
| Real Estate (VNQ) | 14.4% | 13.9% | 0.73 | -9.3% |
| Bitcoin (BTCUSD) | -49.1% | 42.8% | -1.45 | 24.5% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with WDC | |
|---|---|---|---|---|
| WDC | 58.4% | 52.5% | 1.07 | - |
| Sector ETF (XLK) | 20.6% | 25.8% | 0.71 | 60.4% |
| Equity (SPY) | 13.4% | 17.2% | 0.60 | 54.0% |
| Gold (GLD) | 19.5% | 18.6% | 0.85 | 19.2% |
| Commodities (DBC) | 9.6% | 19.6% | 0.38 | 13.1% |
| Real Estate (VNQ) | 2.3% | 18.9% | 0.02 | 24.9% |
| Bitcoin (BTCUSD) | 8.0% | 52.8% | 0.34 | 21.4% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with WDC | |
|---|---|---|---|---|
| WDC | 33.1% | 50.1% | 0.77 | - |
| Sector ETF (XLK) | 24.7% | 24.9% | 0.90 | 59.6% |
| Equity (SPY) | 15.4% | 17.9% | 0.73 | 56.8% |
| Gold (GLD) | 12.0% | 16.2% | 0.60 | 13.5% |
| Commodities (DBC) | 7.7% | 18.0% | 0.34 | 20.6% |
| Real Estate (VNQ) | 5.0% | 20.7% | 0.20 | 35.4% |
| Bitcoin (BTCUSD) | 59.9% | 66.1% | 1.00 | 15.3% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 8/14/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/5/2026 | -13.0% | -12.5% | |
| 4/30/2026 | -0.7% | 6.8% | 25.7% |
| 1/29/2026 | -10.1% | -6.5% | -3.0% |
| 10/30/2025 | 8.7% | 18.4% | 15.8% |
| 7/30/2025 | 10.2% | 3.3% | 14.9% |
| 4/30/2025 | 8.0% | 9.0% | 29.4% |
| 1/29/2025 | 4.7% | 3.1% | 4.2% |
| 10/24/2024 | 4.7% | -1.5% | 0.2% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 11 | 12 | 15 |
| # Negative | 13 | 12 | 8 |
| Median Positive | 4.7% | 7.1% | 15.8% |
| Median Negative | -3.5% | -3.1% | -5.4% |
| Max Positive | 10.2% | 18.4% | 37.2% |
| Max Negative | -13.0% | -16.1% | -16.5% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/5/2026 | -13.0% | -12.5% | |
| 4/30/2026 | -0.7% | 6.8% | 25.7% |
| 1/29/2026 | -10.1% | -6.5% | -3.0% |
| 10/30/2025 | 8.7% | 18.4% | 15.8% |
| 7/30/2025 | 10.2% | 3.3% | 14.9% |
| 4/30/2025 | 8.0% | 9.0% | 29.4% |
| 1/29/2025 | 4.7% | 3.1% | 4.2% |
| 10/24/2024 | 4.7% | -1.5% | 0.2% |
| 7/31/2024 | -9.7% | -16.1% | -6.0% |
| 4/25/2024 | 2.8% | 0.4% | 7.7% |
| 1/25/2024 | -3.5% | -4.9% | -5.4% |
| 10/30/2023 | 7.3% | 10.4% | 20.3% |
| 7/31/2023 | 0.7% | 2.2% | -2.4% |
| 5/8/2023 | -1.7% | 7.5% | 17.1% |
| 1/31/2023 | -1.4% | -2.0% | -12.7% |
| 10/27/2022 | -2.7% | -2.0% | 5.8% |
| 8/5/2022 | -5.7% | -1.7% | -16.5% |
| 4/28/2022 | 0.9% | 16.3% | 18.3% |
| 1/27/2022 | -7.3% | -2.9% | -5.4% |
| 10/28/2021 | -8.7% | -3.9% | 3.0% |
| 8/4/2021 | 3.3% | 2.7% | -5.1% |
| 4/29/2021 | -0.7% | -2.1% | 5.8% |
| 1/28/2021 | 7.2% | 12.6% | 37.2% |
| 10/28/2020 | -1.8% | -3.3% | 18.1% |
| SUMMARY STATS | |||
| # Positive | 11 | 12 | 15 |
| # Negative | 13 | 12 | 8 |
| Median Positive | 4.7% | 7.1% | 15.8% |
| Median Negative | -3.5% | -3.1% | -5.4% |
| Max Positive | 10.2% | 18.4% | 37.2% |
| Max Negative | -13.0% | -16.1% | -16.5% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/14/2026 | 10-K |
| 03/31/2026 | 05/01/2026 | 10-Q |
| 12/31/2025 | 01/30/2026 | 10-Q |
| 09/30/2025 | 10/31/2025 | 10-Q |
| 06/30/2025 | 08/14/2025 | 10-K |
| 03/31/2025 | 05/02/2025 | 10-Q |
| 12/31/2024 | 01/31/2025 | 10-Q |
| 09/30/2024 | 10/31/2024 | 10-Q |
| 06/30/2024 | 08/20/2024 | 10-K |
| 03/31/2024 | 04/30/2024 | 10-Q |
| 12/31/2023 | 02/12/2024 | 10-Q |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/22/2023 | 10-K |
| 03/31/2023 | 05/10/2023 | 10-Q |
| 12/31/2022 | 02/03/2023 | 10-Q |
| 09/30/2022 | 11/02/2022 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/14/2026 | 10-K |
| 03/31/2026 | 05/01/2026 | 10-Q |
| 12/31/2025 | 01/30/2026 | 10-Q |
| 09/30/2025 | 10/31/2025 | 10-Q |
| 06/30/2025 | 08/14/2025 | 10-K |
| 03/31/2025 | 05/02/2025 | 10-Q |
| 12/31/2024 | 01/31/2025 | 10-Q |
| 09/30/2024 | 10/31/2024 | 10-Q |
| 06/30/2024 | 08/20/2024 | 10-K |
| 03/31/2024 | 04/30/2024 | 10-Q |
| 12/31/2023 | 02/12/2024 | 10-Q |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/22/2023 | 10-K |
| 03/31/2023 | 05/10/2023 | 10-Q |
| 12/31/2022 | 02/03/2023 | 10-Q |
| 09/30/2022 | 11/02/2022 | 10-Q |
| 06/30/2022 | 08/25/2022 | 10-K |
| 03/31/2022 | 05/04/2022 | 10-Q |
| 12/31/2021 | 02/03/2022 | 10-Q |
| 09/30/2021 | 11/04/2021 | 10-Q |
| 06/30/2021 | 08/27/2021 | 10-K |
| 03/31/2021 | 05/06/2021 | 10-Q |
| 12/31/2020 | 02/09/2021 | 10-Q |
| 09/30/2020 | 11/06/2020 | 10-Q |
| 06/30/2020 | 08/28/2020 | 10-K |
| 03/31/2020 | 05/08/2020 | 10-Q |
| 12/31/2019 | 02/11/2020 | 10-Q |
| 09/30/2019 | 11/12/2019 | 10-Q |
Recent Forward Guidance
Updated 8/6/2026Latest: Q4 2026 Earnings Reported 8/5/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2027 Revenue | 4.00 Bil | 4.10 Bil | 4.20 Bil | 12.3% | Higher New | Guidance: 3.65 Bil for Q4 2026 | |
| Q1 2027 Gross margin | 55.0% | 55.5% | 56.0% | 4.0% | Higher New | Guidance: 51.5% for Q4 2026 | |
| Q1 2027 Operating expenses | 390.00 Mil | 395.00 Mil | 400.00 Mil | 1.3% | Higher New | Guidance: 390.00 Mil for Q4 2026 | |
| Q1 2027 Interest and other expense, net | 15.00 Mil | ||||||
| Q1 2027 Tax rate | 17.0% | ||||||
| Q1 2027 Diluted net income per common share | 3.85 | 4 | 4.15 | 23.1% | Higher New | Guidance: 3.25 for Q4 2026 | |
| Q1 2027 Diluted weighted average shares | 388.00 Mil | ||||||
Prior: Q3 2026 Earnings Reported 4/30/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Revenue | 3.55 Bil | 3.65 Bil | 3.75 Bil | 14.1% | Higher New | Guidance: 3.20 Bil for Q3 2026 | |
| Q4 2026 Gross margin | 51.0% | 51.5% | 52.0% | 4.0% | Higher New | Guidance: 47.5% for Q3 2026 | |
| Q4 2026 Operating expenses | 385.00 Mil | 390.00 Mil | 395.00 Mil | 1.3% | Higher New | Guidance: 385.00 Mil for Q3 2026 | |
| Q4 2026 Diluted net income per common share | 3.1 | 3.25 | 3.4 | 41.3% | Higher New | Guidance: 2.3 for Q3 2026 | |
Q2 2026 Earnings Reported 1/29/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q3 2026 Revenue | 3.10 Bil | 3.20 Bil | 10.3% | Higher New | Guidance: 2.90 Bil for Q2 2026 | ||
| Q3 2026 Gross margin | 47.0% | 47.5% | 48.0% | 3.0% | Higher New | Guidance: 44.5% for Q2 2026 | |
| Q3 2026 Operating expenses | 380.00 Mil | 385.00 Mil | 390.00 Mil | 4.1% | Higher New | Guidance: 370.00 Mil for Q2 2026 | |
| Q3 2026 Diluted net income per common share | 2.15 | 2.3 | 2.45 | 22.3% | Higher New | Guidance: 1.88 for Q2 2026 | |
Q1 2026 Earnings Reported 10/30/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q2 2026 Revenue | 2.80 Bil | 2.90 Bil | 3.00 Bil | 7.4% | Higher New | Guidance: 2.70 Bil for Q1 2026 | |
| Q2 2026 Gross margin | 44.0% | 44.5% | 45.0% | 3.0% | Higher New | Guidance: 41.5% for Q1 2026 | |
| Q2 2026 Operating expenses | 365.00 Mil | 370.00 Mil | 375.00 Mil | -1.3% | Lower New | Guidance: 375.00 Mil for Q1 2026 | |
| Q2 2026 Diluted net income per common share | 1.73 | 1.88 | 2.03 | 22.1% | Higher New | Guidance: 1.54 for Q1 2026 | |
Insider Activity
Updated 8/12/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Tan, Irving | Chief Executive Officer | Direct | Sell | 8122026 | 444.97 | 20,000 | 8,899,329 | 256,285,554 | Form |
| 2 | Cole, Martin I | Direct | Sell | 7292026 | 462.77 | 192 | 88,852 | 9,918,584 | Form | |
| 3 | Cole, Martin I | Direct | Sell | 7292026 | 448.66 | 3,808 | 1,708,505 | 9,702,315 | Form | |
| 4 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 7212026 | 529.63 | 808 | 427,941 | 60,663,291 | Form |
| 5 | Cole, Martin I | Direct | Sell | 6112026 | 536.01 | 720 | 385,924 | 13,632,236 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Tan, Irving | Chief Executive Officer | Direct | Sell | 8122026 | 444.97 | 20,000 | 8,899,329 | 256,285,554 | Form |
| 2 | Cole, Martin I | Direct | Sell | 7292026 | 462.77 | 192 | 88,852 | 9,918,584 | Form | |
| 3 | Cole, Martin I | Direct | Sell | 7292026 | 448.66 | 3,808 | 1,708,505 | 9,702,315 | Form | |
| 4 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 7212026 | 529.63 | 808 | 427,941 | 60,663,291 | Form |
| 5 | Cole, Martin I | Direct | Sell | 6112026 | 536.01 | 720 | 385,924 | 13,632,236 | Form | |
| 6 | Cole, Martin I | Direct | Sell | 6112026 | 511.16 | 3,280 | 1,676,600 | 13,368,333 | Form | |
| 7 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 6052026 | 545.60 | 432 | 235,699 | 63,640,421 | Form |
| 8 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 6022026 | 556.24 | 2,475 | 1,376,694 | 47,366,061 | Form |
| 9 | Kiddoo, Bruce E | Direct | Sell | 5292026 | 528.52 | 750 | 396,390 | 2,062,814 | Form | |
| 10 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 5272026 | 539.63 | 214 | 115,481 | 63,221,432 | Form |
| 11 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 5272026 | 488.61 | 308 | 150,492 | 57,721,942 | Form |
| 12 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 5222026 | 458.87 | 106 | 48,640 | 54,349,939 | Form |
| 13 | Davis, Brian Scott | Chief Sales & Mrktng Officer | Direct | Sell | 5122026 | 500.69 | 10,000 | 5,006,895 | 52,854,790 | Form |
| 14 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 5052026 | 443.19 | 4,674 | 2,071,447 | 39,904,821 | Form |
| 15 | Tan, Irving | Chief Executive Officer | Direct | Sell | 5052026 | 411.84 | 20,000 | 8,236,864 | 246,344,024 | Form |
| 16 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 4222026 | 377.09 | 363 | 136,884 | 45,259,473 | Form |
| 17 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 3102026 | 255.32 | 8,518 | 2,174,858 | 25,347,645 | Form |
| 18 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 3052026 | 268.27 | 9,324 | 2,501,382 | 32,644,052 | Form |
| 19 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 3052026 | 270.31 | 10,148 | 2,743,110 | 29,137,840 | Form |
| 20 | Cole, Martin I | Direct | Sell | 3032026 | 271.67 | 6,000 | 1,630,002 | 7,995,974 | Form | |
| 21 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 2272026 | 286.11 | 214 | 61,228 | 38,276,082 | Form |
| 22 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 2242026 | 281.70 | 308 | 86,764 | 37,961,610 | Form |
| 23 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 2242026 | 283.83 | 130 | 36,898 | 38,336,067 | Form |
| 24 | Davis, Brian Scott | Chief Sales & Mrktng Officer | Direct | Sell | 2192026 | 279.16 | 10,000 | 2,791,603 | 33,999,491 | Form |
| 25 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 2062026 | 270.49 | 6,780 | 1,833,922 | 36,932,164 | Form |
| 26 | Massengill, Matthew E | Family Trust | Sell | 2062026 | 260.43 | 36,926 | Form | |||
| 27 | Tan, Irving | Chief Executive Officer | Direct | Sell | 2042026 | 255.44 | 20,000 | 5,108,831 | 159,289,777 | Form |
| 28 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 1212026 | 229.00 | 447 | 102,363 | 32,819,822 | Form |
| 29 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 12082025 | 168.14 | 8,943 | 1,503,713 | 21,331,442 | Form |
| 30 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 12082025 | 159.94 | 13,877 | 2,219,510 | 21,721,189 | Form |
| 31 | Alexy, Kimberly | Direct | Sell | 12082025 | 160.08 | 2,000 | 320,165 | 253,731 | Form | |
| 32 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 12032025 | 160.57 | 2,801 | 449,752 | 23,217,519 | Form |
| 33 | Cole, Martin I | Direct | Sell | 12032025 | 162.62 | 6,000 | 975,696 | 5,761,973 | Form | |
| 34 | Oulman, Roxanne | Direct | Sell | 11262025 | 154.42 | 1,800 | 277,956 | 596,524 | Form | |
| 35 | Alexy, Kimberly | Direct | Sell | 11262025 | 154.00 | 1,768 | 272,272 | 552,090 | Form | |
| 36 | Cole, Martin I | Direct | Sell | 11062025 | 161.32 | 10,000 | 1,613,212 | 6,372,834 | Form | |
| 37 | Tan, Irving | Chief Executive Officer | Direct | Sell | 11052025 | 150.69 | 20,000 | 3,013,784 | 97,264,908 | Form |
| 38 | Gubbi, Vidyadhara K | Chief of Global Operations | Direct | Sell | 9052025 | 90.29 | 11,343 | 1,024,162 | 13,687,633 | Form |
| 39 | Zamiska, Gene M | SVP & Princ. Acctg Officer | Direct | Sell | 8282025 | 80.90 | 353 | 28,558 | 2,218,682 | Form |
| 40 | Zamiska, Gene M | SVP & Princ. Acctg Officer | Direct | Sell | 8272025 | 79.10 | 814 | 64,387 | 2,224,450 | Form |
| 41 | Zamiska, Gene M | SVP, Global Accounting & Chief | Direct | Sell | 8252025 | 74.78 | 1,828 | 136,698 | 2,223,359 | Form |
| 42 | Tregillis, Cynthia L | Chief Legal Officer & Corp Sec | Direct | Sell | 8252025 | 74.78 | 14,067 | 1,051,930 | 10,121,548 | Form |
| 43 | Zamiska, Gene M | SVP, Global Accounting & Chief | Direct | Sell | 8252025 | 75.68 | 3,160 | 239,149 | 2,388,461 | Form |
| 44 | Tan, Irving | Chief Executive Officer | Direct | Sell | 8212025 | 75.90 | 8,621 | 654,334 | 45,148,052 | Form |
| 45 | Gubbi, Vidyadhara K | Chief of Global Ops | Direct | Sell | 8132025 | 76.26 | 5,597 | 426,827 | 11,795,821 | Form |
| 46 | Gubbi, Vidyadhara K | Chief of Global Ops | Direct | Sell | 8132025 | 74.88 | 3,947 | 295,532 | 12,000,666 | Form |
Investor Activity (13F)
Updated Aug 16, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Whitebox Advisors LLC | $1.5 Bil | 21.1% | 545 | Hold | 13F |
| Boussard & Gavaudan Investment Management LLP | $186.1 Mil | 17.9% | 84 | TRIM -6.9% | 13F |
| Maple Rock Capital Partners Inc. | $378.8 Mil | 12.3% | 44 | TRIM -41.2% | 13F |
| Amanah Holdings Trust | $85.2 Mil | 9.4% | 20 | Hold | 13F |
| Talos Eurisko Asset Management LP | $47.0 Mil | 8.0% | 23 | TRIM -16.0% | 13F |
| Trivest Advisors Ltd | $93.3 Mil | 6.7% | 29 | TRIM -60.6% | 13F |
| Rivermont Capital Management LP | $31.3 Mil | 6.6% | 20 | TRIM -25.0% | 13F |
| Alta Park Capital, LP | $34.2 Mil | 5.5% | 24 | TRIM -67.8% | 13F |
| Anther Capital Ltd | $192.7 Mil | 5.0% | 31 | New | 13F |
| Castle Hook Partners LP | $237.7 Mil | 4.8% | 44 | TRIM -33.7% | 13F |
| WT Asset Management Ltd | $220.9 Mil | 4.6% | 32 | ADD +98.5% | 13F |
| Tyro Capital Management LLC | $16.1 Mil | 4.1% | 23 | New | 13F |
| Permit Capital, LLC | $11.1 Mil | 3.8% | 19 | TRIM -48.5% | 13F |
| Attestor Capital Ltd | $14.3 Mil | 3.8% | 9 | ADD +139.8% | 13F |
| Atalan Capital Partners, LP | $36.4 Mil | 3.4% | 10 | TRIM -80.9% | 13F |
| XN LP | $74.5 Mil | 2.7% | 23 | New | 13F |
| UNICOM Systems, Inc. | $24.5 Mil | 2.5% | 32 | New | 13F |
| Avala Global LP | $51.1 Mil | 2.5% | 22 | Hold | 13F |
| Jericho Capital Asset Management L.P. | $157.3 Mil | 2.3% | 23 | New | 13F |
| Soroban Capital Partners LP | $310.1 Mil | 2.2% | 27 | Hold | 13F |
| Hawk Ridge Capital Management LP | $56.6 Mil | 2.1% | 48 | TRIM -35.7% | 13F |
| Park West Asset Management LLC | $20.3 Mil | 1.8% | 48 | TRIM -32.7% | 13F |
| Melqart Asset Management (UK) Ltd | $17.4 Mil | 1.7% | 41 | TRIM -35.4% | 13F |
| Whale Rock Capital Management LLC | $111.4 Mil | 1.4% | 35 | New | 13F |
| Oribel Capital Management, LP | $7.6 Mil | 1.2% | 41 | New | 13F |
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Anther Capital Ltd | $192.7 Mil | 5.0% | 31 | New | 13F |
| Jericho Capital Asset Management L.P. | $157.3 Mil | 2.3% | 23 | New | 13F |
| Whale Rock Capital Management LLC | $111.4 Mil | 1.4% | 35 | New | 13F |
| XN LP | $74.5 Mil | 2.7% | 23 | New | 13F |
| UNICOM Systems, Inc. | $24.5 Mil | 2.5% | 32 | New | 13F |
| Tyro Capital Management LLC | $16.1 Mil | 4.1% | 23 | New | 13F |
| Oribel Capital Management, LP | $7.6 Mil | 1.2% | 41 | New | 13F |
| Attestor Capital Ltd | $14.3 Mil | 3.8% | 9 | ADD +139.8% | 13F |
| WT Asset Management Ltd | $220.9 Mil | 4.6% | 32 | ADD +98.5% | 13F |
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | As Of | Filing |
|---|---|---|---|---|---|---|
| Wolf Hill Capital Management, LP | $101.7 Mil | 11.8% | 22 | Exited | Dec 31, 2025 | 13F |
| CloudAlpha Capital Management Limited/Hong Kong | $20.9 Mil | 1.9% | 43 | Exited | Dec 31, 2025 | 13F |
| MIG Capital, LLC | $11.6 Mil | 2.0% | 43 | Exited | Dec 31, 2025 | 13F |
| Atalan Capital Partners, LP | $36.4 Mil | 3.4% | 10 | TRIM -80.9% | Mar 31, 2026 | 13F |
| Alta Park Capital, LP | $34.2 Mil | 5.5% | 24 | TRIM -67.8% | Mar 31, 2026 | 13F |
| Trivest Advisors Ltd | $93.3 Mil | 6.7% | 29 | TRIM -60.6% | Mar 31, 2026 | 13F |
| Permit Capital, LLC | $11.1 Mil | 3.8% | 19 | TRIM -48.5% | Mar 31, 2026 | 13F |
| Maple Rock Capital Partners Inc. | $378.8 Mil | 12.3% | 44 | TRIM -41.2% | Mar 31, 2026 | 13F |
| Hawk Ridge Capital Management LP | $56.6 Mil | 2.1% | 48 | TRIM -35.7% | Mar 31, 2026 | 13F |
| Melqart Asset Management (UK) Ltd | $17.4 Mil | 1.7% | 41 | TRIM -35.4% | Mar 31, 2026 | 13F |
| Castle Hook Partners LP | $237.7 Mil | 4.8% | 44 | TRIM -33.7% | Mar 31, 2026 | 13F |
| Park West Asset Management LLC | $20.3 Mil | 1.8% | 48 | TRIM -32.7% | Mar 31, 2026 | 13F |
| Rivermont Capital Management LP | $31.3 Mil | 6.6% | 20 | TRIM -25.0% | Mar 31, 2026 | 13F |
| Talos Eurisko Asset Management LP | $47.0 Mil | 8.0% | 23 | TRIM -16.0% | Mar 31, 2026 | 13F |
| Boussard & Gavaudan Investment Management LLP | $186.1 Mil | 17.9% | 84 | TRIM -6.9% | Mar 31, 2026 | 13F |
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Whitebox Advisors LLC | $1.5 Bil | 21.1% | 545 | Hold | 13F |
| Maple Rock Capital Partners Inc. | $378.8 Mil | 12.3% | 44 | TRIM -41.2% | 13F |
| Soroban Capital Partners LP | $310.1 Mil | 2.2% | 27 | Hold | 13F |
| Castle Hook Partners LP | $237.7 Mil | 4.8% | 44 | TRIM -33.7% | 13F |
| WT Asset Management Ltd | $220.9 Mil | 4.6% | 32 | ADD +98.5% | 13F |
| Anther Capital Ltd | $192.7 Mil | 5.0% | 31 | New | 13F |
| Boussard & Gavaudan Investment Management LLP | $186.1 Mil | 17.9% | 84 | TRIM -6.9% | 13F |
| Jericho Capital Asset Management L.P. | $157.3 Mil | 2.3% | 23 | New | 13F |
| Whale Rock Capital Management LLC | $111.4 Mil | 1.4% | 35 | New | 13F |
| Trivest Advisors Ltd | $93.3 Mil | 6.7% | 29 | TRIM -60.6% | 13F |
| Amanah Holdings Trust | $85.2 Mil | 9.4% | 20 | Hold | 13F |
| XN LP | $74.5 Mil | 2.7% | 23 | New | 13F |
| Hawk Ridge Capital Management LP | $56.6 Mil | 2.1% | 48 | TRIM -35.7% | 13F |
| Avala Global LP | $51.1 Mil | 2.5% | 22 | Hold | 13F |
| Talos Eurisko Asset Management LP | $47.0 Mil | 8.0% | 23 | TRIM -16.0% | 13F |
| Atalan Capital Partners, LP | $36.4 Mil | 3.4% | 10 | TRIM -80.9% | 13F |
| Alta Park Capital, LP | $34.2 Mil | 5.5% | 24 | TRIM -67.8% | 13F |
| Rivermont Capital Management LP | $31.3 Mil | 6.6% | 20 | TRIM -25.0% | 13F |
| UNICOM Systems, Inc. | $24.5 Mil | 2.5% | 32 | New | 13F |
| Park West Asset Management LLC | $20.3 Mil | 1.8% | 48 | TRIM -32.7% | 13F |
| Melqart Asset Management (UK) Ltd | $17.4 Mil | 1.7% | 41 | TRIM -35.4% | 13F |
| Tyro Capital Management LLC | $16.1 Mil | 4.1% | 23 | New | 13F |
| Attestor Capital Ltd | $14.3 Mil | 3.8% | 9 | ADD +139.8% | 13F |
| Permit Capital, LLC | $11.1 Mil | 3.8% | 19 | TRIM -48.5% | 13F |
| Oribel Capital Management, LP | $7.6 Mil | 1.2% | 41 | New | 13F |
WDC Trade Sentinel
Constructive
CONVICTION RATIONALE
Western Digital is capitalizing on immense AI-driven demand, using its duopoly position to drive significant price increases and margin expansion. Forward visibility is strong with multi-year customer agreements. Conviction is tempered by a technology transition risk, as a key competitor has a lead in next-generation HAMR products, creating a critical execution test in 2027.
STOCK ARCHETYPE
Cyclical Manufacturing(Total Exabytes Shipped) x (Average Selling Price per Exabyte) Mix shift to higher-capacity, higher-margin drives and operating leverage from high factory utilization in a tight supply environment.
INVESTMENT THESIS
Evidence suggests yes. WDC is leveraging a supply-constrained market to lock in multi-year customer agreements, driving record margins and strong cash flow while executing on its technology roadmap.
- Cloud segment revenue grew 43% year-over-year, now representing 89% of total revenue.
- Blended price per terabyte increased by a high-teens percentage year-over-year in Q4.
- Q1 FY2027 gross margin is guided to a range of 55% to 56%.
- Management is in discussions for long-term agreements extending to calendar '29 and '30.
PRIMARY RISK
Competitor Seagate is already shipping next-generation HAMR drives at scale, with HAMR representing approximately 40% of its nearline exabyte shipment run rate. WDC's comparable product is not scheduled to ship until the first half of 2027, creating a potential window for market share loss.
- A competitor's HAMR products make up approximately 40% of its nearline exabyte run rate.
- WDC's 44-terabyte HAMR product is not scheduled to ship until H1 calendar 2027.
- The stock fell 18% after its last earnings report on concerns about its margin outlook.
- News reports in August cited market concerns over the competitor's HAMR technology lead.
| KPI | Status | Rationale |
|---|---|---|
| Exabyte Shipments | 231 exabytes in Q4 FY2026 - Decelerating | The 22% year-over-year growth in the latest quarter represents a deceleration from the 34% growth reported in the prior quarter, though it is in line with the 22% growth from two quarters ago. The metric continues to grow sequentially. |
| Latest-Quarter Revenue Growth (YoY) | 43.8% year-over-year growth in the quarter ended 6/30/2026 - Decelerating | The year-over-year revenue growth rate of 43.8% in the latest quarter marks a slight slowdown from the 45.5% growth seen in the prior quarter. However, it remains significantly above the 25.2% growth from two quarters ago, indicating a very strong but moderating growth trajectory. |
| Price per Terabyte Change (YoY) | High teens increase (Q4 FY2026) | This reflects the company's pricing power and the supply/demand balance in the market. A positive change indicates a favorable pricing environment and contributes directly to revenue growth and margin expansion. |
Current Profitability vs. Future Tech Risk
BULL VIEW
WDC's dual-track roadmap (ePMR now, HAMR later) successfully bridges the technology gap, using current record profits to fund a seamless transition while locking in long-term demand with its deep customer relationships.
CORE TENSION
Can WDC's proven execution and current ePMR ramp offset a competitor's head start in next-generation HAMR technology?
PREVAILING SENTIMENT
Current evidence favors the bull case. Management has a strong record of meeting roadmap milestones, and current financial performance and forward guidance remain exceptionally strong.
BEAR VIEW
The HAMR technology gap is too wide. Seagate's lead allows it to capture the highest-value customers, eroding WDC's pricing power and market share before its own HAMR product can achieve scale in 2027.
| Timeline | Event & Metric To Watch |
|---|---|
September 17, 2026 | Quarterly Cash Dividend Payment Watch: Company to pay a cash dividend of $0.15 per share of common stock. |
9/21/2026 | Peer Technology Milestone Watch: Seagate's earnings call for updates on its HAMR ramp, customer qualifications, and market share commentary. |
10/28/2026 | Margin Outlook Disappoints Watch: Q2 gross margin guidance in the next earnings report; commentary on pricing and cost reduction trajectory. |
10/28/2026 | Next Earnings Report Watch: Company scheduled to report its next quarterly earnings. |
11/9/2026 | Peer Earnings Report Watch: Peer Dell Technologies (DELL) is scheduled to report earnings. |
second half of calendar year 2026 | New ePMR Drive Ramp Watch: Company to begin volume production of 40-terabyte ePMR drives. |
in the next few months | Convertible Note Tendering Watch: Company expects remaining $367 million of 2028 Convertible Notes to be tendered for conversion. |
January 2027 | Revolving Credit Facility Maturity Watch: Company's $350 million Revolving Credit Facility matures. |
in the next few months | Convertible Note Conversion Watch: Company announcements regarding the tendering and settlement of convertible notes and the number of shares issued. |
| Date | Event | Stock Impact |
|---|---|---|
2026-08-15 | Settled Convertible Notes Details: In June 2026, the company entered into exchange agreements with holders of $858 million in principal of its 2028 Convertible Notes, settling the obligation for cash and shares. | +4.4% $487.29 -> $508.80 |
2026-08-15 | Monetized Debt with Sandisk Shares Details: In February 2026, the company executed a series of transactions to monetize Sandisk shares and further reduce its outstanding debt, retiring its Bridge Loan and Term Loan A-3. | +4.4% $487.29 -> $508.80 |
2026-08-05 | Reported Q4 Earnings, Stock Fell Details: On August 5, 2026, the company reported Q4 revenue growth of 44% and raised Q1 guidance. However, the stock had a two-day reaction of -18.0% on lofty expectations. | -17.7% $548.56 -> $451.52 |
2026-07-28 | Rival Set High Margin Bar Details: On July 28, 2026, competitor Seagate reported its earnings, delivering non-GAAP gross margin of 52.7% and guiding for strong sequential growth, setting high market expectations for the sector. | -7.2% $497.92 -> $462.04 |
2026-05-06 | Announced Equity-for-Equity Exchange Details: On May 6, 2026, the company announced exchange agreements to receive an aggregate of 1,865,801 shares of its own common stock in exchange for 653,203 shares of Sandisk common stock. | -0.3% $465.14 -> $463.79 |
2026-04-30 | Reported Strong Q3 Results Details: The company reported fiscal Q4 results on April 30, 2026. The stock had a positive two-day reaction of 5.0% versus 0.0% for the S&P 500. | +4.5% $412.65 -> $431.41 |
2026-03-04 | Analyst Highlights Structural Shift Details: A March press report noted a structural transformation, with the company divesting SanDisk, reducing debt, and focusing on high-margin nearline HDDs for cloud customers. | +3.4% $250.42 -> $258.96 |
Position Sizing
1% - 2%
MINIMAL POSITION
Sizing is volatility-based: WDC trades at roughly 76% annualized options-implied volatility versus about 13% for the S&P 500 (6.0x the market), around the 50th percentile of its own trailing year. A 1% - 2% position keeps a single-name swing of that size within a diversified portfolio's risk budget.
Diversification Alternatives
STX - Seagate Technology
Direct CompetitorSeagate offers direct exposure to the same HDD market dynamics but with a current lead in shipping next-generation HAMR technology, which may appeal to investors prioritizing technology leadership over current margins.
MU - Micron Technology
Broader AI InfrastructureMicron provides exposure to the AI buildout through the memory (DRAM/NAND) market, which is a different, larger part of the technology stack. It offers diversification away from the HDD-specific technology race.
A pure-play HDD manufacturer acting as a primary arms dealer for the AI-driven data explosion, with significant operating leverage in a supply-constrained market.
Western Digital is a direct beneficiary of the compounding data generated by AI and cloud growth. As a focused HDD provider, it offers the most cost-effective solution for mass-scale data storage, which comprises roughly 80% of data in hyperscale data centers. In a tight market, the company is leveraging its technology roadmap and deep customer relationships to lock in long-term demand and exercise significant pricing power, driving rapid margin expansion.
Sustained exabyte growth above 25%, successful volume ramp of 40TB ePMR and 44TB HAMR drives, and announcements of new or extended long-term agreements with hyperscalers.
A slowdown in cloud/AI capital expenditures, significant market share loss to Seagate's HAMR products, or an unexpected easing of supply constraints leading to pricing pressure.
Short-term stock price volatility unrelated to fundamental supply/demand dynamics, such as reactions to a competitor's earnings that don't alter WDC's own outlook or customer commitments.
Repricing Catalyst
The successful execution of its high-capacity product roadmap (40TB ePMR and 44TB HAMR) and continued margin expansion driven by favorable pricing under long-term agreements in a supply-constrained market.
Western Digital — Investor Video Playlist
Industry Resources
| Information Technology Resources |
| TechCrunch |
| Wired |
| CIO |
| MIT Technology Review |
| Gartner Insights |
| Ars Technica |
| Technology Hardware, Storage & Peripherals Resources |
| The Verge |
| TechRadar |
| Tom’s Hardware |
| PCMag |
| CNET |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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