Lumida
/WDC
⌘K
Western Digital Corp

Western Digital Corp

WDC
$477.22USD↑+2.23%+10.41 today

MARKET CAP

164.5B

P/E (TTM)

57.6x

FWD P/E

28.3x

DAY RANGE

$431 – $493

52W RANGE

$66
$800

AI Summary

Stalk
TrimMedium

WDC remains in a pronounced Stage 4 decline characterized by sequential lower highs and lower lows, keeping price below declining EMAs. A recent oversold bounce lacks structural repair as price remains under short-term EMAs, confirming supply dominance. Medium-term bias stays bearish, and execution is deferred selling into rallies around the 9/21EMA and 50DMA zones. Momentum + EPS strategy aligns with trimming into strength.

  • ↑Q3 FY2026 revenue rose 45% YoY to $3.3B; gross margin expanded to 50.5%.
  • ↑Operating income jumped 116% YoY to $1.3B, yielding a 38.6% operating margin.
  • ↓Forward P/S at 13.11x vs five-year avg 4.56x and 29x EV/EBITDA suggest overvaluation.
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Western Digital Corporation (NASDAQ: WDC) is a global leader in data storage solutions, primarily focusing on high-capacity hard disk drives (HDD) and flash storage technologies. The company is strategically positioned to capitalize on the rapid demand growth driven by artificial intelligence (AI) applications and the expanding cloud computing landscape. Backed by strong performance metrics and long-term customer agreements, Western Digital aims to enhance its product offerings, specifically targeted at hyperscale cloud customers whose storage needs are increasing exponentially.

Bull says

  • ↑Q3 FY2026 revenue rose 45% YoY to $3.3B; gross margin expanded to 50.5%.
  • ↑Operating income jumped 116% YoY to $1.3B, yielding a 38.6% operating margin.
  • ↑AI-driven storage demand forecast above 25% CAGR, backed by long-term hyperscaler deals.
  • ↑Dividend hiked 20% to $0.15; $2.2B returned in share buybacks and dividends.
  • ↑High profitability, momentum, and analyst revision factors signal strong investor interest.
  • ↑R&D in Ultra-SMR and HAMR drives to support next-gen high-capacity products.

Bear says

  • ↓Forward P/S at 13.11x vs five-year avg 4.56x and 29x EV/EBITDA suggest overvaluation.
  • ↓Negative earnings yield (-1.67%) and low book-to-price warn of stretched valuation.
  • ↓Stock volatility score >1.5 indicates notable price swings and timing risk.
  • ↓NAND flash competition and SSD pricing pressure could erode HDD demand.
  • ↓Execution risks in ePMR/HAMR ramp-ups may delay production and revenue.
  • ↓Macro headwinds from tariffs and potential economic slowdown could dampen enterprise spending.

Investment themes with WDC

High Beta↓ -0.12%

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Earnings Call · Q3 2026 · Mgmt. Guidance

Updated 05-01-2026bullish

Transcript signals

Bull points

  • We are referring only to WD as a company
  • the demand for storage is increasing because storage is persistent, right?
  • this ongoing data storage requirements to support training, improvements in training, to support the demands of inference, and to support synthetic data being driven by physical AI.
Read full transcript analysis ›