Andra AP fonden reduced its stake in Western Digital Corporation (NASDAQ:WDC – Free Report) by 68.6% during the 1st quarter, according to the company in its most recent filing with the SEC. The fund owned 81,737 shares of the data storage provider’s stock after selling 178,663 shares during the quarter. Andra AP fonden’s holdings in Western Digital were worth $22,109,000 at the end of the most recent reporting period.
Other institutional investors have also recently added to or reduced their stakes in the company. Wilkerson Advisory Group LLC grew its stake in shares of Western Digital by 114.7% in the first quarter. Wilkerson Advisory Group LLC now owns 249 shares of the data storage provider’s stock valued at $67,000 after buying an additional 133 shares in the last quarter. MWA Asset Management acquired a new position in Western Digital during the 1st quarter worth about $101,000. Convergence Investment Partners LLC purchased a new position in Western Digital during the 1st quarter valued at about $5,457,000. Legacy Wealth Managment LLC ID grew its position in Western Digital by 105,371.4% in the 1st quarter. Legacy Wealth Managment LLC ID now owns 7,383 shares of the data storage provider’s stock valued at $1,997,000 after acquiring an additional 7,376 shares in the last quarter. Finally, Florida Financial Advisors LLC grew its position in Western Digital by 26.4% in the 1st quarter. Florida Financial Advisors LLC now owns 12,455 shares of the data storage provider’s stock valued at $3,369,000 after acquiring an additional 2,602 shares in the last quarter. Institutional investors and hedge funds own 92.51% of the company’s stock.
More Western Digital News Here are the key news stories impacting Western Digital this week:
Positive Sentiment: Western Digital is benefiting from a rebound in memory stocks as investors step back in after last week’s selloff, improving sentiment across the semiconductor group. Micron Jumps 5%, SanDisk Rises 6%, Western Digital Climbs 4% as Memory Stocks Rebound With Chips Positive Sentiment: Morgan Stanley’s view that the memory-stock selloff created a strong entry point is encouraging dip-buying in Western Digital and other chip names. The Memory Stock Sell-Off Created a ‘Strong Entry Point,’ Says Morgan Stanley. Investors Are Buying In. Neutral Sentiment: Western Digital Malaysia was recognized for advancing sustainable AI infrastructure, which supports the company’s AI narrative but is unlikely to be the main stock-moving catalyst today. WD Malaysia Recognized for Advancing Sustainable AI Infrastructure Western Digital Trading Up 2.1% Western Digital stock opened at $487.42 on Tuesday. The stock has a market cap of $168.00 billion, a P/E ratio of 29.10 and a beta of 2.11. The company has a fifty day simple moving average of $560.32 and a 200-day simple moving average of $388.23. Western Digital Corporation has a 12-month low of $66.04 and a 12-month high of $799.87.
Western Digital (NASDAQ:WDC – Get Free Report) last posted its earnings results on Thursday, April 30th. The data storage provider reported $2.72 EPS for the quarter, beating the consensus estimate of $2.39 by $0.33. The firm had revenue of $3.34 billion for the quarter, compared to analyst estimates of $3.25 billion. Western Digital had a return on equity of 42.95% and a net margin of 55.29%.Western Digital’s revenue for the quarter was up 45.5% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.36 earnings per share. Western Digital has set its Q4 2026 guidance at 3.100-3.400 EPS. As a group, sell-side analysts forecast that Western Digital Corporation will post 9.61 earnings per share for the current fiscal year.
Western Digital Increases Dividend The firm also recently announced a quarterly dividend, which was paid on Wednesday, June 17th. Stockholders of record on Friday, June 5th were given a dividend of $0.15 per share. This is a boost from Western Digital’s previous quarterly dividend of $0.12. The ex-dividend date of this dividend was Friday, June 5th. This represents a $0.60 annualized dividend and a dividend yield of 0.1%. Western Digital’s dividend payout ratio is 3.58%.
Insiders Place Their Bets In other Western Digital news, CEO Irving Tan sold 20,000 shares of the firm’s stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $411.84, for a total transaction of $8,236,800.00. Following the sale, the chief executive officer owned 598,150 shares of the company’s stock, valued at approximately $246,342,096. This trade represents a 3.24% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bruce E. Kiddoo sold 750 shares of the business’s stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $528.52, for a total transaction of $396,390.00. Following the sale, the director owned 3,903 shares of the company’s stock, valued at $2,062,813.56. This represents a 16.12% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 28,959 shares of company stock worth $12,631,666 in the last three months. 0.18% of the stock is owned by company insiders.
Analyst Ratings Changes WDC has been the topic of several research reports. Wells Fargo & Company increased their price target on shares of Western Digital from $575.00 to $730.00 and gave the stock an “overweight” rating in a research report on Friday, July 10th. UBS Group reissued a “neutral” rating and issued a $560.00 price target on shares of Western Digital in a research report on Monday, July 13th. Weiss Ratings raised Western Digital from a “buy (b-)” rating to a “buy (b)” rating in a research report on Monday, July 13th. Morgan Stanley increased their price objective on Western Digital from $488.00 to $650.00 and gave the company an “overweight” rating in a research note on Monday, June 15th. Finally, Susquehanna lifted their target price on Western Digital from $360.00 to $500.00 and gave the company a “neutral” rating in a report on Wednesday, July 8th. Two analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat.com, Western Digital presently has an average rating of “Moderate Buy” and an average target price of $520.32.
View Our Latest Stock Report on WDC
Western Digital Profile (Free Report)
Western Digital Corporation is a global data storage company that designs, manufactures and sells a broad range of storage devices and systems for personal, enterprise and cloud applications. Headquartered in San Jose, California, the company develops hard disk drives (HDDs), solid-state drives (SSDs), NAND flash components and finished storage products used in PCs, external storage, servers, network-attached storage (NAS) and embedded systems.
Its product portfolio spans consumer and commercial markets, including internal and external HDDs and SSDs, removable flash memory products and storage platforms for data center and enterprise environments.
See Also Five stocks we like better than Western Digital The Ugliest Stocks in the Market Just Got a Very Expensive Vote of Confidence Is Domino’s Stock Serving Up a Buying Opportunity? A $1T Black Hole: SpaceX Eyes Pentagon AI to Break Free Why Gold Miners Could Be the Market’s Biggest Comeback Story
Receive News & Ratings for Western Digital Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Western Digital and related companies with MarketBeat.com's FREE daily email newsletter.
« PREVIOUS HEADLINEAndra AP fonden Has $21.97 Million Stock Holdings in Shopify Inc. $SHOP
NEXT HEADLINE »Bessemer Group Inc. Has $4.35 Million Stock Position in Red Rock Resorts, Inc. $RRR
Bessemer Group Inc. boosted its stake in shares of Western Digital Corporation (NASDAQ:WDC – Free Report) by 23.0% during the 1st quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 15,465 shares of the data storage provider’s stock after purchasing an additional 2,896 shares during the period. Bessemer Group Inc.’s holdings in Western Digital were worth $4,184,000 at the end of the most recent quarter.
Several other institutional investors and hedge funds also recently bought and sold shares of WDC. Norges Bank bought a new position in shares of Western Digital in the fourth quarter worth about $788,729,000. Northern Trust Corp grew its stake in shares of Western Digital by 11.2% during the 3rd quarter. Northern Trust Corp now owns 3,805,463 shares of the data storage provider’s stock valued at $456,884,000 after acquiring an additional 384,103 shares during the period. Soroban Capital Partners LP increased its holdings in Western Digital by 1,926.3% in the 2nd quarter. Soroban Capital Partners LP now owns 3,061,134 shares of the data storage provider’s stock worth $195,882,000 after acquiring an additional 2,910,062 shares in the last quarter. AQR Capital Management LLC increased its holdings in Western Digital by 70.4% in the 4th quarter. AQR Capital Management LLC now owns 2,972,703 shares of the data storage provider’s stock worth $512,107,000 after acquiring an additional 1,228,661 shares in the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in Western Digital by 6.0% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,809,409 shares of the data storage provider’s stock worth $483,977,000 after acquiring an additional 159,167 shares during the period. 92.51% of the stock is currently owned by hedge funds and other institutional investors.
Key Headlines Impacting Western Digital Here are the key news stories impacting Western Digital this week:
Positive Sentiment: Western Digital is benefiting from a rebound in memory stocks as investors step back in after last week’s selloff, improving sentiment across the semiconductor group. Micron Jumps 5%, SanDisk Rises 6%, Western Digital Climbs 4% as Memory Stocks Rebound With Chips Positive Sentiment: Morgan Stanley’s view that the memory-stock selloff created a strong entry point is encouraging dip-buying in Western Digital and other chip names. The Memory Stock Sell-Off Created a ‘Strong Entry Point,’ Says Morgan Stanley. Investors Are Buying In. Neutral Sentiment: Western Digital Malaysia was recognized for advancing sustainable AI infrastructure, which supports the company’s AI narrative but is unlikely to be the main stock-moving catalyst today. WD Malaysia Recognized for Advancing Sustainable AI Infrastructure Insider Activity at Western Digital In related news, CEO Irving Tan sold 20,000 shares of the business’s stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $411.84, for a total value of $8,236,800.00. Following the sale, the chief executive officer directly owned 598,150 shares in the company, valued at approximately $246,342,096. The trade was a 3.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bruce E. Kiddoo sold 750 shares of the firm’s stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $528.52, for a total value of $396,390.00. Following the transaction, the director owned 3,903 shares of the company’s stock, valued at $2,062,813.56. This represents a 16.12% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 28,959 shares of company stock worth $12,631,666 over the last 90 days. Company insiders own 0.18% of the company’s stock.
Analyst Upgrades and Downgrades Several brokerages have weighed in on WDC. JPMorgan Chase & Co. lifted their price target on shares of Western Digital from $530.00 to $650.00 and gave the company an “overweight” rating in a report on Friday, June 12th. Fox Advisors cut shares of Western Digital from an “overweight” rating to an “equal weight” rating in a research note on Monday, June 22nd. Rosenblatt Securities upped their target price on shares of Western Digital from $340.00 to $500.00 and gave the stock a “buy” rating in a report on Friday, May 1st. Susquehanna increased their price target on Western Digital from $360.00 to $500.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 8th. Finally, Melius Research set a $1,050.00 price target on Western Digital and gave the stock a “buy” rating in a research note on Monday, June 29th. Two analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $520.32.
View Our Latest Stock Report on Western Digital
Western Digital Price Performance Western Digital stock opened at $487.42 on Tuesday. The stock has a market cap of $168.00 billion, a P/E ratio of 29.10 and a beta of 2.11. Western Digital Corporation has a 1 year low of $66.04 and a 1 year high of $799.87. The firm’s 50 day moving average price is $560.32 and its 200-day moving average price is $388.23.
Western Digital (NASDAQ:WDC – Get Free Report) last released its earnings results on Thursday, April 30th. The data storage provider reported $2.72 EPS for the quarter, topping the consensus estimate of $2.39 by $0.33. The firm had revenue of $3.34 billion for the quarter, compared to the consensus estimate of $3.25 billion. Western Digital had a net margin of 55.29% and a return on equity of 42.95%. The company’s quarterly revenue was up 45.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.36 earnings per share. Western Digital has set its Q4 2026 guidance at 3.100-3.400 EPS. As a group, equities analysts expect that Western Digital Corporation will post 9.61 EPS for the current year.
Western Digital Increases Dividend The business also recently declared a quarterly dividend, which was paid on Wednesday, June 17th. Shareholders of record on Friday, June 5th were paid a $0.15 dividend. This represents a $0.60 annualized dividend and a yield of 0.1%. The ex-dividend date was Friday, June 5th. This is an increase from Western Digital’s previous quarterly dividend of $0.12. Western Digital’s dividend payout ratio is presently 3.58%.
Western Digital Profile (Free Report)
Western Digital Corporation is a global data storage company that designs, manufactures and sells a broad range of storage devices and systems for personal, enterprise and cloud applications. Headquartered in San Jose, California, the company develops hard disk drives (HDDs), solid-state drives (SSDs), NAND flash components and finished storage products used in PCs, external storage, servers, network-attached storage (NAS) and embedded systems.
Its product portfolio spans consumer and commercial markets, including internal and external HDDs and SSDs, removable flash memory products and storage platforms for data center and enterprise environments.
Recommended Stories Five stocks we like better than Western Digital The Ugliest Stocks in the Market Just Got a Very Expensive Vote of Confidence Is Domino’s Stock Serving Up a Buying Opportunity? A $1T Black Hole: SpaceX Eyes Pentagon AI to Break Free Why Gold Miners Could Be the Market’s Biggest Comeback Story Want to see what other hedge funds are holding WDC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Western Digital Corporation (NASDAQ:WDC – Free Report).
Receive News & Ratings for Western Digital Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Western Digital and related companies with MarketBeat.com's FREE daily email newsletter.
Western Digital čeká, že AI poháněný růst dat zvýší dlouhodobou poptávku po HDD na více než 25% CAGR. Firma zároveň po oddělení flash byznysu do SanDisk dál rozvíjí nové technologie HDD pro hyperscalery.
Key Takeaways Western Digital expects AI-driven data growth to boost long-term HDD storage demand above 25% CAGR.WDC sharpened its HDD focus after separating its flash business into Sandisk to serve hyperscalers.WDC is advancing new HDD technologies to improve throughput and support large-scale AI deployments. The surge in data creation is creating a growing opportunity for storage companies, particularly Western Digital Corporation (WDC - Free Report) . The rapid shift from AI training to large-scale inference is driving an explosion in data creation, significantly increasing demand for persistent, scalable, and cost-effective storage—most of which resides on HDDs. Western Digital expects the rise of agentic AI, which autonomously executes workflows, to further accelerate data generation and extend data retention, boosting storage demand across cloud and enterprise environments.
At the same time, synthetic data and physical AI applications, such as robotics and autonomous systems, are creating massive volumes of video, sensor and training data, forming a compounding cycle of data growth. As a result, WDC believes the AI-driven data economy will drive long-term data storage demand at more than 25% CAGR, positioning its high-capacity HDD roadmap to benefit from this trend. WDC’s quarterly trends have shown massive revenue growth, improving gross margins, better pricing discipline and strong enterprise demand. It has also sharpened its focus following the separation of its flash business intoSandisk (SNDK - Free Report) , allowing management to concentrate on advancing HDD technologies and serving hyperscale customers more effectively.
Moreover, AI pipelines increasingly demand higher throughput, an area where flash has traditionally dominated. WD has introduced two industry-first technologies that fundamentally change HDD performance dynamics – High Bandwidth Drive Technology and Dual Pivot Technology. High Bandwidth Drive technology is already in customers’ hands for validation, while HDDs featuring Dual Pivot technology remain in the lab and are slated for introduction in 2028. On the other hand, power-optimized drives are expected to be in customer qualification in 2027, effectively creating a new economic storage tier between warm and cold data, critical for sustainable AI deployments at scale.
However, Western Digital competes with well-funded rivals like Seagate Technology Holdings plc (STX - Free Report) in HDDs and several major NAND manufacturers in flash technologies.
AI Presents Huge Potential: Can WDC Outpace Peers?The rise of AI-driven inference workloads is increasing demand for both cloud and edge storage, with growing interest from sovereign and neo-cloud data centers in Seagate’s enterprise nearline drives and storage systems. Seagate is capitalizing on this trend through its focus on areal-density innovation rather than unit-volume growth. Its HAMR-based Mozaic platform exemplifies this strategy, with the second-generation Mozaic 4+ delivering up to 44TB per drive—more than 30% higher capacity than the first generation. Enhanced by Seagate’s proprietary laser and integrated photonics technology, the platform improves storage density, cost efficiency and scalability, supporting the company’s targeted mid-20% annual data-center exabyte growth.
Sandisk is benefiting from AI-led demand that is lifting enterprise SSD adoption and supporting pricing across NAND end markets. NAND is becoming a critical part of AI inference architectures such as KV cache and RAG, which expands low-latency flash needs beyond the model itself. In February 2026, Sandisk and SK hynix launched a joint initiative to standardize High Bandwidth Flash, a next-generation memory solution designed for the growing demands of AI inference. The effort reflects a broader industry shift from AI model training to inference, where efficient memory systems are critical to handle increasing data workloads and enable future AI infrastructure growth.
WDC Price Performance, Valuation and EstimatesIn the past year, shares of WDC have surged 586.5% compared with the Zacks Computer-Storage Devices industry’s growth of 381.6%.
Image Source: Zacks Investment Research
Going by the price/earnings ratio, the company’s shares currently trade at 24.35 forward earnings compared with 10.63 for the industry.
Image Source: Zacks Investment Research
WDC’s estimate revisions are on an upward trajectory currently. The Zacks Consensus Estimate for WDC’s earnings for fiscal 2026 has been revised north by 0.4% to $10.06 over the past 60 days, while the same for fiscal 2027 has gone up 8.4% to $18.64.
Image Source: Zacks Investment Research
Currently, Western Digital has a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Western Digital čeká ve 4. fiskálním čtvrtletí 2026 tržby kolem 3,65 miliardy USD a vyšší marže díky silné poptávce po AI úložištích. Seagate také očekává tržby kolem 3,45 miliardy USD, tažené růstem poptávky po datových centrech.
Key Takeaways Western Digital expects stronger Q4 FY2026 revenues and higher margins on robust AI storage demand. Seagate projects higher Q4 FY2026 revenues, backed by growing data-center storage demand and cash flow.Western Digital and Seagate project strong earnings growth as AI storage demand remains robust. The boom in artificial intelligence (AI) has led to persistent demand for NVIDIA Corporation’s (NVDA - Free Report) state-of-the-art AI hardware, including graphics processing units and Blackwell chips. That demand propelled NVIDIA to become the world’s most valuable company, with a market capitalization of over $4 trillion, and its stock has delivered strong returns over the past few years.
However, NVIDIA’s growth has led to the company trading at a premium in comparison to most of the other semiconductor players, leaving little room for disappointment if growth derails. A slowdown in AI infrastructure spending by hyperscale cloud providers could impact NVIDIA’s revenue and earnings growth, while competition from rivals like Advanced Micro Devices, Inc. (AMD - Free Report) continues to increase.
At the same time, U.S. export curbs on cutting-edge AI chips to China have constrained NVIDIA’s entry to a key market, potentially pressuring its margins. Additionally, NVIDIA remains exposed to supply-chain disruptions due to its dependency on Taiwan Semiconductor Manufacturing Company Limited (TSM - Free Report) for advanced chip production amid ongoing geopolitical tensions.
Given these challenges, it’s becoming increasingly difficult for NVIDIA to meet sky-high expectations. Thus, investors seeking AI exposure should look for much smaller companies with greater room for expansion. Notable among them are Western Digital Corporation (WDC - Free Report) and Seagate Technology Holdings plc (STX - Free Report) , whose shares have soared 662.8% and 464.5%, respectively, over the past year, outpacing NVIDIA’s gain of 22.6%.
Both Western Digital and Seagate stand to gain from the rapid growth in AI-driven demand for data storage. Let’s take a closer look at the key catalysts that could drive further upside in these AI stocks –
Western Digital’s AI Storage Boom Could Drive Further Upside Rising demand for high-value enterprise hard disk drives and a favorable pricing environment have created a solid growth runway for Western Digital. The company’s revenues totaled $3.34 billion in the fiscal third quarter of 2026, up 45% year over year, according to the company’s press release.
Furthermore, the company expects revenues for the fiscal fourth quarter of 2026 to be about $3.65 billion, plus or minus $100 million. The upbeat guidance reflects robust demand for AI infrastructure, with cloud providers and enterprise customers continuing to invest in high-capacity storage to meet increasing AI workloads.
In the fiscal third quarter, Western Digital’s non-GAAP gross margin rose to 50.5% from 40.1% in the prior-year period. The company projects further margin expansion, with fiscal fourth-quarter non-GAAP gross margin expected to reach 51-52%. The improving gross margin is providing Western Digital with greater financial flexibility to invest in research and development, enhance earnings growth and create long-term value for shareholders.
As a result, the company’s expected earnings growth rate for the current year is 104.1%. The Zacks Consensus Estimate of $10.06 for WDC’s earnings per share (EPS) is up 54.8% year over year.
Image Source: Zacks Investment Research
Seagate’s AI Infrastructure Play Gains Momentum Amid Rising Demand Seagate is well-positioned to sustain its growth momentum, banking on rising data-center storage demand, expanding margins, and robust cash flows. These favorable trends could provide the required upside for Seagate’s shares, strengthening its position as a potential beneficiary of the AI infrastructure boom.
For the fiscal fourth quarter of 2026, Seagate expects revenues of around $3.45 billion, plus or minus $100 million, more than the $3.11 billion reported in the fiscal third quarter of 2026, according to investors.seagate.com.
Moreover, a non-GAAP gross margin of 47% in the fiscal third quarter reflected improved operational execution and enhanced profitability. Additionally, the company’s free cash flow of $953 million in the fiscal third quarter showcased the strength in its core business.
Supported by these trends, Seagate’s expected earnings growth rate for the current year stands at 84.3%, while the Zacks Consensus Estimate of $14.93 for STX’s EPS represents a 47.5% increase from the prior-year period.
Image Source: Zacks Investment Research
Both Western Digital and Seagate currently have a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.
Continued supply shortages, dramatic price increases, surging AI demand, and persistent competition across international markets have all contributed to volatility in the computer memory industry. With the impending IPO of China's ChangXin Memory Technologies, the landscape is likely to only become more competitive and uncertain in the near-term. Still, many tech firms are scrambling to secure supply despite an intensifying marketplace and new competition.
The result is an environment that could be beneficial to many participants in the memory storage space, although for different reasons. Makers of hard disk drives (HDDs) face different challenges and opportunities than companies behind NAND flash tools or enterprise solid-state drives (SSDs), for instance. This means that companies including Seagate Technology NASDAQ: STX, Western Digital Corp. NASDAQ: WDC, and Sandisk Corp. NASDAQ: SNDK can all find a niche and, potentially, room for further share price appreciation.
Get Western Digital alerts:
Seagate's HDD Business Soars, But What Upside Remains?Overall MarketRank™94th Percentile
Analyst RatingModerate Buy
Upside/Downside8.5% Upside
Short Interest LevelHealthy
Dividend StrengthWeak
News Sentiment0.93 Insider TradingSelling Shares
Proj. Earnings Growth91.80%
See Full Analysis
Seagate is a major manufacturer of HDDs, which are increasingly popular among hyperscalers because they remain cheaper alternatives to some other types of memory products. The company is also an emerging leader in heat-assisted magnetic recording (HAMR), an advanced technology that may be poised for a demand surge in the coming years.
This positioning has benefited Seagate's financial performance considerably: in the latest quarter, the company grew revenue by 44% year over year (YOY) to $3.1 billion while achieving a non-GAAP gross margin of 47%. Both top- and bottom-line performance came in well ahead of analyst expectations, as the firm beat predictions for earnings per share (EPS) by a solid 59 cents. HAMR momentum in particular helped to drive some of these gains.
Strong guidance for the foreseeable future and a long-term revenue growth target of at least 20% per year suggest that Seagate may be able to continue to ride this momentum, which has already contributed to shares coming close to tripling year to date (YTD). Even still, analysts expect additional upside, with a consensus price target close to $899, and 22 of 27 ratings for STX are Buys.
What investors might watch out for with this stock are its potential for future growth, given its dramatic rally in recent months, as well as its heavy reliance on HDDs and related technologies.
Western Digital's Cleaner Post-Spin-Off Business Finds Its LegsOverall MarketRank™88th Percentile
Analyst RatingModerate Buy
Upside/Downside1.3% Upside
Short Interest LevelHealthy
Dividend StrengthWeak
News Sentiment0.76 Insider TradingSelling Shares
Proj. Earnings Growth87.71%
See Full Analysis
Western Digital has had almost a year and a half since officially spinning off Sandisk as a separate company focused on flash memory and SSD. The result is a company that is streamlined to focus on enterprise HDDs, with strong pricing and improving profitability metrics. While the firm is likely behind Seagate on its capacity to commercialize HAMR products and has a smaller share of the enterprise HDD space, its long-term agreements give it strong support for years to come.
In the most recent quarter, Western Digital boosted revenue by 45% YOY to $3.3 billion while almost doubling EPS over the same period. Its gross margin of 50.5% is also notable, as the firm was able to cut more than $3 billion in debt and generated close to $1 billion in free cash flow. At the same time, Western Digital has been aggressive about shareholder value returns, repurchasing $752 million in stock last quarter and boosting its dividend in the process.
Like STX, WDC shares have almost tripled YTD, and analysts suspect that this momentum may have stalled somewhat. Still, 20 out of 24 call WDC a Buy heading into the second half of the year.
Sandisk Stock Remains in Focus After Its Spin-OffOverall MarketRank™89th Percentile
Analyst RatingModerate Buy
Upside/Downside11.7% Upside
Short Interest LevelHealthy
Dividend StrengthWeak
News Sentiment0.63 Insider TradingSelling Shares
Proj. Earnings Growth186.42%
See Full Analysis
Investors considering Western Digital will also want to look at how Sandisk has fared after the spin-off. SNDK shares are up some 458% YTD, a massive rally to be sure, but have fallen by more than 27% in the last month. This volatility makes SNDK stand out somewhat in the memory space but could also present opportunities for investors willing to accept the risk.
On the business side, Sandisk has performed exceptionally well: the latest quarter brought several multi-year new business agreements worth tens of billions of dollars, 251% YOY revenue improvement to nearly $6 billion, adjusted free cash flow of almost $3 billion, and gross margin of 78.4%. Management sees a strong quarter to come as well, including revenue between $7.75 billion and $8.25 billion and gross margin as high as 81%. The company is also engaging in a massive share buyback program.
It goes to show just how well Sandisk has done that even after the massive rally, Wall Street still sees 17% in possible upside. In terms of ratings, 21 Buys and five Holds suggest a very bullish perspective among analysts, making SNDK a standout even within a strong industry.
Should You Invest $1,000 in Western Digital Right Now?Before you consider Western Digital, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Western Digital wasn't on the list.
While Western Digital currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Click the link to see MarketBeat's list of seven stocks and why their long-term outlooks are very promising.
Western Digital ve 3. fiskálním čtvrtletí 2026 dodala 222 exabajtů, o 34 % více meziročně, a cílí na sériovou výrobu 40TB UltraSMR v druhé polovině fiskálního roku 2026. HAMR má začít nabíhat v roce 2027.
Key Takeaways Western Digital is advancing HAMR and ePMR to meet rising AI and cloud storage demand.WDC shipped 222 exabytes in fiscal Q3 2026, up 34% year over year, including 32TB ePMR drives.Western Digital targets 40TB UltraSMR volume production in fiscal 2026 and HAMR ramp in 2027. Western Digital Corporation (WDC - Free Report) is advancing its Heat-Assisted Magnetic Recording (HAMR) strategy to support rising demand for high-capacity storage in the AI-driven data economy. As artificial intelligence (AI) adoption and cloud computing continue to accelerate data creation, the company believes the need for persistent, scalable and cost-efficient storage will continue to increase.
On the last earnings call, management highlighted that AI training, inferencing, the emergence of agentic AI, synthetic data generation and physical AI applications, including robotics and autonomous vehicles, are expected to drive long-term storage demand CAGR of more than 25%. To address these evolving requirements, the company is expanding its HDD technology portfolio with higher-capacity drives, improved performance and lower total cost of ownership.
Western Digital continues to collaborate with hyperscale customers while advancing areal density improvements and accelerating its ePMR and HAMR roadmaps. In the third quarter of fiscal 2026, the company shipped 222 exabytes, up 34% year over year, including 4.1 million next-generation ePMR drives totaling 118 exabytes with capacities of up to 32TB. It is also expanding UltraSMR adoption, leveraging its reliability, scalability and total cost of ownership advantages for data center customers.
To strengthen its HAMR capabilities, the company acquired intellectual property and talent to enhance its in-house laser development expertise and introduced UltraSMR-enabled JBOD platforms with software ecosystem partners to broaden adoption through higher storage density and hyperscale-class performance. Firm purchase orders from its top seven customers extend through 2026, while multi-year commercial agreements with three of its top five customers continue into 2027 and 2028.
Western Digital has outlined a customer-focused storage roadmap centered on scalable capacity, improved performance, better power efficiency and faster deployment while maintaining HDD economics. Its 40TB UltraSMR ePMR HDD is targeted for volume production in the second half of fiscal 2026, while HAMR drives are expected to ramp in 2027. The roadmap extends ePMR to 60TB and scales HAMR technology toward 100TB by 2029. The company is also advancing High Bandwidth Drive Technology, Dual Pivot Technology and power-optimized drives, while expanding UltraSMR adoption and its Platforms business to support AI-scale storage deployments.
Taking a Look at WDC’s CompetitorsSeagate Technology Holdings plc (STX - Free Report) is strengthening its leadership in HAMR technology to address growing AI-driven demand for high-capacity, cost-efficient storage. Its second-generation Mozaic 4+ platform delivers up to 44TB per drive, more than 30% higher capacity than earlier versions, and is expected to dominate HAMR exabyte shipments by the end of 2026. The company has already shipped millions of HAMR drives and expects Mozaic 5, offering up to 50TB capacity, to enter qualification in late 2027. Seagate believes its HAMR roadmap, focused on increasing areal density, will support long-term exabyte growth while improving cost and power efficiency per terabyte.
NetApp, Inc. (NTAP - Free Report) is benefiting from rising enterprise demand for modern all-flash storage and hybrid cloud data management as customers scale AI workloads. Fourth-quarter fiscal 2026 results showed continued growth in all-flash, Public Cloud services and Keystone, supported by deeper hyperscaler partnerships and a larger services backlog. For fiscal 2027, management expects revenue growth to accelerate, and plans to continue returning capital to shareholders, including returning up to all free cash flow, while also investing in AI-focused product refreshes. For fiscal 2027, NetApp projects net revenues in the range of $7.325 billion to $7.575 billion.
WDC Price Performance, Valuation and EstimatesIn the past month, shares of WDC have jumped 12.3% compared with the Zacks Computer-Storage Devices industry’s growth of 5.2%.
Image Source: Zacks Investment Research
In terms of forward price/earnings, WDC shares are trading at 29.54X, higher than the industry’s 13.18X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for WDC’s earnings for fiscal 2026 has been revised north 0.4% to $10.06 over the past 60 days, while the same for fiscal 2027 has gone up 8.44% to $18.64.
Image Source: Zacks Investment Research
Currently, Western Digital has a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Key Takeaways WDC is benefiting from AI storage demand, pricing strength and enterprise infrastructure spending.Western Digital cut debt, built a net cash position and expanded share repurchase authorization.WDC's fiscal 2026 and 2027 earnings estimates have moved higher amid improving fundamentals. Western Digital Corporation (WDC - Free Report) has been a standout performer in the storage industry over the past year. Its shares have skyrocketed 723.1% over the past year, outpacing the 458.1% growth of the Zacks Computer-Storage Devices industry. The stock has also outperformed the Zacks Computer & Technology sector’s and the S&P 500’s growth of 33.7% and 23.6%, respectively. After enduring a prolonged downturn caused by weak PC demand and excess memory inventory, the company has benefited from a recovery in storage pricing, growing enterprise demand and the accelerating adoption of AI.
Image Source: Zacks Investment Research
Western Digital competes against several major players in both HDD and flash storage markets, such as Seagate Technology Holdings plc (STX - Free Report) , NetApp, Inc. (NTAP - Free Report) and Teradata (TDC - Free Report) . STX, TDC and NTAP have gained 482.8%, 60.4% and 55.4%, respectively, in the same time frame.
WDC boasts a 52-week high of $799.87. With WDC outperforming many peers over the last 12 months, investors wonder whether there is still upside potential or whether most of the gains have already been priced in.
Here's a closer look.
Industry Tailwinds Continue to Favor WDC StockSeveral broader trends continue supporting long-term storage demand, such as the AI boom, healthy cloud spending, rising enterprise digital transformation and improving operational efficiency. Driven by rising demand for AI-related storage, WD is strengthening its capacity leadership through continuous innovation. The company is advancing 44TB HAMR and 40TB ePMR high-capacity drives in qualification, with volume production expected in the second half of 2026 and a roadmap extending beyond 100TB.
It is also expanding adoption of its UltraSMR technology, now used by three major customers and supporting nearly all exabyte demand. In addition, WD is introducing high-bandwidth drives and dual-pivot technology to optimize AI workloads, while long-term customer agreements extending through 2028 and 2029 provide greater revenue visibility. AI workloads, agentic AI, synthetic data and physical AI are driving strong demand for HDD storage, with long-term exabyte growth projected to exceed 25% CAGR. As AI-generated data continues to expand, HDDs remain the preferred solution for long-term data retention in hyperscale data centers, complementing flash storage, which is optimized for high-speed performance.
Western Digital is also benefiting from higher pricing, a favorable product mix and cost efficiencies. It expects pricing momentum to continue into late 2026, while improvements in areal density, UltraSMR adoption and supply chain efficiencies are lowering costs and supporting margin expansion without requiring additional manufacturing capacity. The UltraSMR JBOD platform aims to broaden market reach, especially into Tier 2 CSPs and some hyperscalers in Asia. By the end of calendar 2027, most key customers will be on UltraSMR, either fully adopted or in qualification. The forecast indicates that close to 60% of exabytes shipped will be on UltraSMR by the end of fiscal 2027. Expansion into Tier 2 CSPs and hyperscalers is a key strategy.
The company is also considering investments in head and media capacity to support multiyear customer commitments, focusing on technological improvements rather than unit capacity. No new unit capacity investments are planned. The focus is on increasing capacity per drive through technology, such as higher aerial density and more platters. There is potential to increase capacity from 14 disks over time if it proves to be economically viable.
Spin-Off Creates New Opportunities for WDCWestern Digital has been restructuring its business by separating its flash memory operations into Sandisk (SNDK - Free Report) from its HDD business. Investors often reward companies that simplify their business models, allowing each segment to pursue strategies tailored to its specific market. During the fiscal third quarter, WDC strengthened its balance sheet by selling 5.8 million SanDisk shares and using the proceeds to reduce debt by $3.1 billion, leaving only $1.6 billion in convertible debt.
Image Source: Zacks Investment Research
The company also ended the quarter with a net cash position of $450 million and expanded its capital return program by authorizing an additional $4 billion in share repurchases. Strong free cash flow continues to support WesternDigital's shareholder return strategy. The company increased its quarterly dividend by 20%, and has returned $2.2 billion to shareholders through dividends and share repurchases since the fourth quarter of 2025. Supported by a net cash position, management remains focused on returning excess free cash flow through ongoing buybacks and dividends.
Despite the positive outlook, Western Digital remains far from risk-free. The storage industry remains highly cyclical, with supply-demand imbalances capable of quickly pressuring pricing, margins and profitability. The company also faces intense competition, while any slowdown in AI investment or broader macroeconomic weakness could reduce demand for storage infrastructure.
Upbeat Estimate Revision Trend for WDCWDC’s estimate revisions are on an upward trajectory currently. The Zacks Consensus Estimate for WDC’s earnings for fiscal 2026 has been revised north by 0.4% to $10.06 over the past 60 days, while the same for fiscal 2027 has gone up 8.4% to $18.64.
Image Source: Zacks Investment Research
Valuation ConsiderationsSeveral factors could support continued appreciation, including rising enterprise demand, a better pricing environment, improving margins, the expansion of AI infrastructure and benefits from corporate restructuring. Going by the price/earnings ratio, the company’s shares currently trade at 28.66 forward earnings compared with 12.59 for the industry.
Image Source: Zacks Investment Research
In comparison, the forward 12-month price/earnings multiple for STX, TDC and NTAP are 29.51X, 19.71X and 22.67X, respectively.
Should You Consider Buying WDC Stock Now?Western Digital’s improving fundamentals, recovering storage markets, better profitability and growing exposure to AI-driven infrastructure spending drove its strong performance. Its long-term prospects remain encouraging as cloud computing, AI and exploding global data creation continue boosting storage demand. The company's strategic restructuring could unlock further shareholder value over time. However, short-term volatility, pricing swings and macroeconomic uncertainty could create periods of weakness even if the long-term trajectory remains intact.
For long-term investors who can tolerate industry cycles, WDC still appears to offer an attractive way to participate in the growing demand for enterprise storage and AI infrastructure. While last year's outsized gains may be hard to repeat, continued execution and favorable industry trends could still support further upside.
Flaunting a Zacks Rank #1 (Strong Buy), WDC is an appealing portfolio pick at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Western Digital, kterou letos nakoupily účty spojené s Trumpem, dnes klesá o 7,86 %. Firma přitom ve fiskálním 3. čtvrtletí zvýšila tržby o 45 % na 3,34 miliardy USD.
A recent federal ethics disclosure revealed that President Donald Trump's investment accounts bought shares of Western Digital (WDC 7.86%) earlier this year. It's one of the market's biggest AI winners, up more than 2,100% since the start of 2023. And in a bit of awkward timing, the stock is falling today.
Before reading too much into it, one important caveat. The accounts are reportedly managed by third-party institutions, so the president himself wasn't responsible for the decision to buy or sell any particular security. The disclosure, released by the U.S. Office of Government Ethics, showed thousands of trades across those accounts in the first quarter. The Western Digital purchase was just one of many.
Still, the trade is a useful excuse to look at a stock that has quietly become one of the best performers in the entire market.
Image source: Getty Images.
An improbable run The purchase, disclosed in a range of $45,000 to $150,000, went into a company most people know for hard drives. And that ordinary-sounding business is exactly what's driving the stock.
The AI boom has turned out to need somewhere to put all the data it generates. Much of that data lands on the high-capacity hard disk drives Western Digital sells to cloud and data center customers. That demand has transformed the company's results. In its fiscal third quarter (the period ended April 3, 2026), revenue rose 45% year over year to $3.34 billion, and gross margin topped 50%, up from about 40% a year earlier. Non-GAAP (adjusted) earnings per share nearly doubled to $2.72.
"Virtually every AI workload, from training, inference, agentic AI to physical AI, creates data that is stored persistently and cost-efficiently on HDDs," said Western Digital CEO Irving Tan in the company's fiscal third-quarter earnings release.
Management expects the momentum to continue. It guided for fiscal fourth-quarter revenue to rise 36% to 44% year over year, with adjusted gross margin climbing further to 51% to 52%. That would extend an already remarkable run and explain why the market has repriced the stock so dramatically. A company earning better than 50-cent margins on the dollar looks very different from the low-margin drive maker investors used to shrug at.
It's also worth noting what Western Digital is today. The company spun off its flash-memory business, Sandisk, into a separate company in early 2025, leaving Western Digital focused squarely on hard disk drives. That focus has turned into an advantage: the cheap, high-capacity drives it makes are exactly what hyperscalers reach for to store the flood of data that AI systems produce and consume.
Why it's down today So why is a stock this strong falling today? It has little to do with Western Digital itself.
Samsung announced guidance for record quarterly operating profit, driven by the same AI-fueled memory demand lifting the whole sector. Yet instead of cheering, investors sold. One worry may be that results this strong might mark the top of a notoriously volatile cycle. Memory and storage stocks slid across the board, and Western Digital, up more than 200% this year as of this writing, dropped alongside them.
That's the risk hiding inside the stock's 2,100% run-up. Storage and memory have always been cyclical, with booming demand eventually leading to oversupply and ultimately resulting in lower prices (and profits).
Today's Change
(
-7.86
%) $
-45.36
Current Price
$
532.10
Does the AI storage boom justify the price? After a move this large, a stock's valuation deserves a hard look. Even after today's slide, Western Digital trades at more than 30 times forward earnings. That's a rich multiple for a business the market treated as a sleepy hardware supplier not long ago.
But a valuation like this only makes sense if the current demand surge proves durable. If AI-driven storage demand keeps growing and pricing holds, today's earnings can keep climbing and grow into the valuation over time. On the other hand, if the cycle turns, shares could crater.
So, is Western Digital a buy after its enormous run?
I'd be cautious here. The business is booming, and the AI storage demand behind it is no mirage. But buying a cyclical stock just weeks after it set record highs, at more than 30 times earnings, after a 2,100% run, leaves little room for error if the cycle cools. Today's sell-off, triggered by good news rather than bad, is a reminder of how quickly sentiment can shift in this corner of the market.
Melius Research zahájila pokrytí Seagate a Western Digital s doporučením koupit a cílovými cenami zhruba o 55 % nad aktuální cenou. Obě firmy těží z poptávky po AI, silných marží a vysokého volného cash flow.
CNBC’s Oliver Renick highlighted a split in investor sentiment on his Options Action segment this morning. Melius Research initiated coverage of Seagate and Western Digital as Buy-rated stocks, with price targets about 55% above current levels. Renick reported that options flow leaned bullish in each stock, with roughly twice as many calls bought as puts, but that overall volume was “surprisingly muted” compared with the heat in adjacent memory names.
Seagate: Margins and Cash Flow Reset Higher Seagate Technology (NASDAQ:STX | STX Price Prediction) closed its March quarter with revenue of $3.11 billion, up 44.1% year over year, and non-GAAP EPS of $4.10 against a $3.50 consensus. Non-GAAP gross margin printed at 47.0%, up from 36.2% a year earlier, and free cash flow reached $953 million versus $216 million in the prior-year quarter. The company also retired roughly $641 million in debt during the quarter.
CEO Dave Mosley framed the setup as durable, telling investors that, “Seagate is entering a new era of structural growth as AI applications amplify data creation and support sustained storage demand.” Guidance for the June quarter calls for revenue of $3.45 billion plus or minus $100 million and non-GAAP EPS of $5.00 plus or minus $0.20.
Western Digital: A Pure-Play HDD Story Crosses 50% Gross Margin Western Digital (NASDAQ:WDC), now a pure-play HDD company after the February 2025 spin-off of its Flash business into Sandisk, reported Q3 FY2026 revenue of $3.337 billion, up 45.47% year over year, with non-GAAP EPS of $2.72 versus a $2.392 estimate. Non-GAAP gross margin reached 50.5%, and free cash flow came in at $978 million.
CEO Irving Tan tied the result to AI workloads, stating that “Virtually every AI workload, from training, inference, agentic AI to physical AI, creates data that is stored persistently and cost-efficiently on HDDs.” Management also raised the quarterly cash dividend by 20% to $0.15 per share and repurchased $752 million of stock during the quarter. Q4 FY2026 guidance calls for revenue of about $3.65 billion, non-GAAP gross margin of 51%-52%, and non-GAAP EPS of $3.25 plus or minus $0.15.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Western Digital didn't make the cut. Grab the names FREE today.
Memory Stocks Are Sending a Different Signal While Seagate and Western Digital attracted modestly bullish options activity, the rest of the memory sector looked far less optimistic. Renick noted that Micron was the most actively traded name of the morning, with nearly 300,000 options contracts changing hands and implied volatility around 100. Even so, the stock remained only slightly above its pre-earnings level, suggesting traders are still uncertain about its near-term direction.
SanDisk also came under pressure, with more than twice as many call options sold as bought. The bearish positioning coincided with reports that South Korean rivals SK Hynix and Samsung plan to invest roughly $500 billion in new manufacturing hubs. Renick also noted that the DRAM ETF was down 6.5%, underscoring the broader weakness across memory stocks.
What Investors Should Watch Next Melius Research believes Seagate and Western Digital are well positioned to benefit from a favorable supply-and-demand backdrop in hard disk drives, a thesis supported by both companies’ record margins, strong free cash flow, and improving shareholder returns.
The next signal to watch is whether options traders begin matching that optimism. If bullish options activity and trading volume increase, it could suggest broader investor confidence is building behind the analyst call. If traders continue favoring hedges in names like Micron and SanDisk instead, it would indicate investors remain cautious about the broader memory sector despite the bullish outlook for Seagate and Western Digital.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Western Digital didn't make the cut. Grab the names FREE today.
Dell klesl o 6 %, zatímco Western Digital vzrostl o 5 % po silných výsledcích Micronu, které podpořily paměťové a úložné tituly. Trh tak dnes zvýhodňuje dodavatele pamětí před výrobci serverů a PC.
Shares of Dell Technologies (NYSE:DELL | DELL Price Prediction) are down 6% in midday trading Thursday, last changing hands near $407 after closing at $434.06 on Wednesday. The slide stands out because it’s happening on a day when memory and storage names are ripping higher.
At the same time, Western Digital (NASDAQ:WDC) stock is up 5%, trading near $678. The split between a server and PC builder falling while a storage maker rallies tells the story of today’s market action in AI hardware stocks.
Both names have been monster performers in 2026. Dell stock is up 224% year to date through Wednesday’s close, while Western Digital stock has climbed 296% year to date. Today’s divergence isn’t subtle.
Two Sides of the Memory Boom The catalyst behind Western Digital’s move is straightforward. Memory and storage stocks rallied after Micron Technology‘s (NASDAQ:MU) blowout quarterly results “justify elevated valuations” and reinforced the view that AI capital spending keeps accelerating. Memory has been a bottleneck in the AI buildout, and that scarcity is now showing up as pricing power for the suppliers.
Western Digital is a pure-play HDD beneficiary of that dynamic. The company’s most recent quarter showed non-GAAP gross margin of 51% and revenue of $3.34 billion, up 46% year over year. CEO Irving Tan summed up the demand backdrop, stating, “Virtually every AI workload, from training, inference, agentic AI to physical AI, creates data that is stored persistently and cost-efficiently on HDDs.”
Dell’s drop today doesn’t have a single confirmed catalyst, but it likely reflects the flip side of that same memory squeeze. Dell builds servers and PCs that buy memory, so the rising prices lifting Western Digital and peers translate into input-cost pressure for Dell’s box-maker business. It’s the same dynamic behind hardware-cost worries hitting other consumer device names this week.
Margin Pressure Was Already Visible Dell’s most recent earnings made the margin issue concrete. In Q1 FY2027, the company posted revenue of $43.84 billion, up 88% year over year, alongside AI-optimized server revenue of $16.13 billion, up 757% year over year. The top-line growth here is undeniable.
Yet, the same report showed gross margin compressed to 18% from 21% year over year, with management attributing the pressure to a mix shift toward lower-margin AI servers. With memory costs climbing on top of that mix shift, the bear read on Dell today is that the margin math gets harder before it gets easier.
There’s also a simpler explanation worth flagging. After a 224% run this year, some profit-taking in Dell stock is hardly surprising. One red day after that kind of rally isn’t a thesis change.
Peers Follow the Split The divergence is showing up across the complex. SanDisk (NASDAQ:SNDK) and Micron are riding the memory bid alongside Western Digital, while assemblers and hardware makers that purchase those components are mixed at best. Capital appears to be rotating, at least for the session, toward the picks-and-shovels suppliers feeding the AI buildout rather than the box makers stitching the systems together.
Western Digital isn’t a cheap stock here. Sentiment in the WallStreetBets community spiked to a very bullish reading of 82 last week before cooling. That mix of retail enthusiasm and the scale of this year’s run means expectations are elevated.
What to Watch Western Digital reports its Q4 FY2026 results in late July, with the company guiding to revenue of $3.65 billion plus or minus $100 million and non-GAAP EPS of $3.25 plus or minus $0.15. Dell follows with Q2 FY2027 numbers in late August, with management guiding to revenue of $44 billion to $45 billion.
Investors can watch whether today’s split widens into a broader rotation between memory suppliers and hardware assemblers, or fades as the market digests Micron’s results. The next earnings cycle should clarify how much of the memory boom flows to margins, and how much gets absorbed by buyers like Dell.
Micron, Western Digital a SanDisk rostou před výsledky Micronu, protože trh s pamětí dál sílí. Needham zvýšil cílovou cenu Micronu na 1 550 USD z 500 USD a ponechal doporučení koupit.
Micron Technology (NASDAQ:MU | MU Price Prediction) stock is up about 6% in Monday morning trading to around $1,199, leading a broad memory and storage rally into the company’s Wednesday earnings report. Western Digital (NASDAQ:WDC) stock is also up by about 6% to around $788, while SanDisk (NASDAQ:SNDK) stock is up 5% to around $2,294.
The group is resisting worries about renewed U.S.-Iran tensions, including fresh strike threats and concerns over the Strait of Hormuz.
That memory and storage are catching a bid despite the geopolitical backdrop underscores how much conviction has built around the so-called memory supercycle. The memory/storage complex hit record highs last Thursday, with Friday, June 19, closed for Juneteenth.
Needham’s $1,550 Micron Target Lights the Fuse The freshest catalyst is a major Wall Street endorsement. Needham raised its price target on Micron stock to $1,550, up from $500, and maintained a Buy rating ahead of Wednesday’s report.
The firm argued that the memory market has continued to strengthen over the past 90 days, with fundamentals “stronger for longer” thanks to robust demand, a firm pricing environment, and limited capacity additions. Needham also believes long-term agreements being signed across the industry are giving suppliers, including Micron, better demand visibility that extends over multiple years.
Micron stock has been a freight train into the earnings report. The shares are up 298% year to date (YTD) through June 18, with last quarter’s results showing revenue of $23.86 billion and a guide for fiscal Q3 2026 revenue of $33.5 billion plus or minus $750 million.
Storage Peers Get Their Own Upgrades The bullish analyst drumbeat isn’t isolated to Micron. JPMorgan raised its Western Digital price target to $650 from $530 (Overweight) on June 12, citing a more positive pricing view and accelerating year-over-year price increases for HDD makers. Wells Fargo raised its Western Digital stock price target to $575 from $500 (Overweight) on June 1.
Micron stock also received price target upgrades last week from Wedbush, Rosenblatt, and Stifel. Adding to the demand-side narrative, Apple (NASDAQ:AAPL) CEO Tim Cook’s recent comments that memory and storage cost increases are making Apple price hikes “unavoidable” helped fuel the sector’s bullish momentum last week.
SanDisk stock, the NAND-focused spinoff, has ridden the same wave. Last quarter, SanDisk reported revenue of $5.95 billion with gross margin of 78%, validating the AI-storage thesis.
Bubble or Supercycle? The Debate Heats Up Not everyone is convinced that the move can continue without a pause. Technical readings are flashing yellow across the group, with RSI readings of 66.4 for Micron, 70.9 for SanDisk, 74 for Seagate, and 78 for Western Digital, with 70-plus generally considered overbought.
The crowd is also split. Retail sentiment on StockTwits has been bearish for SanDisk and Micron even amid the rally, even as the Polymarket contract for Micron’s Wednesday report is pricing in a 97% probability of a non-GAAP EPS beat above the $19.66 consensus. The analyst consensus target on Micron stock sits at $945.6, well below the current price, reflecting how far the tape has run ahead of Street models.
What to Watch The next pivot is Wednesday, June 24, after the close, when Micron reports its fiscal Q3 2026 results. Investors can watch for whether management’s guidance validates the “stronger for longer” thesis or gives the overbought tape a reason to cool.
Until then, the memory complex looks willing to ignore the macro noise. Keep an eye on whether Micron stock can hold above the $1,200 level, and whether Western Digital stock and SanDisk stock track it tick for tick.
