Western Digital (NASDAQ:WDC) Stock Price Target Cut by Argus

Western Digital (NASDAQ:WDC) had its price target cut by research analysts at Argus from $600.00 to $500.00 in a research note issued on Monday, Benzinga reports. The firm currently has a “buy” rating on the data storage provider’s stock. Argus‘s price target indicates a potential upside of 45.71% from the company’s previous close.

A number of other equities research analysts also recently commented on the stock. JPMorgan Chase & Co. lifted their target price on shares of Western Digital from $600.00 to $650.00 and gave the stock an “overweight” rating in a research report on Friday. Rosenblatt Securities lowered their price objective on Western Digital from $800.00 to $650.00 and set a “buy” rating for the company in a research note on Friday. UBS Group reiterated a “buy” rating and issued a $625.00 price target on shares of Western Digital in a report on Friday. Mizuho set a $490.00 price objective on shares of Western Digital in a report on Friday. Finally, Weiss Ratings downgraded shares of Western Digital from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, October 13th. One investment analyst has rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat, Western Digital presently has an average rating of “Moderate Buy” and a consensus price target of $591.04.

Western Digital Stock Performance

Shares of NASDAQ:WDC opened at $343.15 on Monday. The firm has a market capitalization of $128.45 billion, a PE ratio of 13.39, a price-to-earnings-growth ratio of 1.45 and a beta of 2.11. The firm has a fifty day moving average of $432.18 and a 200 day moving average of $480.74. Western Digital has a 52-week low of $121.85 and a 52-week high of $799.87.

Western Digital (NASDAQ:WDC) last posted its earnings results on Thursday, October 22nd. The data storage provider reported $4.64 earnings per share for the quarter, topping analysts’ consensus estimates of $4.11 by $0.53. Western Digital had a net margin of 69.20% and a return on equity of 55.62%. The company had revenue of $4.38 billion during the quarter, compared to analyst estimates of $4.14 billion. During the same period in the prior year, the business posted $1.78 earnings per share. Western Digital’s revenue for the quarter was up 55.5% on a year-over-year basis. On average, sell-side analysts forecast that Western Digital will post 19.69 EPS for the current fiscal year.

Insider Transactions at Western Digital

In related news, insider Cynthia L. Tregillis sold 1,007 shares of Western Digital stock in a transaction dated Thursday, August 27th. The stock was sold at an average price of $478.36, for a total value of $481,708.52. Following the sale, the insider directly owned 112,155 shares in the company, valued at approximately $53,650,465.80. The trade was a 0.89% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Vidyadhara K. Gubbi sold 1,795 shares of the firm’s stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $459.87, for a total value of $825,466.65. Following the completion of the transaction, the insider owned 80,571 shares in the company, valued at approximately $37,052,185.77. This trade represents a 2.18% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 25,436 shares of company stock valued at $11,340,064 in the last three months. 0.20% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Dogwood Wealth Management LLC raised its position in shares of Western Digital by 28.6% during the 2nd quarter. Dogwood Wealth Management LLC now owns 90 shares of the data storage provider’s stock worth $57,000 after purchasing an additional 20 shares during the period. Legacy Wealth Asset Management LLC lifted its stake in Western Digital by 1.0% during the second quarter. Legacy Wealth Asset Management LLC now owns 2,302 shares of the data storage provider’s stock valued at $1,470,000 after purchasing an additional 22 shares during the last quarter. Everpar Advisors LLC lifted its stake in Western Digital by 1.8% during the second quarter. Everpar Advisors LLC now owns 1,442 shares of the data storage provider’s stock valued at $921,000 after buying an additional 25 shares in the last quarter. Ares Financial Consulting LLC boosted its holdings in shares of Western Digital by 45.5% during the second quarter. Ares Financial Consulting LLC now owns 80 shares of the data storage provider’s stock worth $51,000 after purchasing an additional 25 shares during the period. Finally, Dynamic Advisor Solutions LLC increased its holdings in Western Digital by 2.1% in the second quarter. Dynamic Advisor Solutions LLC now owns 1,390 shares of the data storage provider’s stock worth $888,000 after buying an additional 28 shares during the last quarter. Hedge funds and other institutional investors own 92.51% of the company’s stock.

Western Digital News Roundup

Here are the key news stories impacting Western Digital this week:

• Positive Sentiment: CEO Irving Tan said AI-related storage demand could grow about 25% annually, and Western Digital expects expanding margins despite concerns about data-center costs. The comments support the company’s long-term growth outlook. AI Trade in Trouble? Western Digital CEO Explains Why He’s Not Worried
• Positive Sentiment: Recent quarterly results were strong, with revenue up more than 50% year over year, earnings exceeding estimates and higher guidance accompanied by a dividend increase. Demand for hard-disk drives and rising margins provide fundamental support. Why Western Digital’s AI Storage Boom Defies the Chip Sell-Off
• Positive Sentiment: JPMorgan forecasts substantial price appreciation for Western Digital, indicating that at least one major bank views the selloff as an opportunity. JPMorgan Chase & Co. Forecasts Strong Price Appreciation for Western Digital Stock
• Neutral Sentiment: Western Digital’s consumer 5TB My Passport external drive is being heavily discounted by Amazon. The promotion may support product visibility and unit demand but is unlikely to materially affect companywide results. Amazon Goes Big on Portable External Hard Drive Deal With WD 5TB My Passport at Near-Used Prices
• Negative Sentiment: Analysts and market commentators warn that AI-related debt, data-center spending and uncertain returns on investment could delay further upside, even after the strong earnings report. Lasting AI Memory & Neocloud Headwinds Despite Strong WDC Earnings
• Negative Sentiment: Seeking Alpha downgraded Western Digital, citing worsening risks to the AI supercycle. Cantor Fitzgerald, Rosenblatt Securities and TD Cowen also issued pessimistic forecasts, adding selling pressure. Western Digital: Cracks In Its AI Supercycle Are Worsening
• Negative Sentiment: An insider sold approximately $306,660 of WDC stock. While modest relative to the company’s size, the transaction reinforces near-term investor caution. Western Digital Insider Sells Stock

Western Digital Company Profile

Western Digital Corporation (NASDAQ: WDC) is a data storage technology company that develops and manufactures hard disk drives (HDDs) and related storage solutions. Its products are used in data centers, cloud infrastructure, enterprise systems, personal computers, gaming platforms and external storage devices.

The company offers HDD-based products for business and consumer applications, including high-capacity drives designed for hyperscale and cloud data centers, enterprise storage environments, network-attached storage systems and personal computing.