Shares of Western Digital Corporation (NASDAQ:WDC – Get Free Report) fell 17.4% on Thursday. The stock traded as low as $265.00 and last traded at $267.63. Approximately 17,865,552 shares changed hands during trading, an increase of 106% from the average session volume of 8,685,013 shares. The stock had previously closed at $323.83.
Trending Headlines about Western Digital
Here are the key news stories impacting Western Digital this week:
- Positive Sentiment: Storage and memory stocks recovered as investors reassessed fears that election-related policy changes would derail AI investment. Strategists say the AI buildout is still expected to continue, though potentially on a longer timeline. Western Digital Stock Rebounds as Wall Street Bets AI Storage Demand Outlasts Election Rout
- Positive Sentiment: Fundamental commentary highlights stronger pricing, demand for higher-capacity hard drives, and operational efficiencies as drivers of Western Digital’s gross-margin expansion. Zacks Research also upgraded the stock from “hold” to “strong-buy.” Western Digital’s Gross Margin Momentum: How Long Can It Last?
- Neutral Sentiment: Analyst sentiment remains broadly supportive, with a reported consensus Buy rating and average price target near $589. However, one valuation estimate was recently reduced from $650.67 to $613.38, reflecting a reassessment of HDD strength, spending plans, and future supply. Nasdaq Suffers Worst AI Panic in Years as Nvidia, SanDisk, and Western Digital Sink Western Digital Stock Sees Fair Value Cut
- Negative Sentiment: Investors are concerned that proposed federal oversight, permitting restrictions, or caps on new data centers could slow AI infrastructure spending—an important source of expected storage demand. That concern drove a sharp selloff Thursday before the reported rebound. Why Are Western Digital Shares Falling on AI Data Center Policy Risk?
Analyst Ratings Changes
WDC has been the topic of a number of recent analyst reports. Summit Insights lowered shares of Western Digital from a “buy” rating to a “hold” rating in a research note on Thursday, August 6th. Argus decreased their price target on Western Digital from $600.00 to $500.00 and set a “buy” rating for the company in a research note on Monday, October 26th. Mizuho set a $490.00 price target on Western Digital in a research note on Friday, October 23rd. TD Cowen lowered their price objective on Western Digital from $540.00 to $430.00 and set a “buy” rating for the company in a report on Friday, October 23rd. Finally, Citigroup decreased their price objective on shares of Western Digital from $740.00 to $660.00 and set a “buy” rating for the company in a report on Friday, October 23rd. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $591.04.
Check Out Our Latest Analysis on Western Digital
Western Digital Stock Down 1.4%
The stock has a 50 day simple moving average of $406.75 and a 200 day simple moving average of $418.97. The company has a market capitalization of $98.74 billion, a price-to-earnings ratio of 10.24, a P/E/G ratio of 1.19 and a beta of 2.27.
Western Digital (NASDAQ:WDC – Get Free Report) last posted its earnings results on Thursday, October 22nd. The data storage provider reported $4.64 EPS for the quarter, beating the consensus estimate of $4.11 by $0.53. The company had revenue of $4.38 billion during the quarter, compared to analyst estimates of $4.14 billion. Western Digital had a return on equity of 55.62% and a net margin of 69.20%. The business’s revenue was up 55.5% compared to the same quarter last year. During the same period in the prior year, the company earned $1.78 earnings per share. As a group, analysts forecast that Western Digital Corporation will post 23.62 EPS for the current year.
Western Digital Increases Dividend
The business also recently announced a quarterly dividend, which will be paid on Thursday, December 17th. Shareholders of record on Friday, December 4th will be given a $0.1750 dividend. This is a boost from Western Digital’s previous quarterly dividend of $0.15. This represents a $0.70 annualized dividend and a yield of 0.3%. The ex-dividend date of this dividend is Friday, December 4th. Western Digital’s dividend payout ratio is 2.33%.
Insider Buying and Selling at Western Digital
In other Western Digital news, insider Vidyadhara Gubbi sold 1,795 shares of the firm’s stock in a transaction on Friday, September 4th. The stock was sold at an average price of $459.87, for a total value of $825,466.65. Following the sale, the insider directly owned 80,571 shares in the company, valued at approximately $37,052,185.77. This trade represents a 2.18% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Cynthia Tregillis sold 807 shares of the business’s stock in a transaction on Wednesday, October 21st. The shares were sold at an average price of $380.00, for a total transaction of $306,660.00. Following the transaction, the insider directly owned 108,928 shares of the company’s stock, valued at approximately $41,392,640. This trade represents a 0.74% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 25,436 shares of company stock worth $11,340,064. 0.20% of the stock is owned by insiders.
Institutional Trading of Western Digital
Several hedge funds have recently bought and sold shares of the company. Legal & General Group Plc bought a new position in Western Digital in the 2nd quarter worth about $1,602,927,000. Anther Capital Ltd bought a new stake in shares of Western Digital during the second quarter valued at approximately $901,601,000. Deutsche Bank AG bought a new stake in shares of Western Digital during the second quarter valued at approximately $885,565,000. Value Aligned Research Advisors LLC acquired a new position in shares of Western Digital during the first quarter worth approximately $350,403,000. Finally, Trivest Advisors Ltd acquired a new position in shares of Western Digital during the second quarter worth approximately $627,606,000. 92.51% of the stock is currently owned by institutional investors.
Western Digital Company Profile
Western Digital Corporation (NASDAQ: WDC) develops and supplies hard disk drives (HDDs) and related data-storage products. Its drives serve data centers and cloud providers, as well as businesses and consumers who need storage for computers, network-attached storage systems, surveillance and other applications. Its product brands include WD and Ultrastar.
Founded in 1970, the company began as an electronics and semiconductor business before expanding into data storage. In February 2025, Western Digital completed the separation of its flash-memory business into the independently traded SanDisk Corporation, leaving Western Digital focused on HDDs.
Western Digital serves customers around the world.
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