
Western Digital (WDC) Stock Forecast & Price Target
Western Digital (WDC) Analyst Ratings
Bulls say
Western Digital's stock outlook is positively influenced by the increasing adoption of UltraSMR technology, with its nearline portfolio exceeding a 50% mix, signaling strong potential for margin improvement. The company's revenue from cloud services surged to $2.7 billion, contributing 89% to total revenue and reflecting a 27.5% year-over-year growth, underscoring the robustness of the data center market. Furthermore, rising average selling prices (ASPs) per terabyte, which increased approximately 2-3% quarter-over-quarter, combined with the anticipated growth in exabyte shipments, support a favorable financial trajectory for Western Digital.
Bears say
The financial analysis of Western Digital indicates a negative outlook due to shorter-than-anticipated business cycles resulting in lower cross-cycle profitability. Additionally, challenges in the execution of the Heat-Assisted Magnetic Recording (HAMR) ramp have contributed to market share loss, with the company's cautious guidance for gross margins contrasting sharply with Seagate's more optimistic projections. Furthermore, an oversupply in the HDD market has created only temporary pricing power, undermining the potential for significant revenue growth in the near term.
This aggregate rating is based on analysts' research of Western Digital and is not a guaranteed prediction by Public.com or investment advice.
Western Digital (WDC) Analyst Forecast & Price Prediction
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