Quick Summary
- WDC shares climbed approximately 13% in Thursday’s premarket session following Micron’s impressive fiscal Q3 earnings beat
- Micron delivered adjusted EPS of $25.11 on revenue of $41.46B, then projected Q4 EPS around $31 on approximately $50B in sales
- Western Digital now trades 22% over its 20-day moving average, with the 52-week peak at $799.87
- Wall Street consensus stands at “Moderate Buy” as multiple analysts have recently increased their price objectives
- Friedenthal Financial initiated a fresh $1.08M position in WDC; institutional ownership reaches 92.51%
Shares of Western Digital rallied approximately 13% during Thursday’s premarket hours, reaching $726.00, following an impressive quarterly report from Micron Technology that energized the entire memory and data storage industry.
Western Digital Corporation, WDC
Micron unveiled fiscal third-quarter adjusted earnings of $25.11 per share alongside revenue totaling $41.46 billion—figures that surpassed analyst projections. The company subsequently issued fiscal Q4 guidance calling for EPS near $31 on approximately $50 billion in revenue, significantly exceeding Street forecasts.
These results provided enough momentum to propel WDC, SanDisk (SNDK), and related memory sector equities substantially higher during early market activity. The positive sentiment extended broadly, with S&P 500 futures advancing 0.7% before regular trading commenced.
WDC began Thursday’s session at $641.73, marking an increase from the previous close. The 52-week trading corridor spans from a bottom of $62.13 to a ceiling of $799.87—a range that illustrates the magnitude of the stock’s remarkable comeback.
Technicals Point to Continued Strength
From a chart perspective, WDC remains positioned in breakout mode. Shares currently trade approximately 22% over the 20-day moving average of $592.54, 44.5% beyond the 50-day mark at $500.30, and an impressive 162.9% above the 200-day average sitting at $275.00.
The MACD indicator hovers above its signal line with a positive histogram reading, suggesting accelerating upward momentum. The moving average alignment—with the 20-day positioned above the 50-day, which sits above the 200-day—reinforces the bullish long-term trajectory. The immediate overhead resistance remains the 52-week peak of $799.87.
Western Digital is scheduled to announce its quarterly financial results on approximately July 29. Analysts anticipate EPS of $3.27, representing growth from $1.66 in the comparable year-ago quarter, with revenue projected at $3.70 billion compared to $2.60 billion during the prior-year timeframe.
The company’s most recent quarterly disclosure, unveiled April 30, showed EPS of $2.72—topping the $2.39 Street estimate by $0.33. Revenue totaled $3.34 billion, marking a 45.5% year-over-year increase. Net profit margin registered at 55.29%.
Wall Street and Institutional Positioning
Several Wall Street firms have upgraded their price objectives in recent weeks. Morgan Stanley elevated its target to $650, JPMorgan increased its goal to $650, Mizuho pushed to $685, and Cantor Fitzgerald established a $660 objective. Wells Fargo boosted its target to $575 while maintaining an Overweight stance. The overall analyst consensus remains at Moderate Buy.
Friedenthal Financial revealed a newly established position comprising 3,998 shares worth roughly $1.08 million in its first-quarter 13F regulatory filing. Institutional investors collectively control 92.51% of WDC’s shares outstanding.
Regarding insider transactions, CEO Irving Tan divested 20,000 shares on May 1 at an average price of $411.84, generating proceeds of $8.24 million. The transaction was conducted through a predetermined 10b5-1 trading arrangement.
Western Digital also enhanced its quarterly cash dividend from $0.12 to $0.15 per share, distributed June 17. The annualized dividend now totals $0.60, equating to a 0.1% yield.
The equity currently exhibits a price-to-earnings ratio of 38.31 alongside a market capitalization approximating $221 billion. Full-year earnings per share are projected at $9.60, based on analyst consensus estimates.
