Bank of America Issues Positive Forecast for Western Digital (NASDAQ:WDC) Stock Price

Key Points

• Bank of America has raised its price target for Western Digital from $100 to $123, indicating a potential upside of 20.08% from the stock's current price and maintaining a "buy" rating.
• Western Digital reported an earnings per share (EPS) of $1.66 for the last quarter, beating estimates, with revenue of $2.61 billion, up 30% year over year.
• Institutional investors hold approximately 92.51% of Western Digital's stock, with significant recent increases in stakes from major investment firms like Vanguard and Geode Capital Management.

Western Digital (NASDAQ:WDC - Get Free Report) had its price target upped by equities research analysts at Bank of America from $100.00 to $123.00 in a note issued to investors on Monday,Benzinga reports. The brokerage currently has a "buy" rating on the data storage provider's stock. Bank of America's target price points to a potential upside of 20.08% from the stock's current price.

Several other equities analysts have also commented on the company. Mizuho upped their target price on Western Digital from $75.00 to $87.00 and gave the company an "outperform" rating in a report on Friday, August 1st. The Goldman Sachs Group assumed coverage on Western Digital in a report on Thursday, July 10th. They set a "neutral" rating and a $70.00 target price for the company. Benchmark upped their target price on Western Digital from $85.00 to $115.00 and gave the company a "buy" rating in a report on Monday. Wedbush boosted their price objective on Western Digital from $78.00 to $90.00 and gave the stock an "outperform" rating in a research report on Thursday, July 31st. Finally, Rosenblatt Securities boosted their price objective on Western Digital from $53.00 to $90.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. One analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $86.44.

Western Digital Stock Up 4.9%

NASDAQ:WDC traded up $4.78 during mid-day trading on Monday, reaching $102.44. The stock had a trading volume of 8,108,422 shares, compared to its average volume of 7,926,826. The company has a market capitalization of $35.74 billion, a price-to-earnings ratio of 19.89, a price-to-earnings-growth ratio of 1.17 and a beta of 1.69. The stock's 50 day simple moving average is $76.27 and its two-hundred day simple moving average is $57.31. Western Digital has a 1-year low of $28.83 and a 1-year high of $103.78. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.08 and a quick ratio of 0.84.

Western Digital (NASDAQ:WDC - Get Free Report) last posted its earnings results on Wednesday, July 30th. The data storage provider reported $1.66 EPS for the quarter, beating the consensus estimate of $1.48 by $0.18. The company had revenue of $2.61 billion during the quarter, compared to analyst estimates of $2.45 billion. Western Digital had a return on equity of 24.93% and a net margin of 14.13%.The business's revenue was up 30.0% compared to the same quarter last year. During the same period in the prior year, the company earned $1.44 earnings per share. Western Digital has set its Q1 2026 guidance at 1.540-1.690 EPS. Equities analysts anticipate that Western Digital will post 4.89 EPS for the current year.

Insider Transactions at Western Digital

In other Western Digital news, CEO Irving Tan sold 8,621 shares of the company's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $75.90, for a total value of $654,333.90. Following the completion of the sale, the chief executive officer directly owned 594,836 shares in the company, valued at $45,148,052.40. This represents a 1.43% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Gene M. Zamiska sold 353 shares of the company's stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $80.90, for a total value of $28,557.70. Following the completion of the sale, the senior vice president owned 27,425 shares of the company's stock, valued at $2,218,682.50. This trade represents a 1.27% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 49,975 shares of company stock valued at $3,935,806. 0.30% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of WDC. Vanguard Group Inc. raised its stake in Western Digital by 1.1% during the 1st quarter. Vanguard Group Inc. now owns 42,938,495 shares of the data storage provider's stock valued at $1,736,003,000 after purchasing an additional 478,728 shares during the period. Geode Capital Management LLC raised its stake in Western Digital by 2.0% during the 2nd quarter. Geode Capital Management LLC now owns 9,305,289 shares of the data storage provider's stock valued at $593,045,000 after purchasing an additional 186,030 shares during the period. Holocene Advisors LP raised its stake in Western Digital by 8.5% during the 2nd quarter. Holocene Advisors LP now owns 5,535,972 shares of the data storage provider's stock valued at $354,247,000 after purchasing an additional 431,419 shares during the period. Alyeska Investment Group L.P. raised its stake in Western Digital by 130.0% during the 1st quarter. Alyeska Investment Group L.P. now owns 5,029,359 shares of the data storage provider's stock valued at $203,337,000 after purchasing an additional 2,842,822 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in Western Digital by 23.7% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 4,592,516 shares of the data storage provider's stock valued at $273,852,000 after purchasing an additional 881,088 shares during the period. Institutional investors own 92.51% of the company's stock.

Western Digital Company Profile

Western Digital Corporation develops, manufactures, and sells data storage devices and solutions in the United States, China, Hong Kong, Europe, the Middle East, Africa, rest of Asia, and internationally. It offers client devices, including hard disk drives (HDDs) and solid state drives (SSDs) for desktop and notebook personal computers (PCs), gaming consoles, and set top boxes; and flash-based embedded storage products for mobile phones, tablets, notebook PCs, and other portable and wearable devices, as well as automotive, Internet of Things, industrial, and connected home applications.

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