Collar Capital Management LLC Sells 4,269 Shares of Western Digital Corporation $WDC

Key Points

• Collar Capital Management LLC cut its Western Digital stake by 16.4% in the fourth quarter, selling 4,269 shares and leaving it with 21,698 shares worth about $3.74 million. Western Digital still represented roughly 2.5% of the firm’s portfolio.
• Institutional interest remains strong, with 92.51% of Western Digital shares held by institutions and hedge funds. Several large investors recently built or expanded positions, including WCM Investment Management, Norges Bank, Fred Alger Management, and Soroban Capital Partners.
• Wall Street sentiment is bullish as analysts keep raising targets on the stock amid an AI-driven memory and storage rally. Western Digital also beat quarterly EPS and revenue estimates, raised its dividend, and reported strong year-over-year revenue growth.

Collar Capital Management LLC reduced its position in shares of Western Digital Corporation (NASDAQ:WDC - Free Report) by 16.4% during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 21,698 shares of the data storage provider's stock after selling 4,269 shares during the period. Western Digital makes up about 2.5% of Collar Capital Management LLC's investment portfolio, making the stock its 10th largest position. Collar Capital Management LLC's holdings in Western Digital were worth $3,738,000 at the end of the most recent quarter.

A number of other hedge funds have also recently bought and sold shares of the company. WCM Investment Management LLC purchased a new position in Western Digital in the 3rd quarter worth about $791,317,000. Norges Bank purchased a new position in Western Digital in the 4th quarter worth about $788,729,000. Fred Alger Management LLC increased its stake in Western Digital by 4,923.9% in the 3rd quarter. Fred Alger Management LLC now owns 3,407,042 shares of the data storage provider's stock worth $409,049,000 after purchasing an additional 3,339,225 shares in the last quarter. Soroban Capital Partners LP increased its stake in Western Digital by 1,926.3% in the 2nd quarter. Soroban Capital Partners LP now owns 3,061,134 shares of the data storage provider's stock worth $195,882,000 after purchasing an additional 2,910,062 shares in the last quarter. Finally, Polar Capital Holdings Plc purchased a new position in Western Digital in the 3rd quarter worth about $221,800,000. 92.51% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Western Digital

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

• Positive Sentiment: Western Digital is benefiting from a strong AI memory supercycle, with memory and storage shares extending a parabolic rally as investors bet on sustained demand for data-center storage. Micron Rises 7%, Western Digital Climbs and SanDisk Climb 4% as Memory Stocks Extend Parabolic Run
• Positive Sentiment: Barclays raised its price target on Western Digital to $620 from $450 and kept an Overweight rating, citing strong memory and storage fundamentals. Barclays Raises its Price Target on Western Digital (WDC)
• Positive Sentiment: Evercore ISI also lifted its target on Western Digital to $575 from $410 while reiterating an Outperform rating, adding to bullish Wall Street sentiment. Here’s What Evercore Now Says About Western Digital Corp (WDC) Stock
• Positive Sentiment: Western Digital highlighted its role in AI infrastructure at Computex, framing storage as a core part of the AI data economy rather than just a secondary hardware category. WD at Computex 2026: AI Doesn't Just Run on Compute - It Runs on Data
• Neutral Sentiment: Several articles noted heavy bullish momentum and strong valuation expansion in memory stocks, but also warned that the move has become highly extended and vulnerable to a sharp reversal if demand expectations cool. SanDisk Stock Near $1,700: Two Risks That Could Break the Momentum
• Neutral Sentiment: One filing-related article said Situational Awareness LP sold its stake in Western Digital, but the piece did not suggest a broader change in the company’s fundamentals. Western Digital Corporation (WDC): Leopold Aschenbrenner Is Selling This Stock

Insider Transactions at Western Digital

In other news, insider Cynthia L. Tregillis sold 214 shares of Western Digital stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $539.63, for a total transaction of $115,480.82. Following the completion of the sale, the insider directly owned 117,157 shares in the company, valued at $63,221,431.91. The trade was a 0.18% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Irving Tan sold 20,000 shares of Western Digital stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $411.84, for a total value of $8,236,800.00. Following the sale, the chief executive officer owned 598,150 shares of the company's stock, valued at approximately $246,342,096. This represents a 3.24% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 54,405 shares of company stock valued at $18,575,428 in the last quarter. Corporate insiders own 0.18% of the company's stock.

Western Digital Trading Up 2.8%

Shares of NASDAQ WDC opened at $546.20 on Tuesday. Western Digital Corporation has a one year low of $51.17 and a one year high of $564.14. The firm has a market capitalization of $188.26 billion, a PE ratio of 32.61 and a beta of 2.13. The business has a 50-day moving average price of $400.87 and a two-hundred day moving average price of $284.43.

Western Digital (NASDAQ:WDC - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The data storage provider reported $2.72 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.39 by $0.33. The business had revenue of $3.34 billion during the quarter, compared to analyst estimates of $3.25 billion. Western Digital had a return on equity of 42.95% and a net margin of 55.29%.The firm's revenue was up 45.5% on a year-over-year basis. During the same period in the previous year, the company earned $1.36 EPS. Western Digital has set its Q4 2026 guidance at 3.100-3.400 EPS. Research analysts anticipate that Western Digital Corporation will post 9.57 EPS for the current year.

Western Digital Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, June 17th. Stockholders of record on Friday, June 5th will be issued a dividend of $0.15 per share. The ex-dividend date is Friday, June 5th. This represents a $0.60 annualized dividend and a dividend yield of 0.1%. This is a positive change from Western Digital's previous quarterly dividend of $0.13. Western Digital's dividend payout ratio is presently 2.99%.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on WDC shares. Jefferies Financial Group set a $575.00 price target on Western Digital in a research note on Tuesday, May 26th. Wells Fargo & Company lifted their price target on Western Digital from $500.00 to $575.00 and gave the stock an "overweight" rating in a research note on Monday. JPMorgan Chase & Co. lifted their price target on Western Digital from $320.00 to $400.00 and gave the stock an "overweight" rating in a research note on Thursday, April 16th. Barclays lifted their price target on Western Digital from $450.00 to $620.00 and gave the stock an "overweight" rating in a research note on Wednesday, May 27th. Finally, TD Cowen lifted their price target on Western Digital from $325.00 to $500.00 and gave the stock a "buy" rating in a research note on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, Western Digital has an average rating of "Moderate Buy" and a consensus price target of $416.63.

Western Digital Profile

Western Digital Corporation is a global data storage company that designs, manufactures and sells a broad range of storage devices and systems for personal, enterprise and cloud applications. Headquartered in San Jose, California, the company develops hard disk drives (HDDs), solid-state drives (SSDs), NAND flash components and finished storage products used in PCs, external storage, servers, network-attached storage (NAS) and embedded systems.

Its product portfolio spans consumer and commercial markets, including internal and external HDDs and SSDs, removable flash memory products and storage platforms for data center and enterprise environments.

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