FORA Capital LLC Takes $2.76 Million Position in Western Digital Corporation $WDC

Key Points

• FORA Capital LLC opened a new position in Western Digital in Q3, buying 22,994 shares valued at about $2.76 million.
• Western Digital beat quarterly expectations (EPS $2.13 vs. $1.93) with revenue up 25.2% YoY, and a $4.0 billion share-repurchase authorization plus AI/cloud HDD demand and a 40TB product roadmap are driving bullish analyst sentiment (consensus target ~$265.58; several targets up to $340).
• Despite strong institutional ownership (~92.51%), insiders have sold heavily recently (92,795 shares worth about $24.3 million in the last 90 days); the company also pays a small quarterly dividend of $0.125 per share.

FORA Capital LLC purchased a new position in shares of Western Digital Corporation (NASDAQ:WDC - Free Report) during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 22,994 shares of the data storage provider's stock, valued at approximately $2,761,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the business. ORG Partners LLC increased its holdings in Western Digital by 124.5% during the 3rd quarter. ORG Partners LLC now owns 211 shares of the data storage provider's stock worth $25,000 after purchasing an additional 117 shares during the period. Rakuten Securities Inc. boosted its stake in shares of Western Digital by 4,070.0% in the 2nd quarter. Rakuten Securities Inc. now owns 417 shares of the data storage provider's stock valued at $27,000 after buying an additional 407 shares during the period. Cullen Frost Bankers Inc. boosted its stake in shares of Western Digital by 551.4% in the 3rd quarter. Cullen Frost Bankers Inc. now owns 241 shares of the data storage provider's stock valued at $29,000 after buying an additional 204 shares during the period. Grove Bank & Trust acquired a new position in shares of Western Digital during the third quarter worth about $30,000. Finally, Westfuller Advisors LLC purchased a new stake in shares of Western Digital during the third quarter worth approximately $30,000. Hedge funds and other institutional investors own 92.51% of the company's stock.

Western Digital News Roundup

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

• Positive Sentiment: Investor focus on tight high-capacity HDD supply for cloud/AI workloads and Western Digital’s expanded $4.0 billion share-repurchase authorization is supporting the rally; the company’s Innovation Day roadmap (40TB UltraSMR ePMR HDD in hyperscaler qualification) reinforces the growth narrative for AI storage. Western Digital (WDC) rises 3.5% as AI-storage demand narrative and recent buyback authorization continue to support shares
• Positive Sentiment: Customer narrative pieces highlight strong enterprise demand for hard drives, which backs the thesis that nearline/HDD capacity remains tight and pricing power could persist. Customer Narrative on Hard Drives Bodes Well for Western Digital (WDC)
• Positive Sentiment: Analyst sentiment and relative performance remain constructive: WDC has materially outperformed the broader tech sector over the past year and multiple brokers maintain bullish ratings and elevated price targets, which provides momentum and buy-side interest. How Is Western Digital's Stock Performance Compared to Other Technology Stocks?
• Positive Sentiment: Media commentators (e.g., Jim Cramer) have included WDC on watchlists as a name to buy on market dips, which can amplify flows when broader-market pullbacks occur. Cramer: Buy Western Digital, Micron, Seagate on oil-driven dips
• Neutral Sentiment: Partnership/solution announcements (e.g., VDURA combining WD Ultrastar hybrid platforms with cloud-scale AI file architecture) extend product reach but are incremental until they produce visible revenue/contract wins. VDURA to Combine Scalable WD Ultrastar Hybrid Storage Platforms with Cloud-Scale AI File Architecture
• Negative Sentiment: Insider selling has been heavy recently (multiple exec sales reported), which can be interpreted negatively by some investors and may weigh on sentiment despite company-level buybacks. Western Digital (WDC) rises 3.5% as AI-storage demand narrative and recent buyback authorization continue to support shares
• Negative Sentiment: Macro pressure from rising oil and choppy futures can drag broader tech names; recent headlines show futures slipping as oil jumps, which can trigger short-term volatility for WDC. Dow Jones Futures Fall As Oil Prices Run Past $90; Oracle, Nvidia Lift These AI Names
• Negative Sentiment: Short-term pullbacks have occurred (coverage noting WDC fell more than the broader market), so momentum can reverse quickly after a sharp rally — watch valuation and volume on moves. Western Digital (WDC) Falls More Steeply Than Broader Market: What Investors Need to Know

Western Digital Trading Up 4.3%

NASDAQ:WDC opened at $272.29 on Friday. The company has a debt-to-equity ratio of 0.34, a quick ratio of 1.19 and a current ratio of 1.46. Western Digital Corporation has a 1 year low of $28.83 and a 1 year high of $309.90. The stock has a market capitalization of $92.32 billion, a price-to-earnings ratio of 27.31, a PEG ratio of 0.60 and a beta of 1.76. The stock has a fifty day moving average price of $255.24 and a two-hundred day moving average price of $178.44.

Western Digital (NASDAQ:WDC - Get Free Report) last issued its quarterly earnings data on Thursday, January 29th. The data storage provider reported $2.13 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.93 by $0.20. The firm had revenue of $3.02 billion during the quarter, compared to analysts' expectations of $2.93 billion. Western Digital had a return on equity of 41.53% and a net margin of 35.52%.Western Digital's revenue was up 25.2% on a year-over-year basis. During the same period in the previous year, the firm posted $1.77 earnings per share. As a group, sell-side analysts anticipate that Western Digital Corporation will post 4.89 earnings per share for the current fiscal year.

Western Digital Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 18th. Stockholders of record on Thursday, March 5th will be paid a dividend of $0.125 per share. This represents a $0.50 dividend on an annualized basis and a dividend yield of 0.2%. The ex-dividend date of this dividend is Thursday, March 5th. Western Digital's dividend payout ratio (DPR) is 5.02%.

Insider Buying and Selling

In other news, Director Matthew E. Massengill sold 36,926 shares of the firm's stock in a transaction on Thursday, February 5th. The stock was sold at an average price of $260.43, for a total transaction of $9,616,638.18. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Cynthia L. Tregillis sold 9,324 shares of Western Digital stock in a transaction on Wednesday, March 4th. The shares were sold at an average price of $268.27, for a total value of $2,501,349.48. Following the completion of the sale, the insider directly owned 121,682 shares of the company's stock, valued at approximately $32,643,630.14. This represents a 7.12% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 92,795 shares of company stock valued at $24,265,884. 0.18% of the stock is owned by insiders.

Analyst Ratings Changes

A number of analysts have weighed in on WDC shares. Truist Financial set a $310.00 price target on shares of Western Digital in a research note on Tuesday, February 3rd. The Goldman Sachs Group set a $250.00 target price on shares of Western Digital in a report on Tuesday, February 3rd. Argus set a $300.00 target price on shares of Western Digital in a research report on Tuesday, February 3rd. Mizuho boosted their price target on shares of Western Digital to $340.00 and gave the company an "outperform" rating in a research report on Wednesday, February 4th. Finally, Rosenblatt Securities restated a "buy" rating and issued a $340.00 price objective on shares of Western Digital in a research note on Wednesday, February 4th. One investment analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $265.58.

About Western Digital

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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