National Pension Service Sells 508,039 Shares of Western Digital Corporation $WDC

Key Points

• National Pension Service reduced its holdings in Western Digital Corporation by 58.9% in the first quarter, now owning approximately 0.10% of the company, valued at $14.3 million.
• Western Digital reported a quarterly earnings per share (EPS) of $1.66, exceeding analysts' expectations and reflecting a 30% revenue increase from the previous year.
• The company has authorized a stock repurchase program of up to $2 billion, indicating potential confidence in its stock valuation and future performance.

National Pension Service trimmed its holdings in shares of Western Digital Corporation (NASDAQ:WDC - Free Report) by 58.9% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 354,348 shares of the data storage provider's stock after selling 508,039 shares during the period. National Pension Service owned about 0.10% of Western Digital worth $14,326,000 at the end of the most recent quarter.

Several other large investors have also recently bought and sold shares of the stock. BNP Paribas boosted its position in Western Digital by 0.6% in the fourth quarter. BNP Paribas now owns 26,415 shares of the data storage provider's stock valued at $1,575,000 after buying an additional 166 shares in the last quarter. IHT Wealth Management LLC raised its stake in Western Digital by 5.7% during the fourth quarter. IHT Wealth Management LLC now owns 3,817 shares of the data storage provider's stock worth $228,000 after buying an additional 207 shares during the last quarter. Allworth Financial LP increased its stake in Western Digital by 34.1% in the first quarter. Allworth Financial LP now owns 955 shares of the data storage provider's stock valued at $38,000 after purchasing an additional 243 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. increased its stake in Western Digital by 0.6% in the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 45,395 shares of the data storage provider's stock valued at $1,835,000 after purchasing an additional 264 shares in the last quarter. Finally, Guggenheim Capital LLC increased its stake in Western Digital by 1.9% in the fourth quarter. Guggenheim Capital LLC now owns 14,330 shares of the data storage provider's stock valued at $854,000 after purchasing an additional 271 shares in the last quarter. 92.51% of the stock is owned by institutional investors.

Western Digital Stock Performance

WDC traded down $1.1860 during midday trading on Wednesday, reaching $74.6740. The company had a trading volume of 2,811,062 shares, compared to its average volume of 7,884,530. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.84 and a current ratio of 1.08. The stock has a market cap of $26.05 billion, a PE ratio of 14.49, a P/E/G ratio of 0.92 and a beta of 1.58. Western Digital Corporation has a 12-month low of $28.83 and a 12-month high of $78.80. The business has a 50-day moving average price of $67.49 and a two-hundred day moving average price of $54.66.

Western Digital (NASDAQ:WDC - Get Free Report) last released its earnings results on Wednesday, July 30th. The data storage provider reported $1.66 earnings per share for the quarter, beating analysts' consensus estimates of $1.48 by $0.18. The firm had revenue of $2.61 billion for the quarter, compared to analysts' expectations of $2.45 billion. Western Digital had a net margin of 14.13% and a return on equity of 24.93%. The company's quarterly revenue was up 30.0% on a year-over-year basis. During the same period in the previous year, the company earned $1.44 earnings per share. Western Digital has set its Q1 2026 guidance at 1.540-1.690 EPS. On average, sell-side analysts expect that Western Digital Corporation will post 4.89 earnings per share for the current fiscal year.

Western Digital Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 18th. Stockholders of record on Thursday, September 4th will be given a $0.10 dividend. The ex-dividend date of this dividend is Thursday, September 4th. This represents a $0.40 annualized dividend and a dividend yield of 0.5%. Western Digital's payout ratio is 7.77%.

Western Digital announced that its board has authorized a share buyback program on Tuesday, May 13th that permits the company to buyback $2.00 billion in outstanding shares. This buyback authorization permits the data storage provider to reacquire up to 11.7% of its shares through open market purchases. Shares buyback programs are often a sign that the company's management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on WDC. Bank of America lifted their price target on shares of Western Digital from $62.00 to $71.00 and gave the company a "buy" rating in a research note on Monday, June 9th. Morgan Stanley decreased their target price on shares of Western Digital from $85.00 to $83.00 and set an "overweight" rating for the company in a research report on Tuesday, July 29th. BNP Paribas reissued an "outperform" rating on shares of Western Digital in a research report on Friday, May 16th. Citigroup boosted their target price on shares of Western Digital from $78.00 to $88.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. Finally, Loop Capital reissued a "buy" rating on shares of Western Digital in a research report on Tuesday, May 6th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, Western Digital has an average rating of "Moderate Buy" and an average target price of $78.39.

Insider Activity at Western Digital

In other news, insider Vidyadhara K. Gubbi sold 5,597 shares of the firm's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $76.26, for a total value of $426,827.22. Following the completion of the transaction, the insider directly owned 154,679 shares of the company's stock, valued at $11,795,820.54. This trade represents a 3.49% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP Gene M. Zamiska sold 1,729 shares of the firm's stock in a transaction on Thursday, June 5th. The stock was sold at an average price of $54.88, for a total value of $94,887.52. Following the completion of the transaction, the senior vice president directly owned 40,089 shares of the company's stock, valued at $2,200,084.32. The trade was a 4.13% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 11,518 shares of company stock valued at $831,479. 0.30% of the stock is owned by insiders.

Western Digital 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.