Western Digital’s fiscal first-quarter revenue rose 55% year over year to $4.4 billion, beating guidance by the widest margin since the SanDisk split. This was entirely driven by pricing. The second-quarter revenue guide was 13% above FactSet consensus.
Demand for data center buildouts is only increasing, driven by long-term structural trends such as AI and the Internet of Things. This could prolong the current upcycle and make it more durable than previous cycles.
The HDD market is commodity-like and cyclical, leaving Western Digital vulnerable to market pricing declines that can shrink the top line and sink margins. In HDD downturns, these stocks can crater.
|
Metric
|
WDC
|
MU
|
005930
|
|---|---|---|---|
Price/Earnings (Normalized) | 13.30 | 11.73 | 9.59 |
Price/Book Value | 13.76 | 7.16 | 2.58 |
Price/Sales | 9.14 | 7.53 | 2.61 |
Price/Cash Flow | 23.01 | 10.51 | 5.17 |
|
Metric
|
WDC
|
MU
|
005930
|
|---|---|---|---|
Quick Ratio | 0.85 | 2.90 | 2.20 |
Current Ratio | 1.33 | 3.31 | 2.83 |
Interest Coverage | 60.72 | 931.07 | 242.73 |
|
Metric
|
WDC
|
MU
|
005930
|
|---|---|---|---|
Return on Assets (Normalized) | — | 72.26% | 24.86% |
Return on Equity (Normalized) | — | 102.18% | 33.47% |
Return on Invested Capital (Normalized) | — | 90.66% | 30.09% |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
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DELL
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ANET
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SNDK
| LOCK|whHC#t | LOCK|!> | $179B | |||
| Seagate Technology Holdings PLC
STX
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| Everpure Inc Class A
P
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LNVGY
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| Lenovo Group Ltd
LNVGF
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| HP Inc
HPQ
| LOCK|<k@B<l | LOCK|l<r | $30B | |||
| Logitech International SA
LOGI
| LOCK|@mZT<> | LOCK|!lp | $16B |
United States