Latest news with #WesternDigital
Globe and Mail
a day ago
- Business
- Globe and Mail
Western Digital's Q4 Earnings Ahead: Key Trends Investors Should Watch
Western Digital Corporation ( WDC ) is slated to release fourth-quarter fiscal 2025 results on July 30, after the closing bell. The Zacks Consensus Estimate for earnings has remained unchanged over the past 60 days at $1.47, suggesting a growth of 2% from the prior-year quarter. Management projects non-GAAP earnings of $1.45 (+/- 20 cents). The consensus estimate for revenues is currently pegged at $2.45 billion, suggesting a 34.8% decline from the prior-year quarter's figure. The company expects non-GAAP revenues of $2.45 billion (+/- $150 million). The company's earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 7.3%. Shares of WDC have gained 3.6% over the past year against a 12.6% decline in the Zacks Computer-Storage Devices industry. Primary Catalysts & Risks for WDC's Q4 Earnings Western Digital's fiscal fourth-quarter performance is likely to have benefited from continued strong demand from cloud service providers, fueling nearline HDD and NAND capacity purchases. In the fiscal third quarter, cloud accounted for 87% of total revenues, reaching $2 billion, up 38% year over year. Broad investments from hyperscale cloud/data center customers remain a tailwind. Its 11-disk drives, offering up to 26TB (CMR) and 32TB (Ultra SMR), are rapidly ramping up, with more than 800,000 units shipped in the fiscal third quarter, and more than 1 million expected for the June quarter. Management is working closely on HAMR technology with two hyperscale customers and continues to receive positive and encouraging feedback on its drives. Long-term agreements are now in place with two major customers through mid-2026. Considering these factors, WDC anticipates sequential revenue growth in the fiscal fourth quarter, driven by strong data center demand. Management expects the rise of generative AI-driven storage deployments to lead to a client and consumer device refresh cycle and increase content growth in smartphones, gaming, PCs and consumer devices over the long term. Growing AI adoption is likely to boost storage demand across both HDD and Flash at the edge and core, creating many business opportunities. To expand its Flash business further, the company has established a separate entity, Sandisk. However, the ongoing macroeconomic volatility and uncertainty caused by the damaging impact of levying tariffs and escalating global trade conflicts are likely to weigh on its performance in the to-be-reported quarter by creating further cloud demand fluctuations in areas such as the enterprise segment and parts of its distribution and retail business. To address these changing macroeconomic and geopolitical challenges, Western Digital has outlined strategies. In the short term, it has assembled cross-functional teams to minimize disruptions and reduce the impact of tariffs on customers and operations. At the same time, management is adopting a disciplined approach by evaluating the long-term effects of supply chain adjustments to stay agile, resilient and prepared for the future. Despite broader uncertainties, demand from hyperscale customers remains strong amid a constrained supply situation. Also, rising expenditures are likely to weigh on its margins. For the fiscal fourth quarter, WDC expects operating expenses to rise slightly sequentially to $330–$340 million due to higher variable pay, new hires post–flash business spinoff and more R&D investments. Key Recent Developments In May 2025, Western Digital drove a new era of storage innovation by advancing infrastructure solutions tailored for AI/ML, software-defined storage and disaggregated storage. With a focus on hyperscale cloud service providers, enterprises and Storage-as-a-Service vendors, the company's Platforms Business delivers both high-capacity JBODs (Just a Bunch of Disks) and high-performance EBOF (Ethernet Bunch of Flash) NVMe-oF solutions to power intensive data workloads. Western Digital teamed up with Ingrasys, a subsidiary of Foxconn Technology Group, to transform the way storage and networking are deployed at scale. The initiative aims to engineer a Top-of-Rack (TOR) Ethernet Bunch of Flash (EBOF) switch with embedded storage—a new frontier in fabric-attached, disaggregated infrastructure designed to meet the surging data demands of AI and high-performance workloads. Western Digital boosted shareholder value by launching a new $2 billion share buyback program in May, highlighting its strong capital allocation strategy focused on long-term returns for investors. WDC's Earnings Whispers Our proven model does not conclusively predict an earnings beat for Western Digital this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here. Western Digital presently has an Earnings ESP of 0.00% and a Zacks Rank #1. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter. Stocks With the Favorable Combination Here are three stocks you may want to consider, as our model shows that these have the right elements to post an earnings beat in this reporting cycle. Emerson Electric Co. ( EMR ), expected to release earnings on Aug. 6, currently has an Earnings ESP of +0.46% and a Zacks Rank of 3. You can see the complete list of today's Zacks #1 Rank stocks here. The consensus estimate for Emerson Electric's earnings for the third quarter of fiscal 2025 is pegged at $1.51 per share, indicating year-over-year growth of 5.6%. EMR has a trailing four-quarter average surprise of 3.4%. Illinois Tool Works Inc. ( ITW ), slated to release second-quarter 2025 results on July 30, has an Earnings ESP of +1.19% and a Zacks Rank of 3 at present. The Zacks Consensus Estimate for Illinois Tool Works' second-quarter 2025 earnings is pegged at $2.56 per share, suggesting a year-over-year rise of 0.8%. ITW has a trailing four-quarter average surprise of 3%. QUALCOMM Incorporated ( QCOM ) has an Earnings ESP of +0.60% and a Zacks Rank #3. It is scheduled to report quarterly figures on July 30. The Zacks Consensus Estimate for QCOM's to-be-reported quarter's earnings and revenues is pegged at $2.68 per share and $10.36 billion, respectively. QCOM has a trailing four-quarter average surprise of 6.4%. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include Stock #1: A Disruptive Force with Notable Growth and Resilience Stock #2: Bullish Signs Signaling to Buy the Dip Stock #3: One of the Most Compelling Investments in the Market Stock #4: Leader In a Red-Hot Industry Poised for Growth Stock #5: Modern Omni-Channel Platform Coiled to Spring Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%. Download Atomic Opportunity: Nuclear Energy's Comeback free today. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Illinois Tool Works Inc. (ITW): Free Stock Analysis Report QUALCOMM Incorporated (QCOM): Free Stock Analysis Report Emerson Electric Co. (EMR): Free Stock Analysis Report Western Digital Corporation (WDC): Free Stock Analysis Report
Yahoo
5 days ago
- Business
- Yahoo
5 Names With Relative Price Strength to Ride the Rally Now
Wall Street extended its winning streak as upbeat trade news and solid economic data fueled investor confidence. The S&P 500 hit another record high after the United States and Japan struck a major trade deal, lowering tariffs and unlocking $550 billion in new investments. Retail sales rose more than expected in June, while jobless claims fell, reflecting a strong labor market and steady consumer spending despite ongoing tariff trade negotiations progressing — including deals with the U.K., Indonesia, and the Philippines, and positive signals from China and the EU — the backdrop for equities remains encouraging. The earnings season is also adding momentum. In this environment, focusing on relative price strength makes sense. It helps investors spot the stocks leading the market higher — an effective strategy when optimism is building and strong names are pulling this stage, investors would be wise to consider stocks such as Western Digital Corporation WDC, Flowserve Corporation FLS, OPENLANE, Inc. KAR, AngloGold Ashanti plc AU and Jabil Inc. JBL based on their relative price strength. Relative Price Strength Strategy Earnings growth and valuation multiples are indeed important for investors to determine a stock's ability to offer considerable returns. However, these are also essential for determining whether a stock's price performance is better than its peers or the industry a stock's performance is lacking that of the broader groups, despite impressive earnings growth or valuation multiples, then something must be always advisable to stay away from these stocks and bet on those that are outperforming their respective industry or benchmark. This is because betting on a winner always proves to be again, it is imperative that you determine whether or not an investment has relevant upside potential when considering stocks with significant relative price strength. Stocks delivering better than the S&P 500 for 1 to 3 months, at least, and having solid fundamentals, indicate room for growth and are the best ways to go about this it is crucial to find out whether analysts are optimistic about the upcoming earnings of these companies. In order to do this, we have added positive estimate revisions for the current quarter's (Q1) earnings to our screen. When a stock undergoes an upward revision, it leads to additional price gains. Screening Parameters Relative % Price change – 12 weeks greater than 0Relative % Price change – 4 weeks greater than 0Relative % Price change – 1 week greater than 0(We have considered those stocks that have been outperforming the S&P 500 over the last 12 weeks, four weeks and one week.)% Change (Q1) Est. over 4 Weeks greater than 0: Positive current-quarter estimate revisions over the last four Rank equal to 1: Only Zacks Rank #1 (Strong Buy) stocks — that have returned more than 26% annually over the last 26 years and surpassed the S&P 500 in 23 of the last 26 years — can get through. You can see the complete list of today's Zacks #1 Rank stocks Price greater than or equal to $5 and Average 20-day Volume greater than or equal to 50,000: A minimum price of $5 is a good standard to screen low-priced stocks, while a high trading volume would imply adequate Score less than or equal to B: Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 or 2 (Buy), offer the best upside are five of the 10 stocks that made it through the screen:Western Digital: Based in San Jose, CA, Western Digital is a leading developer and manufacturer of data storage devices and solutions based on NAND flash and hard disk drive technologies. The company has a market capitalization of $23.4 billion. Western Digital has a VGM Score of Zacks Consensus Estimate for the company's fiscal 2025 earnings per share indicates 2,465% year-over-year growth. Western Digital beat the Zacks Consensus Estimate for earnings in each of the last four quarters. It has a trailing four-quarter earnings surprise of roughly 7.3%, on average. The firm's shares are up 4% in a Based in Irving, TX, is a leading manufacturer and aftermarket service provider of comprehensive flow control systems globally. Flowserve's expected EPS growth rate for three to five years is currently 14.2%, which compares favorably with the industry's growth rate of 10.3%. The company has a VGM Score of Zacks Consensus Estimate for Flowserve's 2025 earnings per share indicates 22.1% year-over-year growth. Over the past 60 days, the Zacks Consensus Estimate for its 2025 earnings has moved up from $3.19 per share to $3.21. FLS shares have gained 10% in a Based in Carmel, IN, OPENLANE provides sellers and buyers across the wholesale used vehicle industry with technology-driven remarketing solutions. The company has a market capitalization of $2.7 billion. OPENLANE has a VGM Score of A. The Zacks Consensus Estimate for the company's 2025 earnings per share indicates 17.7% year-over-year growth. OPENLANE beat the Zacks Consensus Estimate for earnings in two of the last four quarters, met in one and missed in the other. It has a trailing four-quarter earnings surprise of roughly 12%, on average. The firm's shares are up 44% in a year. AngloGold Ashanti: It is a Colorado-headquartered gold mining company. AngloGold Ashanti has a market capitalization of $21.8 billion. The company has a VGM Score of Zacks Consensus Estimate for AngloGold Ashanti's 2025 earnings per share indicates 125.8% year-over-year growth. Over the past 60 days, the Zacks Consensus Estimate for its 2025 earnings has moved up 15.8%. AU shares have gained 89% in a Based in Saint Petersburg, FL, it is one of the largest global suppliers of electronic manufacturing services. Jabil's expected EPS growth rate for three to five years is currently 16.6%, which compares favorably with the industry's growth rate of 14.8%. The company has a VGM Score of Zacks Consensus Estimate for Jabil's fiscal 2025 earnings per share indicates 10.6% year-over-year growth. Over the past 60 days, the Zacks Consensus Estimate for its fiscal 2025 earnings has moved up 5.2%. JBL shares have surged 108% in a year. You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge. The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out. Click here to sign up for a free trial to the Research Wizard today Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. Disclosure: Performance information for Zacks' portfolios and strategies are available at: Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Western Digital Corporation (WDC) : Free Stock Analysis Report Flowserve Corporation (FLS) : Free Stock Analysis Report Jabil, Inc. (JBL) : Free Stock Analysis Report AngloGold Ashanti PLC (AU) : Free Stock Analysis Report OPENLANE, Inc. (KAR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 days ago
- Business
- Yahoo
Western Digital, AppLovin, Matson, AeroVironment, and OSI Systems Stocks Trade Up, What You Need To Know
What Happened? A number of stocks jumped in the afternoon session after a new trade agreement between the United States and Japan spurred a broad market rally. The positive sentiment swept across markets after it was announced the U.S. and Japan had reached a new trade deal. The agreement included a 15% tariff on Japanese goods imported into the U.S. and a commitment from Japan to invest $550 billion in the U.S. and open its markets to American cars and agricultural products. This development boosted investor confidence and contributed to a widespread rally, lifting stocks across many sectors. The Dow Jones Industrial Average and the S&P 500 both posted gains, creating a favorable environment that likely benefited individual stocks. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Among others, the following stocks were impacted: Memory Semiconductors company Western Digital (NASDAQ:WDC) jumped 3.5%. Is now the time to buy Western Digital? Access our full analysis report here, it's free. Advertising Software company AppLovin (NASDAQ:APP) jumped 3.2%. Is now the time to buy AppLovin? Access our full analysis report here, it's free. Marine Transportation company Matson (NYSE:MATX) jumped 3.4%. Is now the time to buy Matson? Access our full analysis report here, it's free. Defense Contractors company AeroVironment (NASDAQ:AVAV) jumped 3.3%. Is now the time to buy AeroVironment? Access our full analysis report here, it's free. Specialized Technology company OSI Systems (NASDAQ:OSIS) jumped 3.3%. Is now the time to buy OSI Systems? Access our full analysis report here, it's free. Zooming In On Western Digital (WDC) Western Digital's shares are very volatile and have had 22 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The biggest move we wrote about over the last year was 9 months ago when the stock gained 13.1% on the news that the company reported strong third-quarter earnings with significant gross margin improvement, which helped to beat on adjusted operating profit and adjusted EPS. Notably, the cloud segment (54% of overall revenue) contributed the most to the top-line outperformance, accelerating 17% sequentially and 153% year on year. This was powered by what management considered "higher nearline shipments in HDD and enterprise SSD bit shipments to data center customers" and more than offsetting softness in the client and consumer segments. While guidance for next quarter's revenue and adjusted EPS slightly missed Wall Street's estimates, the market seemed to overlook this. Western Digital is up 12% since the beginning of the year, and at $69.28 per share, it is trading close to its 52-week high of $73.43 from December 2024. Investors who bought $1,000 worth of Western Digital's shares 5 years ago would now be looking at an investment worth $1,501. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
Yahoo
7 days ago
- Business
- Yahoo
Western Digital (WDC) Stock Falls Amid Market Uptick: What Investors Need to Know
Western Digital (WDC) ended the recent trading session at $67.06, demonstrating a -2.44% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily gain of 0.06%. Meanwhile, the Dow experienced a rise of 0.41%, and the technology-dominated Nasdaq saw a decrease of 0.39%. Prior to today's trading, shares of the maker of hard drives for businesses and personal computers had gained 13.85% outpaced the Computer and Technology sector's gain of 9.6% and the S&P 500's gain of 5.88%. The upcoming earnings release of Western Digital will be of great interest to investors. The company's earnings report is expected on July 30, 2025. On that day, Western Digital is projected to report earnings of $1.47 per share, which would represent year-over-year growth of 2.08%. Our most recent consensus estimate is calling for quarterly revenue of $2.45 billion, down 34.79% from the year-ago period. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $4.73 per share and revenue of $9.37 billion. These totals would mark changes of +2465% and 0%, respectively, from last year. Investors should also take note of any recent adjustments to analyst estimates for Western Digital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability. Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 2.45% upward. Western Digital presently features a Zacks Rank of #1 (Strong Buy). In terms of valuation, Western Digital is presently being traded at a Forward P/E ratio of 11.78. This signifies a discount in comparison to the average Forward P/E of 13.9 for its industry. The Computer- Storage Devices industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 69, placing it within the top 28% of over 250 industries. The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Be sure to follow all of these stock-moving metrics, and many more, on Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Western Digital Corporation (WDC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Globe and Mail
14-07-2025
- Business
- Globe and Mail
Western Digital to Announce Fourth Quarter and Fiscal Year 2025 Financial Results on July 30, 2025
Western Digital Corp. (Nasdaq: WDC) plans to announce its fourth quarter and fiscal year 2025 financial results after the market closes on Wednesday, July 30, 2025. The company will host a conference call with the investment community to discuss these results on July 30, 2025, at 1:30 p.m. Pacific/4:30 p.m. Eastern. A live audio webcast and a webcast replay of the conference call will be available at About Western Digital Western Digital empowers the systems and people who rely on data. Consistently delivering massive capacity, high quality and low TCO, Western Digital is trusted by hyperscale cloud providers, enterprise data centers, content professionals and consumers around the world. Core to its values, the company recognizes the urgency to combat climate change and is on a mission to design storage technologies that not only meet today's data demands but also contribute to a more climate-conscious future. Follow Western Digital on LinkedIn and learn more at © 2025 Western Digital Corporation or its affiliates. All rights reserved. Western Digital, the Western Digital design, and the Western Digital logo are registered trademarks or trademarks of Western Digital Corporation or its affiliates in the US and/or other countries. All other marks are the property of their respective owners.
