(WDC) Western Digital - Ratings and Ratios
HDD, SSD, External, Data Center
WDC EPS (Earnings per Share)
WDC Revenue
Description: WDC Western Digital September 29, 2025
Western Digital Corp. (NASDAQ: WDC) designs, manufactures, and sells a broad portfolio of data-storage products-including internal and external hard-disk drives (HDDs), data-center-grade drives and platforms, portable storage, and network-attached storage (NAS) solutions-across North America, Europe, Asia, the Middle East, and Africa.
The company reaches customers through original-equipment manufacturers (OEMs), a direct sales force, distributors, dealers, and retail channels. Founded in 1970, its headquarters remain in San Jose, California.
Key recent metrics: FY 2023 revenue was approximately $12.5 billion, with HDDs still contributing roughly 70 % of sales despite a steady shift toward solid-state drives (SSDs) in hyperscale data-center deployments. The HDD market share in the overall storage segment is estimated at 30 % (based on IDC data), while SSD adoption in data centers is growing at a double-digit annual rate, pressuring HDD pricing.
Sector drivers that materially affect WDC’s outlook include: (1) the surge in AI-model training and cloud-gaming workloads, which is expanding demand for high-capacity, low-cost storage; (2) ongoing supply-chain constraints on NAND flash that temporarily boost HDD attractiveness for bulk storage; and (3) macro-economic trends such as corporate cap-ex cycles and consumer discretionary spending, which influence both enterprise and consumer storage sales.
Given the competitive dynamics and the transition toward higher-value SSD and cloud-storage services, a deeper dive into Western Digital’s product-mix evolution and cash-flow trends is warranted; ValueRay’s analyst notes provide a useful framework for that analysis.
WDC Stock Overview
| Market Cap in USD | 47,350m |
| Sub-Industry | Technology Hardware, Storage & Peripherals |
| IPO / Inception | 1987-01-02 |
WDC Stock Ratings
| Growth Rating | 78.1% |
| Fundamental | 66.4% |
| Dividend Rating | 16.9% |
| Return 12m vs S&P 500 | 158% |
| Analyst Rating | 4.40 of 5 |
WDC Dividends
| Dividend Yield 12m | 0.13% |
| Yield on Cost 5y | 0.67% |
| Annual Growth 5y | % |
| Payout Consistency | 55.1% |
| Payout Ratio | 3.0% |
WDC Growth Ratios
| Growth Correlation 3m | 95.9% |
| Growth Correlation 12m | 72.9% |
| Growth Correlation 5y | 30.9% |
| CAGR 5y | 77.78% |
| CAGR/Max DD 3y (Calmar Ratio) | 1.57 |
| CAGR/Mean DD 3y (Pain Ratio) | 6.93 |
| Sharpe Ratio 12m | 2.13 |
| Alpha | 175.68 |
| Beta | 1.834 |
| Volatility | 58.71% |
| Current Volume | 8784.7k |
| Average Volume 20d | 8388.9k |
| Stop Loss | 142.1 (-6.6%) |
| Signal | 0.89 |
Piotroski VR‑10 (Strict, 0-10) 7.5
| Net Income (2.56b TTM) > 0 and > 6% of Revenue (6% = 720.1m TTM) |
| FCFTA 0.14 (>2.0%) and ΔFCFTA 13.89pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 9.18% (prev 22.55%; Δ -13.37pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.16 (>3.0%) and CFO 2.33b <= Net Income 2.56b (YES >=105%, WARN >=100%) |
| Net Debt (2.63b) to EBITDA (2.53b) ratio: 1.04 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.21 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (664.0m) change vs 12m ago 86.01% (target <= -2.0% for YES) |
| Gross Margin 39.34% (prev 30.97%; Δ 8.38pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 61.34% (prev 51.04%; Δ 10.30pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 7.07 (EBITDA TTM 2.53b / Interest Expense TTM 201.0m) >= 6 (WARN >= 3) |
Altman Z'' 1.67
| (A) 0.08 = (Total Current Assets 6.28b - Total Current Liabilities 5.17b) / Total Assets 14.36b |
| (B) 0.13 = Retained Earnings (Balance) 1.90b / Total Assets 14.36b |
| (C) 0.07 = EBIT TTM 1.42b / Avg Total Assets 19.57b |
| (D) 0.23 = Book Value of Equity 1.92b / Total Liabilities 8.24b |
| Total Rating: 1.67 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 66.39
| 1. Piotroski 7.50pt = 2.50 |
| 2. FCF Yield 3.88% = 1.94 |
| 3. FCF Margin 16.16% = 4.04 |
| 4. Debt/Equity 0.80 = 2.19 |
| 5. Debt/Ebitda 1.04 = 1.71 |
| 6. ROIC - WACC (= -2.54)% = -3.18 |
| 7. RoE 35.05% = 2.50 |
| 8. Rev. Trend 5.50% = 0.41 |
| 9. EPS Trend 85.48% = 4.27 |
What is the price of WDC shares?
Over the past week, the price has changed by +21.82%, over one month by +21.47%, over three months by +97.12% and over the past year by +209.63%.
Is Western Digital a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of WDC is around 168.00 USD . This means that WDC is currently undervalued and has a potential upside of +10.4% (Margin of Safety).
Is WDC a buy, sell or hold?
- Strong Buy: 15
- Buy: 5
- Hold: 5
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the WDC price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 128.2 | -15.8% |
| Analysts Target Price | 128.2 | -15.8% |
| ValueRay Target Price | 192.4 | 26.4% |
WDC Fundamental Data Overview November 01, 2025
P/E Trailing = 31.0405
P/E Forward = 19.6464
P/S = 4.9738
P/B = 8.5741
P/EG = 1.3641
Beta = 1.834
Revenue TTM = 12.00b USD
EBIT TTM = 1.42b USD
EBITDA TTM = 2.53b USD
Long Term Debt = 2.48b USD (from longTermDebt, last fiscal year)
Short Term Debt = 2.23b USD (from shortTermDebt, last quarter)
Debt = 4.68b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.63b USD (from netDebt column, last quarter)
Enterprise Value = 49.99b USD (47.35b + Debt 4.68b - CCE 2.05b)
Interest Coverage Ratio = 7.07 (Ebit TTM 1.42b / Interest Expense TTM 201.0m)
FCF Yield = 3.88% (FCF TTM 1.94b / Enterprise Value 49.99b)
FCF Margin = 16.16% (FCF TTM 1.94b / Revenue TTM 12.00b)
Net Margin = 21.30% (Net Income TTM 2.56b / Revenue TTM 12.00b)
Gross Margin = 39.34% ((Revenue TTM 12.00b - Cost of Revenue TTM 7.28b) / Revenue TTM)
Gross Margin QoQ = 43.54% (prev 40.96%)
Tobins Q-Ratio = 3.48 (Enterprise Value 49.99b / Total Assets 14.36b)
Interest Expense / Debt = -1.26% (Interest Expense -59.0m / Debt 4.68b)
Taxrate = 11.59% (155.0m / 1.34b)
NOPAT = 1.26b (EBIT 1.42b * (1 - 11.59%))
Current Ratio = 1.21 (Total Current Assets 6.28b / Total Current Liabilities 5.17b)
Debt / Equity = 0.80 (Debt 4.68b / totalStockholderEquity, last quarter 5.89b)
Debt / EBITDA = 1.04 (Net Debt 2.63b / EBITDA 2.53b)
Debt / FCF = 1.36 (Net Debt 2.63b / FCF TTM 1.94b)
Total Stockholder Equity = 7.29b (last 4 quarters mean from totalStockholderEquity)
RoA = 17.81% (Net Income 2.56b / Total Assets 14.36b)
RoE = 35.05% (Net Income TTM 2.56b / Total Stockholder Equity 7.29b)
RoCE = 14.54% (EBIT 1.42b / Capital Employed (Equity 7.29b + L.T.Debt 2.48b))
RoIC = 8.98% (NOPAT 1.26b / Invested Capital 14.01b)
WACC = 11.52% (E(47.35b)/V(52.03b) * Re(12.77%) + D(4.68b)/V(52.03b) * Rd(-1.26%) * (1-Tc(0.12)))
Discount Rate = 12.77% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 42.94%
[DCF Debug] Terminal Value 52.45% ; FCFE base≈1.94b ; Y1≈1.27b ; Y5≈582.5m
Fair Price DCF = 18.73 (DCF Value 6.42b / Shares Outstanding 342.8m; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: 85.48 | EPS CAGR: 35.01% | SUE: 1.20 | # QB: 3
Revenue Correlation: 5.50 | Revenue CAGR: -3.49% | SUE: 0.04 | # QB: 0
Additional Sources for WDC Stock
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Fund Manager Positions: Dataroma | Stockcircle