Western Digital (NASDAQ:WDC) Downgraded by BidaskClub to Hold

BidaskClub downgraded shares of Western Digital (NASDAQ:WDC) from a buy rating to a hold rating in a research note released on Thursday morning, BidAskClub reports.

A number of other equities research analysts have also weighed in on the company. UBS Group set a $63.00 price objective on Western Digital and gave the stock a hold rating in a research report on Tuesday, September 10th. Maxim Group set a $126.00 target price on Western Digital and gave the company a buy rating in a report on Friday, September 6th. Barclays initiated coverage on Western Digital in a research note on Wednesday, August 7th. They issued an equal weight rating and a $53.00 price target for the company. Mizuho lifted their price target on shares of Western Digital from $61.00 to $64.00 and gave the company a buy rating in a report on Wednesday, September 4th. Finally, Loop Capital raised shares of Western Digital from a hold rating to a buy rating and boosted their price objective for the company from $50.00 to $75.00 in a research report on Monday, October 14th. Five research analysts have rated the stock with a sell rating, eleven have given a hold rating and twelve have issued a buy rating to the company. The company presently has an average rating of Hold and a consensus price target of $62.40.

Shares of NASDAQ:WDC traded up $1.69 during midday trading on Thursday, hitting $49.08. 4,025,687 shares of the stock traded hands, compared to its average volume of 5,928,281. The stock has a market capitalization of $14.11 billion, a PE ratio of 12.88, a P/E/G ratio of 15.73 and a beta of 1.79. The business’s 50 day moving average is $53.16 and its two-hundred day moving average is $52.15. The company has a quick ratio of 1.22, a current ratio of 1.98 and a debt-to-equity ratio of 1.04. Western Digital has a one year low of $33.83 and a one year high of $65.31.

Western Digital (NASDAQ:WDC) last posted its earnings results on Wednesday, October 30th. The data storage provider reported $0.34 earnings per share for the quarter, topping the Zacks’ consensus estimate of ($0.07) by $0.41. Western Digital had a negative net margin of 9.89% and a positive return on equity of 3.28%. The company had revenue of $4.04 billion during the quarter, compared to analyst estimates of $3.92 billion. During the same period in the prior year, the business posted $3.04 earnings per share. Western Digital’s revenue for the quarter was down 19.6% on a year-over-year basis. As a group, sell-side analysts forecast that Western Digital will post 1.6 earnings per share for the current year.

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, January 21st. Shareholders of record on Friday, January 3rd will be given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 4.07%. The ex-dividend date of this dividend is Thursday, January 2nd. Western Digital’s dividend payout ratio is currently 52.49%.

In related news, Director Matthew E. Massengill sold 3,110 shares of the firm’s stock in a transaction that occurred on Friday, November 8th. The stock was sold at an average price of $52.17, for a total transaction of $162,248.70. Following the completion of the transaction, the director now owns 22,387 shares of the company’s stock, valued at approximately $1,167,929.79. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, COO Michael D. Cordano sold 4,640 shares of the firm’s stock in a transaction that occurred on Thursday, October 31st. The shares were sold at an average price of $55.35, for a total value of $256,824.00. Following the transaction, the chief operating officer now directly owns 281,344 shares of the company’s stock, valued at approximately $15,572,390.40. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 13,375 shares of company stock worth $728,504. Company insiders own 0.44% of the company’s stock.

A number of institutional investors have recently added to or reduced their stakes in WDC. Invesco Ltd. grew its holdings in shares of Western Digital by 36.5% during the second quarter. Invesco Ltd. now owns 6,340,189 shares of the data storage provider’s stock valued at $301,475,000 after buying an additional 1,696,513 shares during the last quarter. Nuveen Asset Management LLC boosted its position in shares of Western Digital by 3,406.5% during the second quarter. Nuveen Asset Management LLC now owns 1,309,208 shares of the data storage provider’s stock valued at $62,253,000 after buying an additional 1,271,871 shares during the last quarter. Vanguard Group Inc. increased its holdings in Western Digital by 1.7% in the 2nd quarter. Vanguard Group Inc. now owns 32,104,981 shares of the data storage provider’s stock worth $1,526,591,000 after buying an additional 532,800 shares in the last quarter. First Trust Advisors LP increased its holdings in Western Digital by 17.3% in the 2nd quarter. First Trust Advisors LP now owns 3,272,870 shares of the data storage provider’s stock worth $155,625,000 after buying an additional 482,473 shares in the last quarter. Finally, Fort Pitt Capital Group LLC raised its position in Western Digital by 97.7% in the 2nd quarter. Fort Pitt Capital Group LLC now owns 822,351 shares of the data storage provider’s stock worth $39,103,000 after buying an additional 406,338 shares during the last quarter. 84.44% of the stock is currently owned by institutional investors and hedge funds.

Western Digital Company Profile

Western Digital Corporation develops, manufactures, and sells data storage devices and solutions worldwide. It offers client devices, including hard disk drives (HDDs) and solid state drives (SSDs) for computing devices, such as desktop and notebook PCs, security surveillance systems, gaming consoles, and set top boxes; flash-based embedded storage products for mobile phones, tablets, notebook PCs, and other portable and wearable devices, as well as automotive, IoT, industrial, and connected home applications; flash-based memory wafers; and embedded storage solutions and iNAND embedded flash products, such as multi-chip package solutions.

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