SPX Gestao de Recursos Ltda Takes Position in Western Digital Corporation $WDC

SPX Gestao de Recursos Ltda bought a new position in shares of Western Digital Corporation (NASDAQ:WDC) in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm bought 11,300 shares of the data storage provider’s stock, valued at approximately $7,218,000.

Other hedge funds and other institutional investors have also modified their holdings of the company. Archer Investment Corp bought a new stake in shares of Western Digital during the 2nd quarter worth about $394,000. Fox Hill Wealth Management bought a new position in Western Digital in the 2nd quarter valued at about $560,000. Kingsview Wealth Management LLC acquired a new stake in Western Digital during the second quarter worth approximately $447,000. Beacon Pointe Advisors LLC acquired a new stake in Western Digital during the second quarter worth approximately $4,781,000. Finally, Livforsakringsbolaget Skandia Omsesidigt bought a new stake in shares of Western Digital during the second quarter worth approximately $1,379,000. Institutional investors own 92.51% of the company’s stock.

Western Digital Stock Down 0.6%

Shares of NASDAQ:WDC opened at $459.45 on Friday. Western Digital Corporation has a 12-month low of $77.90 and a 12-month high of $799.87. The company’s 50 day moving average price is $526.99 and its two-hundred day moving average price is $439.63. The firm has a market cap of $158.36 billion, a PE ratio of 18.98 and a beta of 2.14.

Western Digital (NASDAQ:WDC) last released its quarterly earnings results on Wednesday, August 5th. The data storage provider reported $3.56 earnings per share for the quarter, beating analysts’ consensus estimates of $3.31 by $0.25. The company had revenue of $3.75 billion during the quarter, compared to the consensus estimate of $3.70 billion. Western Digital had a net margin of 72.95% and a return on equity of 48.15%. The firm’s quarterly revenue was up 43.8% on a year-over-year basis. During the same period in the previous year, the business earned $1.66 earnings per share. Western Digital has set its Q1 2027 guidance at 3.850-4.150 EPS. On average, research analysts expect that Western Digital Corporation will post 19.65 EPS for the current year.

Western Digital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 17th. Shareholders of record on Tuesday, September 8th will be paid a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a yield of 0.1%. The ex-dividend date is Tuesday, September 8th. Western Digital’s dividend payout ratio (DPR) is 2.48%.

Insider Buying and Selling at Western Digital

In related news, insider Cynthia L. Tregillis sold 1,007 shares of the firm’s stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $478.36, for a total value of $481,708.52. Following the transaction, the insider owned 112,155 shares in the company, valued at approximately $53,650,465.80. This trade represents a 0.89% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Vidyadhara K. Gubbi sold 2,475 shares of the firm’s stock in a transaction on Monday, June 1st. The stock was sold at an average price of $556.24, for a total value of $1,376,694.00. Following the completion of the transaction, the insider owned 85,154 shares in the company, valued at $47,366,060.96. The trade was a 2.82% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 26,117 shares of company stock valued at $12,053,353 in the last three months. Corporate insiders own 0.18% of the company’s stock.

Analyst Ratings Changes

Several equities analysts have recently commented on the company. TD Cowen upped their target price on Western Digital from $500.00 to $540.00 and gave the company a “buy” rating in a research report on Thursday, August 6th. Jefferies Financial Group set a $575.00 price target on Western Digital in a report on Tuesday, May 26th. Rosenblatt Securities reduced their price target on Western Digital from $900.00 to $800.00 and set a “buy” rating for the company in a research note on Thursday, August 6th. Fox Advisors lowered Western Digital from an “overweight” rating to an “equal weight” rating in a report on Monday, June 22nd. Finally, UBS Group lowered their price objective on Western Digital from $560.00 to $525.00 and set a “neutral” rating on the stock in a research report on Thursday, August 6th. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $534.56.

Key Stories Impacting Western Digital

Here are the key news stories impacting Western Digital this week:

• Positive Sentiment: Western Digital’s long-term outlook remains supported by demand for AI infrastructure, cloud computing, enterprise storage, automotive systems and other data-intensive applications. Analysts at Zacks continue to identify WDC as a potential beneficiary of strong memory and storage demand, particularly following Nvidia’s solid results. 4 High-Flying Memory and Storage Giants
• Positive Sentiment: The company’s latest quarterly results provide fundamental support: revenue rose 43.8% year over year to $3.75 billion, while earnings of $3.56 per share exceeded expectations. Guidance for $3.85 to $4.15 in next-quarter EPS also remains constructive.
• Positive Sentiment: Wall Street’s consensus remains bullish, with a “Moderate Buy” rating and an average price target above the current trading level. Several firms have cited continued AI and storage demand as reasons for further upside. Wall Street’s Bullish Views on WDC
• Neutral Sentiment: Insider Cynthia Tregillis sold a small portion of her holdings under a pre-arranged Rule 10b5-1 trading plan. The transactions modestly reduce her position but do not necessarily signal deteriorating confidence. Cynthia Tregillis Insider Transactions
• Negative Sentiment: Memory and storage stocks sold off even after Nvidia reported strong results, suggesting investors are taking profits from an extended AI trade and differentiating among suppliers. Western Digital’s underperformance versus peers has amplified concern that expectations or valuation may have become too aggressive. Why Memory Stocks Fell Despite Nvidia’s Results

Western Digital Company Profile

Western Digital Corporation is a global data storage company that designs, manufactures and sells a broad range of storage devices and systems for personal, enterprise and cloud applications. Headquartered in San Jose, California, the company develops hard disk drives (HDDs), solid-state drives (SSDs), NAND flash components and finished storage products used in PCs, external storage, servers, network-attached storage (NAS) and embedded systems.

Its product portfolio spans consumer and commercial markets, including internal and external HDDs and SSDs, removable flash memory products and storage platforms for data center and enterprise environments.