Update shared on04 Aug 2025
Fair value Increased 25%The sharp increase in Western Digital’s consensus price target is primarily driven by a significant turnaround in projected revenue growth from -11.2% to 7.3% annually, resulting in a fair value revision from $68.67 to $85.33.
What's in the News
- Western Digital provided financial guidance for the fiscal first quarter of 2026 with expected revenues of $2.7 billion.
- The company announced new storage infrastructure solutions for AI/ML, cloud, and enterprise workloads, including enhanced OCCL 2.0 architectures, the OpenFlex Data24 4100, and the Data102 3000 ORv3 compliant with Open Rack v3 specifications.
- Western Digital and Ingrasys are collaborating to deliver a new Top-of-Rack (TOR) switch with embedded storage, targeting distributed edge storage and AI market demands, with expected availability in 2027.
- The Board authorized a $2 billion share repurchase program enhancing long-term shareholder value.
- Kris Sennesael has been appointed Chief Financial Officer, bringing extensive semiconductor industry experience effective May 12, 2025.
Valuation Changes
Summary of Valuation Changes for Western Digital
- The Consensus Analyst Price Target has significantly risen from $68.67 to $85.33.
- The Consensus Revenue Growth forecasts for Western Digital has significantly risen from -11.2% per annum to 7.3% per annum.
- The Future P/E for Western Digital has significantly risen from 17.54x to 19.35x.
Disclaimer
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