We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Western Digital (WDC) Soars 8.2%: Is Further Upside Left in the Stock?
Read MoreHide Full Article
Western Digital (WDC - Free Report) shares ended the last trading session 8.2% higher at $38.04. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 2.5% loss over the past four weeks.
The increase in share price for WDC can be attributed to announcement of slash in memory chip production by Samsung. This is likely to improve surplus supply issues and boost memory chip prices which bodes well for chipmakers like Western Digital.
This maker of hard drives for businesses and personal computers is expected to post quarterly loss of $1.55 per share in its upcoming report, which represents a year-over-year change of -193.9%. Revenues are expected to be $2.76 billion, down 36.9% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For Western Digital, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on WDC going forward to see if this recent jump can turn into more strength down the road.
Western Digital is part of the Zacks Computer- Storage Devices industry. Super Micro Computer (SMCI - Free Report) , another stock in the same industry, closed the last trading session 5.8% higher at $106.55. SMCI has returned 8.6% in the past month.
For Super Micro, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $2.02. This represents a change of +30.3% from what the company reported a year ago. Super Micro currently has a Zacks Rank of #3 (Hold).
View the Zacks #1 Rank List
Image: Bigstock
Western Digital (WDC) Soars 8.2%: Is Further Upside Left in the Stock?
Western Digital (WDC - Free Report) shares ended the last trading session 8.2% higher at $38.04. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 2.5% loss over the past four weeks.
The increase in share price for WDC can be attributed to announcement of slash in memory chip production by Samsung. This is likely to improve surplus supply issues and boost memory chip prices which bodes well for chipmakers like Western Digital.
This maker of hard drives for businesses and personal computers is expected to post quarterly loss of $1.55 per share in its upcoming report, which represents a year-over-year change of -193.9%. Revenues are expected to be $2.76 billion, down 36.9% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For Western Digital, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on WDC going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Western Digital is part of the Zacks Computer- Storage Devices industry. Super Micro Computer (SMCI - Free Report) , another stock in the same industry, closed the last trading session 5.8% higher at $106.55. SMCI has returned 8.6% in the past month.
For Super Micro, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $2.02. This represents a change of +30.3% from what the company reported a year ago. Super Micro currently has a Zacks Rank of #3 (Hold).