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Western Digital (WDC) Surpasses Market Returns: Some Facts Worth Knowing
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Western Digital (WDC - Free Report) ended the recent trading session at $311.96, demonstrating a +2.57% change from the preceding day's closing price. This change outpaced the S&P 500's 0.08% gain on the day. Elsewhere, the Dow lost 0.18%, while the tech-heavy Nasdaq added 0.1%.
Coming into today, shares of the maker of hard drives for businesses and personal computers had gained 16.06% in the past month. In that same time, the Computer and Technology sector lost 2.82%, while the S&P 500 lost 1.74%.
The upcoming earnings release of Western Digital will be of great interest to investors. The company is predicted to post an EPS of $2.34, indicating a 72.06% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.23 billion, showing a 40.72% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $8.96 per share and a revenue of $12.43 billion, signifying shifts of +81.74% and -6.41%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Western Digital. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. As of now, Western Digital holds a Zacks Rank of #3 (Hold).
From a valuation perspective, Western Digital is currently exchanging hands at a Forward P/E ratio of 33.94. This expresses a premium compared to the average Forward P/E of 12.68 of its industry.
Meanwhile, WDC's PEG ratio is currently 0.66. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Computer- Storage Devices stocks are, on average, holding a PEG ratio of 1.33 based on yesterday's closing prices.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 54, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Western Digital (WDC) Surpasses Market Returns: Some Facts Worth Knowing
Western Digital (WDC - Free Report) ended the recent trading session at $311.96, demonstrating a +2.57% change from the preceding day's closing price. This change outpaced the S&P 500's 0.08% gain on the day. Elsewhere, the Dow lost 0.18%, while the tech-heavy Nasdaq added 0.1%.
Coming into today, shares of the maker of hard drives for businesses and personal computers had gained 16.06% in the past month. In that same time, the Computer and Technology sector lost 2.82%, while the S&P 500 lost 1.74%.
The upcoming earnings release of Western Digital will be of great interest to investors. The company is predicted to post an EPS of $2.34, indicating a 72.06% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.23 billion, showing a 40.72% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $8.96 per share and a revenue of $12.43 billion, signifying shifts of +81.74% and -6.41%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Western Digital. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. As of now, Western Digital holds a Zacks Rank of #3 (Hold).
From a valuation perspective, Western Digital is currently exchanging hands at a Forward P/E ratio of 33.94. This expresses a premium compared to the average Forward P/E of 12.68 of its industry.
Meanwhile, WDC's PEG ratio is currently 0.66. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Computer- Storage Devices stocks are, on average, holding a PEG ratio of 1.33 based on yesterday's closing prices.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 54, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.