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Western Digital (WDC) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Western Digital (WDC - Free Report) closed at $59.92, marking a -1.15% move from the previous day. This move lagged the S&P 500's daily loss of 0.35%. Elsewhere, the Dow lost 0.68%, while the tech-heavy Nasdaq added 0.08%.
Coming into today, shares of the maker of hard drives for businesses and personal computers had lost 4.15% in the past month. In that same time, the Computer and Technology sector gained 1.48%, while the S&P 500 gained 2.47%.
WDC will be looking to display strength as it nears its next earnings release, which is expected to be October 25, 2018. The company is expected to report EPS of $3.08, down 13.48% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.14 billion, down 0.83% from the year-ago period.
WDC's full-year Zacks Consensus Estimates are calling for earnings of $11.61 per share and revenue of $20.59 billion. These results would represent year-over-year changes of -21.18% and -0.28%, respectively.
Investors might also notice recent changes to analyst estimates for WDC. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. WDC is currently a Zacks Rank #3 (Hold).
Digging into valuation, WDC currently has a Forward P/E ratio of 5.23. For comparison, its industry has an average Forward P/E of 19.64, which means WDC is trading at a discount to the group.
Meanwhile, WDC's PEG ratio is currently 0.28. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WDC's industry had an average PEG ratio of 1.39 as of yesterday's close.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Western Digital (WDC) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Western Digital (WDC - Free Report) closed at $59.92, marking a -1.15% move from the previous day. This move lagged the S&P 500's daily loss of 0.35%. Elsewhere, the Dow lost 0.68%, while the tech-heavy Nasdaq added 0.08%.
Coming into today, shares of the maker of hard drives for businesses and personal computers had lost 4.15% in the past month. In that same time, the Computer and Technology sector gained 1.48%, while the S&P 500 gained 2.47%.
WDC will be looking to display strength as it nears its next earnings release, which is expected to be October 25, 2018. The company is expected to report EPS of $3.08, down 13.48% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.14 billion, down 0.83% from the year-ago period.
WDC's full-year Zacks Consensus Estimates are calling for earnings of $11.61 per share and revenue of $20.59 billion. These results would represent year-over-year changes of -21.18% and -0.28%, respectively.
Investors might also notice recent changes to analyst estimates for WDC. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. WDC is currently a Zacks Rank #3 (Hold).
Digging into valuation, WDC currently has a Forward P/E ratio of 5.23. For comparison, its industry has an average Forward P/E of 19.64, which means WDC is trading at a discount to the group.
Meanwhile, WDC's PEG ratio is currently 0.28. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WDC's industry had an average PEG ratio of 1.39 as of yesterday's close.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.