Western Digital (WDC - Free Report) closed at $31.05 in the latest trading session, marking a -0.93% move from the prior day. This change was narrower than the S&P 500's daily loss of 4.34%. Elsewhere, the Dow lost 4.55%, while the tech-heavy Nasdaq lost 3.79%.
Heading into today, shares of the maker of hard drives for businesses and personal computers had lost 54.62% over the past month, lagging the Computer and Technology sector's loss of 27.47% and the S&P 500's loss of 28.78% in that time.
Wall Street will be looking for positivity from WDC as it approaches its next earnings report date. In that report, analysts expect WDC to post earnings of $0.97 per share. This would mark year-over-year growth of 470.59%. Our most recent consensus estimate is calling for quarterly revenue of $4.25 billion, up 15.55% from the year-ago period.
WDC's full-year Zacks Consensus Estimates are calling for earnings of $3.26 per share and revenue of $16.90 billion. These results would represent year-over-year changes of -32.64% and +2.03%, respectively.
Any recent changes to analyst estimates for WDC should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 2.41% higher within the past month. WDC currently has a Zacks Rank of #1 (Strong Buy).
Digging into valuation, WDC currently has a Forward P/E ratio of 9.61. Its industry sports an average Forward P/E of 9.42, so we one might conclude that WDC is trading at a premium comparatively.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 17, putting it in the top 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.