Exploring high growth characteristics of WESTERN DIGITAL CORP (NASDAQ:WDC).

A possible breakout setup was detected on WESTERN DIGITAL CORP (NASDAQ:WDC) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NASDAQ:WDC.

Insights from Technical Analysis

ChartMill assigns a Technical Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple technical indicators and properties.

Overall WDC gets a technical rating of 7 out of 10. In the past year, WDC was one of the better performing stocks in the market. The medium term picture became unclear, although we see some improvement happening in recent action.

• When comparing the yearly performance of all stocks, we notice that WDC is one of the better performing stocks in the market, outperforming 80% of all stocks. On top of that, WDC also shows a nice and consistent pattern of rising prices.
• WDC is part of the Technology Hardware, Storage & Peripherals industry. There are 32 other stocks in this industry. WDC outperforms 77% of them.
• In the last month WDC has a been trading in the 63.45 - 71.43 range, which is quite wide. It is currently trading in the middle of this range where prices have been consolidating recently, this may present a good entry opportunity, but some resistance may be present above.
• The long and short term trends are both neutral. This gives a pretty neutral overall picture!
• WDC is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so WDC is lagging the market.

For an up to date full technical analysis you can check the technical report of WDC

Why is NASDAQ:WDC a setup?

ChartMill incorporates a Setup Rating in its analysis, which measures the extent of consolidation in a stock over recent days and weeks. This rating, ranging from 0 to 10, is updated daily and takes into account multiple short-term technical indicators. The current setup rating for NASDAQ:WDC is 7:

WDC has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is very little resistance above the current price.

Looking into the high growth metrics of WESTERN DIGITAL CORP

• WESTERN DIGITAL CORP has shown positive momentum in its earnings per share (EPS) on a quarter-to-quarter (Q2Q) basis, with a 173.0% increase. This reflects the company's successful execution of its business strategies and its commitment to delivering improved financial results.
• With consistent quarter-to-quarter (Q2Q) revenue growth of 40.87%, WESTERN DIGITAL CORP exemplifies its ability to generate increased sales and revenue streams. This growth signifies the company's strong business performance and its potential for continued growth.
• WESTERN DIGITAL CORP has demonstrated strong 1-year revenue growth of 27.89%, reflecting revenue momentum and its ability to generate consistent top-line expansion. This growth underscores the company's strong market position and its potential for future success.
• In the most recent financial report, WESTERN DIGITAL CORP reported a 173.0% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
• WESTERN DIGITAL CORP shows accelerating EPS growth: when comparing the current Q2Q growth of 173.0% to the previous year Q2Q growth of -211.0%, we see the growth rate improving.
• With a favorable trend in its operating margin over the past year, WESTERN DIGITAL CORP demonstrates its ability to enhance profitability through efficient operations. This growth reflects the company's focus on optimizing its cost structure.
• The free cash flow (FCF) of WESTERN DIGITAL CORP has seen steady growth over the past year, indicating enhanced cash flow generation and financial health. This trend underscores the company's effective capital management and its ability to generate sustainable cash flows.
• Maintaining a Debt-to-Equity ratio of 0.51, WESTERN DIGITAL CORP demonstrates a conservative financial approach. This signifies the company's focus on minimizing debt burdens while preserving a solid equity position.
• WESTERN DIGITAL CORP has a strong history of beating EPS estimates in the last 4 quarters, signaling its ability to consistently exceed market expectations. This indicates the company's strong financial performance and its potential for creating shareholder value.
• WESTERN DIGITAL CORP has exhibited strong Relative Strength(RS) in recent periods, with a current 80.34 rating. This indicates the stock's ability to outperform the broader market and reflects its competitive position. WESTERN DIGITAL CORP shows promising potential for continued price momentum.

More high growth momentum breakout stocks can be found in our High Growth Momentum Breakout screen.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.