WESTERN DIGITAL CORP (1WDC.MI) Stock Fundamental Analysis
Europe - BIT:1WDC - US9581021055 - Common Stock
106.62 EUR
-9.12 (-7.88%)
1WDC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 29 industry peers in the Technology Hardware, Storage & Peripherals industry. While 1WDC belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1WDC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
1WDC had positive earnings in the past year.
1WDC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: 1WDC reported negative net income in multiple years.
In multiple years 1WDC reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 13.16%, 1WDC belongs to the top of the industry, outperforming 89.66% of the companies in the same industry.
With an excellent Return On Equity value of 33.25%, 1WDC belongs to the best of the industry, outperforming 93.10% of the companies in the same industry.
1WDC has a better Return On Invested Capital (24.52%) than 86.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.16% | ||
| ROE | 33.25% | ||
| ROIC | 24.52% |
ROA(3y)0.89%
ROA(5y)2.34%
ROE(3y)3.69%
ROE(5y)6.28%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
1WDC's Profit Margin of 13.87% is amongst the best of the industry. 1WDC outperforms 89.66% of its industry peers.
1WDC's Profit Margin has improved in the last couple of years.
1WDC has a better Operating Margin (21.13%) than 93.10% of its industry peers.
1WDC's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 38.00%, 1WDC is doing good in the industry, outperforming 65.52% of the companies in the same industry.
1WDC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.13% | ||
| PM (TTM) | 13.87% | ||
| GM | 38% |
OM growth 3Y16.77%
OM growth 5Y53.81%
PM growth 3Y32.94%
PM growth 5YN/A
GM growth 3Y6.22%
GM growth 5Y11.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1WDC is creating value.
1WDC has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1WDC has more shares outstanding
1WDC has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.76 indicates that 1WDC is not in any danger for bankruptcy at the moment.
1WDC has a better Altman-Z score (4.76) than 75.86% of its industry peers.
1WDC has a debt to FCF ratio of 3.68. This is a good value and a sign of high solvency as 1WDC would need 3.68 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.68, 1WDC perfoms like the industry average, outperforming 58.62% of the companies in the same industry.
A Debt/Equity ratio of 0.45 indicates that 1WDC is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.45, 1WDC is in line with its industry, outperforming 55.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.68 | ||
| Altman-Z | 4.76 |
ROIC/WACC3.05
WACC8.03%
2.3 Liquidity
A Current Ratio of 1.08 indicates that 1WDC should not have too much problems paying its short term obligations.
The Current ratio of 1WDC (1.08) is worse than 62.07% of its industry peers.
A Quick Ratio of 0.84 indicates that 1WDC may have some problems paying its short term obligations.
1WDC has a Quick ratio (0.84) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
1WDC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1828.95%, which is quite impressive.
Measured over the past years, 1WDC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.66% on average per year.
Looking at the last year, 1WDC shows a very negative growth in Revenue. The Revenue has decreased by -15.70% in the last year.
Measured over the past years, 1WDC shows a very negative growth in Revenue. The Revenue has been decreasing by -10.67% on average per year.
EPS 1Y (TTM)1828.95%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%15.28%
Revenue 1Y (TTM)-15.7%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-30.79%
3.2 Future
Based on estimates for the next years, 1WDC will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.07% on average per year.
The Revenue is expected to grow by 7.74% on average over the next years.
EPS Next Y1.07%
EPS Next 2Y5.66%
EPS Next 3Y8.64%
EPS Next 5Y10.07%
Revenue Next Year18.06%
Revenue Next 2Y12.18%
Revenue Next 3Y9.82%
Revenue Next 5Y7.74%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.80, which indicates a rather expensive current valuation of 1WDC.
75.86% of the companies in the same industry are more expensive than 1WDC, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of 1WDC to the average of the S&P500 Index (27.67), we can say 1WDC is valued slightly cheaper.
The Price/Forward Earnings ratio is 18.61, which indicates a rather expensive current valuation of 1WDC.
1WDC's Price/Forward Earnings is on the same level as the industry average.
1WDC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.33, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.8 | ||
| Fwd PE | 18.61 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1WDC indicates a somewhat cheap valuation: 1WDC is cheaper than 62.07% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1WDC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.53 | ||
| EV/EBITDA | 13.96 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1WDC does not grow enough to justify the current Price/Earnings ratio.
1WDC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)17.63
PEG (5Y)1.13
EPS Next 2Y5.66%
EPS Next 3Y8.64%
5. Dividend
5.1 Amount
1WDC has a yearly dividend return of 0.33%, which is pretty low.
1WDC's Dividend Yield is comparable with the industry average which is at 2.21.
With a Dividend Yield of 0.33, 1WDC pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
5.2 History
The dividend of 1WDC decreases each year by -42.40%.
Dividend Growth(5Y)-42.4%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1WDC pays out 2.39% of its income as dividend. This is a sustainable payout ratio.
DP2.39%
EPS Next 2Y5.66%
EPS Next 3Y8.64%
BIT:1WDC (10/17/2025, 7:00:00 PM)
106.62
-9.12 (-7.88%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners106.77%
Inst Owner ChangeN/A
Ins Owners0.49%
Ins Owner ChangeN/A
Market Cap36.99B
Revenue(TTM)13.28B
Net Income(TTM)1.84B
Analysts79.38
Price Target89.23 (-16.31%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
Yearly Dividend0.11
Dividend Growth(5Y)-42.4%
DP2.39%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.3%
Min EPS beat(2)10.76%
Max EPS beat(2)19.85%
EPS beat(4)3
Avg EPS beat(4)7.91%
Min EPS beat(4)-1.74%
Max EPS beat(4)19.85%
EPS beat(8)7
Avg EPS beat(8)37.78%
EPS beat(12)9
Avg EPS beat(12)2.7%
EPS beat(16)13
Avg EPS beat(16)3.31%
Revenue beat(2)1
Avg Revenue beat(2)0.52%
Min Revenue beat(2)-3.37%
Max Revenue beat(2)4.41%
Revenue beat(4)1
Avg Revenue beat(4)-0.25%
Min Revenue beat(4)-3.37%
Max Revenue beat(4)4.41%
Revenue beat(8)4
Avg Revenue beat(8)0.44%
Revenue beat(12)8
Avg Revenue beat(12)1.41%
Revenue beat(16)9
Avg Revenue beat(16)0.86%
PT rev (1m)21.57%
PT rev (3m)69.13%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)16.98%
EPS NY rev (1m)1.04%
EPS NY rev (3m)20.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)8.25%
Revenue NY rev (1m)0.53%
Revenue NY rev (3m)9.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.8 | ||
| Fwd PE | 18.61 | ||
| P/S | 3.23 | ||
| P/FCF | 33.53 | ||
| P/OCF | 25.36 | ||
| P/B | 7.74 | ||
| P/tB | 37.32 | ||
| EV/EBITDA | 13.96 |
EPS(TTM)5.67
EY5.32%
EPS(NY)5.73
Fwd EY5.37%
FCF(TTM)3.18
FCFY2.98%
OCF(TTM)4.2
OCFY3.94%
SpS33.02
BVpS13.77
TBVpS2.86
PEG (NY)17.63
PEG (5Y)1.13
Graham Number41.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.16% | ||
| ROE | 33.25% | ||
| ROCE | 32.69% | ||
| ROIC | 24.52% | ||
| ROICexc | 32.53% | ||
| ROICexgc | 101.23% | ||
| OM | 21.13% | ||
| PM (TTM) | 13.87% | ||
| GM | 38% | ||
| FCFM | 9.63% |
ROA(3y)0.89%
ROA(5y)2.34%
ROE(3y)3.69%
ROE(5y)6.28%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y48.5%
ROICexgc growth 5Y76.15%
ROICexc growth 3Y32.58%
ROICexc growth 5Y68.99%
OM growth 3Y16.77%
OM growth 5Y53.81%
PM growth 3Y32.94%
PM growth 5YN/A
GM growth 3Y6.22%
GM growth 5Y11.02%
F-Score7
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.68 | ||
| Debt/EBITDA | 0.76 | ||
| Cap/Depr | 91.35% | ||
| Cap/Sales | 3.1% | ||
| Interest Coverage | 7.65 | ||
| Cash Conversion | 51.92% | ||
| Profit Quality | 69.44% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | 4.76 |
F-Score7
WACC8.03%
ROIC/WACC3.05
Cap/Depr(3y)92.08%
Cap/Depr(5y)98.32%
Cap/Sales(3y)8.39%
Cap/Sales(5y)7.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1828.95%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%15.28%
EPS Next Y1.07%
EPS Next 2Y5.66%
EPS Next 3Y8.64%
EPS Next 5Y10.07%
Revenue 1Y (TTM)-15.7%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-30.79%
Revenue Next Year18.06%
Revenue Next 2Y12.18%
Revenue Next 3Y9.82%
Revenue Next 5Y7.74%
EBIT growth 1Y952.89%
EBIT growth 3Y-6.92%
EBIT growth 5Y37.4%
EBIT Next Year55.13%
EBIT Next 3Y18.7%
EBIT Next 5Y12.7%
FCF growth 1Y263.76%
FCF growth 3Y19.05%
FCF growth 5Y48.52%
OCF growth 1Y675.17%
OCF growth 3Y-3.47%
OCF growth 5Y15.46%