WESTERN DIGITAL CORP (1WDC.MI) Stock Fundamental Analysis
Europe - BIT:1WDC - US9581021055 - Common Stock
123.7 EUR
+17.08 (+16.02%)
We assign a fundamental rating of 5 out of 10 to 1WDC. 1WDC was compared to 29 industry peers in the Technology Hardware, Storage & Peripherals industry. 1WDC scores excellent on profitability, but there are some minor concerns on its financial health. 1WDC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1WDC was profitable.
In the past year 1WDC had a positive cash flow from operations.
In multiple years 1WDC reported negative net income over the last 5 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 17.50%, 1WDC belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
Looking at the Return On Equity, with a value of 41.08%, 1WDC belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
The Return On Invested Capital of 1WDC (22.95%) is better than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.5% | ||
| ROE | 41.08% | ||
| ROIC | 22.95% |
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
Looking at the Profit Margin, with a value of 20.94%, 1WDC belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
In the last couple of years the Profit Margin of 1WDC has grown nicely.
With an excellent Operating Margin value of 23.42%, 1WDC belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
1WDC's Operating Margin has improved in the last couple of years.
1WDC has a better Gross Margin (39.34%) than 66.67% of its industry peers.
1WDC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.42% | ||
| PM (TTM) | 20.94% | ||
| GM | 39.34% |
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.
Compared to 1 year ago, 1WDC has more shares outstanding
The number of shares outstanding for 1WDC has been increased compared to 5 years ago.
Compared to 1 year ago, 1WDC has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of 1WDC is 2.33, which is a good value as it means it would take 1WDC, 2.33 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 1WDC (2.33) is better than 73.33% of its industry peers.
1WDC has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of 1WDC (0.40) is better than 63.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.33 | ||
| Altman-Z | N/A |
ROIC/WACC2.79
WACC8.22%
2.3 Liquidity
1WDC has a Current Ratio of 1.21. This is a normal value and indicates that 1WDC is financially healthy and should not expect problems in meeting its short term obligations.
1WDC has a Current ratio (1.21) which is in line with its industry peers.
1WDC has a Quick Ratio of 1.21. This is a bad value and indicates that 1WDC is not financially healthy enough and could expect problems in meeting its short term obligations.
1WDC's Quick ratio of 0.94 is in line compared to the rest of the industry. 1WDC outperforms 53.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
1WDC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 107.91%, which is quite impressive.
1WDC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.66% yearly.
1WDC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -29.80%.
1WDC shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -10.67% yearly.
EPS 1Y (TTM)107.91%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%0%
Revenue 1Y (TTM)-29.8%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-31.18%
3.2 Future
1WDC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.50% yearly.
Based on estimates for the next years, 1WDC will show a quite strong growth in Revenue. The Revenue will grow by 11.66% on average per year.
EPS Next Y11.41%
EPS Next 2Y15.17%
EPS Next 3Y16.78%
EPS Next 5Y11.5%
Revenue Next Year21.8%
Revenue Next 2Y15.37%
Revenue Next 3Y14.66%
Revenue Next 5Y11.66%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
1WDC is valuated rather expensively with a Price/Earnings ratio of 21.78.
Based on the Price/Earnings ratio, 1WDC is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.06, 1WDC is valued at the same level.
Based on the Price/Forward Earnings ratio of 16.41, the valuation of 1WDC can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as 1WDC.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.73, 1WDC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.78 | ||
| Fwd PE | 16.41 |
4.2 Price Multiples
1WDC's Enterprise Value to EBITDA ratio is in line with the industry average.
1WDC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.38 | ||
| EV/EBITDA | 16.07 |
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.
The decent profitability rating of 1WDC may justify a higher PE ratio.
A more expensive valuation may be justified as 1WDC's earnings are expected to grow with 16.78% in the coming years.
PEG (NY)1.91
PEG (5Y)1.31
EPS Next 2Y15.17%
EPS Next 3Y16.78%
5. Dividend
5.1 Amount
With a yearly dividend of 0.33%, 1WDC is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.07, 1WDC has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.37, 1WDC's dividend is way lower than the S&P500 average.
| 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
3.30% of the earnings are spent on dividend by 1WDC. This is a low number and sustainable payout ratio.
DP3.3%
EPS Next 2Y15.17%
EPS Next 3Y16.78%
BIT:1WDC (10/31/2025, 7:00:00 PM)
123.7
+17.08 (+16.02%)
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 Cap42.40B
Revenue(TTM)12.00B
Net Income(TTM)2.51B
Analysts79.38
Price Target109.2 (-11.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
Yearly Dividend0.11
Dividend Growth(5Y)-42.4%
DP3.3%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.17%
Min EPS beat(2)10.76%
Max EPS beat(2)11.58%
EPS beat(4)3
Avg EPS beat(4)10.11%
Min EPS beat(4)-1.74%
Max EPS beat(4)19.85%
EPS beat(8)7
Avg EPS beat(8)38.17%
EPS beat(12)10
Avg EPS beat(12)7.46%
EPS beat(16)13
Avg EPS beat(16)3.99%
Revenue beat(2)2
Avg Revenue beat(2)3.38%
Min Revenue beat(2)2.36%
Max Revenue beat(2)4.41%
Revenue beat(4)2
Avg Revenue beat(4)0.73%
Min Revenue beat(4)-3.37%
Max Revenue beat(4)4.41%
Revenue beat(8)4
Avg Revenue beat(8)0.41%
Revenue beat(12)8
Avg Revenue beat(12)1.36%
Revenue beat(16)10
Avg Revenue beat(16)1.07%
PT rev (1m)38.18%
PT rev (3m)105.41%
EPS NQ rev (1m)12.75%
EPS NQ rev (3m)34.65%
EPS NY rev (1m)10.23%
EPS NY rev (3m)32.46%
Revenue NQ rev (1m)4.36%
Revenue NQ rev (3m)14.64%
Revenue NY rev (1m)3.17%
Revenue NY rev (3m)12.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.78 | ||
| Fwd PE | 16.41 | ||
| P/S | 4.08 | ||
| P/FCF | 24.38 | ||
| P/OCF | 20.43 | ||
| P/B | 8.01 | ||
| P/tB | 27.27 | ||
| EV/EBITDA | 16.07 |
EPS(TTM)5.68
EY4.59%
EPS(NY)7.54
Fwd EY6.09%
FCF(TTM)5.07
FCFY4.1%
OCF(TTM)6.06
OCFY4.9%
SpS30.28
BVpS15.43
TBVpS4.54
PEG (NY)1.91
PEG (5Y)1.31
Graham Number44.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.5% | ||
| ROE | 41.08% | ||
| ROCE | 30.6% | ||
| ROIC | 22.95% | ||
| ROICexc | 29.54% | ||
| ROICexgc | 74.79% | ||
| OM | 23.42% | ||
| PM (TTM) | 20.94% | ||
| GM | 39.34% | ||
| FCFM | 16.76% |
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 Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.33 | ||
| Debt/EBITDA | 0.76 | ||
| Cap/Depr | 96.29% | ||
| Cap/Sales | 3.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.65% | ||
| Profit Quality | 80.02% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | N/A |
F-Score7
WACC8.22%
ROIC/WACC2.79
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)107.91%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%0%
EPS Next Y11.41%
EPS Next 2Y15.17%
EPS Next 3Y16.78%
EPS Next 5Y11.5%
Revenue 1Y (TTM)-29.8%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-31.18%
Revenue Next Year21.8%
Revenue Next 2Y15.37%
Revenue Next 3Y14.66%
Revenue Next 5Y11.66%
EBIT growth 1Y181.1%
EBIT growth 3Y-6.92%
EBIT growth 5Y37.4%
EBIT Next Year55.13%
EBIT Next 3Y27.84%
EBIT Next 5Y24.43%
FCF growth 1Y220.78%
FCF growth 3Y19.05%
FCF growth 5Y48.52%
OCF growth 1Y330.77%
OCF growth 3Y-3.47%
OCF growth 5Y15.46%
WESTERN DIGITAL CORP / 1WDC.MI FAQ
Can you provide the ChartMill fundamental rating for WESTERN DIGITAL CORP?
ChartMill assigns a fundamental rating of 5 / 10 to 1WDC.MI.
Can you provide the valuation status for WESTERN DIGITAL CORP?
ChartMill assigns a valuation rating of 4 / 10 to WESTERN DIGITAL CORP (1WDC.MI). This can be considered as Fairly Valued.
How profitable is WESTERN DIGITAL CORP (1WDC.MI) stock?
WESTERN DIGITAL CORP (1WDC.MI) has a profitability rating of 7 / 10.
What are the PE and PB ratios of WESTERN DIGITAL CORP (1WDC.MI) stock?
The Price/Earnings (PE) ratio for WESTERN DIGITAL CORP (1WDC.MI) is 21.78 and the Price/Book (PB) ratio is 8.01.
What is the financial health of WESTERN DIGITAL CORP (1WDC.MI) stock?
The financial health rating of WESTERN DIGITAL CORP (1WDC.MI) is 4 / 10.