216.646 USD
+2.65 (+1.24%)
WDC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 35 industry peers in the Technology Hardware, Storage & Peripherals industry. WDC scores excellent on profitability, but there are some minor concerns on its financial health. WDC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year WDC was profitable.
- WDC had a positive operating cash flow in the past year.
- In multiple years WDC reported negative net income over the last 5 years.
- The reported operating cash flow has been mixed in the past 5 years: WDC reported negative operating cash flow in multiple years.
1.2 Ratios
- With an excellent Return On Assets value of 17.50%, WDC belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
- WDC's Return On Equity of 41.08% is amongst the best of the industry. WDC outperforms 94.29% of its industry peers.
- With an excellent Return On Invested Capital value of 24.17%, WDC belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.5% | ||
| ROE | 41.08% | ||
| ROIC | 24.17% |
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%, WDC belongs to the top of the industry, outperforming 97.14% of the companies in the same industry.
- In the last couple of years the Profit Margin of WDC has grown nicely.
- The Operating Margin of WDC (23.42%) is better than 97.14% of its industry peers.
- WDC's Operating Margin has improved in the last couple of years.
- WDC has a better Gross Margin (39.34%) than 77.14% of its industry peers.
- In the last couple of years the Gross Margin of WDC has grown nicely.
| 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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so WDC is creating value.
- WDC has more shares outstanding than it did 1 year ago.
- WDC has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for WDC is higher compared to a year ago.
2.2 Solvency
- WDC has an Altman-Z score of 7.09. This indicates that WDC is financially healthy and has little risk of bankruptcy at the moment.
- WDC has a Altman-Z score of 7.09. This is amongst the best in the industry. WDC outperforms 85.71% of its industry peers.
- The Debt to FCF ratio of WDC is 2.33, which is a good value as it means it would take WDC, 2.33 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of WDC (2.33) is better than 77.14% of its industry peers.
- A Debt/Equity ratio of 0.40 indicates that WDC is not too dependend on debt financing.
- With a Debt to Equity ratio value of 0.40, WDC perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.33 | ||
| Altman-Z | 7.09 |
ROIC/WACC2.84
WACC8.52%
2.3 Liquidity
- WDC has a Current Ratio of 1.21. This is a normal value and indicates that WDC is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of WDC (1.21) is comparable to the rest of the industry.
- WDC has a Quick Ratio of 1.21. This is a bad value and indicates that WDC is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.94, WDC is in line with its industry, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
- WDC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 107.91%, which is quite impressive.
- WDC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.66% yearly.
- WDC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -29.80%.
- The Revenue for WDC have been decreasing by -10.67% on average. This is quite bad
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
- WDC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.20% yearly.
- Based on estimates for the next years, WDC will show a quite strong growth in Revenue. The Revenue will grow by 12.63% on average per year.
EPS Next Y18.12%
EPS Next 2Y21.51%
EPS Next 3Y19.56%
EPS Next 5Y13.2%
Revenue Next Year25.13%
Revenue Next 2Y19.02%
Revenue Next 3Y15.39%
Revenue Next 5Y12.63%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
- WDC is valuated quite expensively with a Price/Earnings ratio of 32.98.
- Compared to the rest of the industry, the Price/Earnings ratio of WDC indicates a somewhat cheap valuation: WDC is cheaper than 65.71% of the companies listed in the same industry.
- WDC is valuated rather expensively when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 22.33, the valuation of WDC can be described as rather expensive.
- WDC's Price/Forward Earnings ratio is in line with the industry average.
- WDC is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.98 | ||
| Fwd PE | 22.33 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, WDC is valued a bit cheaper than 65.71% of the companies in the same industry.
- WDC's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. WDC is cheaper than 68.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.83 | ||
| EV/EBITDA | 22.98 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WDC does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of WDC may justify a higher PE ratio.
- WDC's earnings are expected to grow with 19.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.82
PEG (5Y)1.98
EPS Next 2Y21.51%
EPS Next 3Y19.56%
5. Dividend
5.1 Amount
- WDC has a yearly dividend return of 0.27%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.64, WDC pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.92, WDC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
5.2 History
- The dividend of WDC decreases each year by -42.40%.
- WDC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-42.4%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- WDC pays out 3.30% of its income as dividend. This is a sustainable payout ratio.
DP3.3%
EPS Next 2Y21.51%
EPS Next 3Y19.56%
NASDAQ:WDC (1/14/2026, 3:47:03 PM)
216.646
+2.65 (+1.24%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)01-22 2026-01-22/bmo
Inst Owners104.48%
Inst Owner Change-0.07%
Ins Owners0.3%
Ins Owner Change0.57%
Market Cap74.07B
Revenue(TTM)12.00B
Net Income(TTM)2.51B
Analysts80
Price Target187.73 (-13.35%)
Short Float %9.22%
Short Ratio3.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
Yearly Dividend0.13
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)2.96%
PT rev (3m)80.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)12.93%
EPS NY rev (1m)1.37%
EPS NY rev (3m)16.88%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.5%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)5.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.98 | ||
| Fwd PE | 22.33 | ||
| P/S | 6.17 | ||
| P/FCF | 36.83 | ||
| P/OCF | 30.86 | ||
| P/B | 12.11 | ||
| P/tB | 41.2 | ||
| EV/EBITDA | 22.98 |
EPS(TTM)6.57
EY3.03%
EPS(NY)9.7
Fwd EY4.48%
FCF(TTM)5.88
FCFY2.71%
OCF(TTM)7.02
OCFY3.24%
SpS35.1
BVpS17.89
TBVpS5.26
PEG (NY)1.82
PEG (5Y)1.98
Graham Number51.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.5% | ||
| ROE | 41.08% | ||
| ROCE | 30.6% | ||
| ROIC | 24.17% | ||
| ROICexc | 35.97% | ||
| ROICexgc | 119.78% | ||
| 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 3Y58.03%
ROICexgc growth 5Y82.85%
ROICexc growth 3Y35.09%
ROICexc growth 5Y70.9%
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 | 9.31 | ||
| Cash Conversion | 74.65% | ||
| Profit Quality | 80.02% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 7.09 |
F-Score7
WACC8.52%
ROIC/WACC2.84
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 Y18.12%
EPS Next 2Y21.51%
EPS Next 3Y19.56%
EPS Next 5Y13.2%
Revenue 1Y (TTM)-29.8%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-31.18%
Revenue Next Year25.13%
Revenue Next 2Y19.02%
Revenue Next 3Y15.39%
Revenue Next 5Y12.63%
EBIT growth 1Y181.1%
EBIT growth 3Y-6.92%
EBIT growth 5Y37.4%
EBIT Next Year82.36%
EBIT Next 3Y33.64%
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 / WDC FAQ
Can you provide the ChartMill fundamental rating for WESTERN DIGITAL CORP?
ChartMill assigns a fundamental rating of 5 / 10 to WDC.
What is the valuation status of WESTERN DIGITAL CORP (WDC) stock?
ChartMill assigns a valuation rating of 4 / 10 to WESTERN DIGITAL CORP (WDC). This can be considered as Fairly Valued.
Can you provide the profitability details for WESTERN DIGITAL CORP?
WESTERN DIGITAL CORP (WDC) has a profitability rating of 7 / 10.
Can you provide the financial health for WDC stock?
The financial health rating of WESTERN DIGITAL CORP (WDC) is 5 / 10.
How sustainable is the dividend of WESTERN DIGITAL CORP (WDC) stock?
The dividend rating of WESTERN DIGITAL CORP (WDC) is 3 / 10 and the dividend payout ratio is 3.3%.