WESTERN DIGITAL CORP (WDC) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:WDC • US9581021055

273.74 USD
+11.18 (+4.26%)
At close: Feb 11, 2026
275 USD
+1.26 (+0.46%)
After Hours: 2/11/2026, 8:00:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

Taking everything into account, WDC scores 6 out of 10 in our fundamental rating. WDC was compared to 35 industry peers in the Technology Hardware, Storage & Peripherals industry. While WDC has a great profitability rating, there are some minor concerns on its financial health. WDC has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • WDC had positive earnings in the past year.
  • WDC had a positive operating cash flow in the past year.
  • In multiple years WDC reported negative net income over the last 5 years.
  • In multiple years WDC reported negative operating cash flow during the last 5 years.
WDC Yearly Net Income VS EBIT VS OCF VS FCFWDC Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B 3B 4B

1.2 Ratios

  • The Return On Assets of WDC (23.89%) is better than 97.14% of its industry peers.
  • The Return On Equity of WDC (50.82%) is better than 91.43% of its industry peers.
  • WDC has a better Return On Invested Capital (22.70%) than 91.43% of its industry peers.
Industry RankSector Rank
ROA 23.89%
ROE 50.82%
ROIC 22.7%
ROA(3y)0.89%
ROA(5y)2.34%
ROE(3y)3.69%
ROE(5y)6.28%
ROIC(3y)N/A
ROIC(5y)N/A
WDC Yearly ROA, ROE, ROICWDC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 30

1.3 Margins

  • WDC's Profit Margin of 34.75% is amongst the best of the industry. WDC outperforms 100.00% of its industry peers.
  • In the last couple of years the Profit Margin of WDC has grown nicely.
  • WDC has a better Operating Margin (27.93%) than 97.14% of its industry peers.
  • In the last couple of years the Operating Margin of WDC has grown nicely.
  • The Gross Margin of WDC (42.72%) is better than 80.00% of its industry peers.
  • In the last couple of years the Gross Margin of WDC has grown nicely.
Industry RankSector Rank
OM 27.93%
PM (TTM) 34.75%
GM 42.72%
OM growth 3Y16.77%
OM growth 5Y53.81%
PM growth 3Y32.94%
PM growth 5YN/A
GM growth 3Y6.22%
GM growth 5Y11.02%
WDC Yearly Profit, Operating, Gross MarginsWDC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • WDC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • WDC has more shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, WDC has more shares outstanding
  • Compared to 1 year ago, WDC has a worse debt to assets ratio.
WDC Yearly Shares OutstandingWDC Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
WDC Yearly Total Debt VS Total AssetsWDC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

2.2 Solvency

  • The Debt to FCF ratio of WDC is 2.02, which is a good value as it means it would take WDC, 2.02 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of WDC (2.02) is better than 82.86% of its industry peers.
  • WDC has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
  • WDC's Debt to Equity ratio of 0.33 is fine compared to the rest of the industry. WDC outperforms 62.86% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 2.02
Altman-Z N/A
ROIC/WACC2.65
WACC8.55%
WDC Yearly LT Debt VS Equity VS FCFWDC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B 10B

2.3 Liquidity

  • A Current Ratio of 1.45 indicates that WDC should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.45, WDC is in line with its industry, outperforming 54.29% of the companies in the same industry.
  • A Quick Ratio of 1.19 indicates that WDC should not have too much problems paying its short term obligations.
  • With a decent Quick ratio value of 1.19, WDC is doing good in the industry, outperforming 62.86% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.45
Quick Ratio 1.19
WDC Yearly Current Assets VS Current LiabilitesWDC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 23.31% over the past year.
  • Measured over the past years, WDC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.66% on average per year.
  • WDC shows a strong growth in Revenue. In the last year, the Revenue has grown by 28.14%.
  • The Revenue for WDC have been decreasing by -10.67% on average. This is quite bad
EPS 1Y (TTM)23.31%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%20.34%
Revenue 1Y (TTM)28.14%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-29.59%

3.2 Future

  • The Earnings Per Share is expected to grow by 13.20% on average over the next years. This is quite good.
  • WDC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.63% yearly.
EPS Next Y33.27%
EPS Next 2Y39.12%
EPS Next 3Y36.37%
EPS Next 5Y13.2%
Revenue Next Year30.92%
Revenue Next 2Y26.82%
Revenue Next 3Y23.18%
Revenue Next 5Y12.63%

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.
WDC Yearly Revenue VS EstimatesWDC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B 20B
WDC Yearly EPS VS EstimatesWDC Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 5 10 15

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 39.50 indicates a quite expensive valuation of WDC.
  • 65.71% of the companies in the same industry are more expensive than WDC, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 28.23, WDC is valued a bit more expensive.
  • Based on the Price/Forward Earnings ratio of 21.53, the valuation of WDC can be described as rather expensive.
  • The rest of the industry has a similar Price/Forward Earnings ratio as WDC.
  • WDC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.01.
Industry RankSector Rank
PE 39.5
Fwd PE 21.53
WDC Price Earnings VS Forward Price EarningsWDC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • 65.71% of the companies in the same industry are more expensive than WDC, based on the Enterprise Value to EBITDA ratio.
  • Based on the Price/Free Cash Flow ratio, WDC is valued a bit cheaper than 65.71% of the companies in the same industry.
Industry RankSector Rank
P/FCF 40.59
EV/EBITDA 26.17
WDC Per share dataWDC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • WDC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • WDC has a very decent profitability rating, which may justify a higher PE ratio.
  • WDC's earnings are expected to grow with 36.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.19
PEG (5Y)2.37
EPS Next 2Y39.12%
EPS Next 3Y36.37%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. Dividend

5.1 Amount

  • WDC has a yearly dividend return of 0.18%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.66, WDC pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.18, WDC pays less dividend than the S&P500 average, which is at 1.79.
Industry RankSector Rank
Dividend Yield 0.18%

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
WDC Yearly Dividends per shareWDC Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2025 2026 0.5 1 1.5

5.3 Sustainability

  • WDC pays out 3.51% of its income as dividend. This is a sustainable payout ratio.
DP3.51%
EPS Next 2Y39.12%
EPS Next 3Y36.37%
WDC Yearly Income VS Free CF VS DividendWDC Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B 3B
WDC Dividend Payout.WDC Dividend Payout, showing the Payout Ratio.WDC Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

WESTERN DIGITAL CORP

NASDAQ:WDC (2/11/2026, 8:00:02 PM)

After market: 275 +1.26 (+0.46%)

273.74

+11.18 (+4.26%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)01-29
Earnings (Next)04-28
Inst Owners104.48%
Inst Owner Change-2.47%
Ins Owners0.3%
Ins Owner Change0.07%
Market Cap93.59B
Revenue(TTM)10.73B
Net Income(TTM)3.73B
Analysts80
Price Target279.7 (2.18%)
Short Float %9.86%
Short Ratio3.82
Dividend
Industry RankSector Rank
Dividend Yield 0.18%
Yearly Dividend0.13
Dividend Growth(5Y)-42.4%
DP3.51%
Div Incr Years0
Div Non Decr Years0
Ex-Date03-05
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.77%
Min EPS beat(2)9.95%
Max EPS beat(2)11.58%
EPS beat(4)4
Avg EPS beat(4)13.04%
Min EPS beat(4)9.95%
Max EPS beat(4)19.85%
EPS beat(8)7
Avg EPS beat(8)34.45%
EPS beat(12)11
Avg EPS beat(12)28.34%
EPS beat(16)13
Avg EPS beat(16)4.17%
Revenue beat(2)2
Avg Revenue beat(2)2.26%
Min Revenue beat(2)2.17%
Max Revenue beat(2)2.36%
Revenue beat(4)3
Avg Revenue beat(4)1.39%
Min Revenue beat(4)-3.37%
Max Revenue beat(4)4.41%
Revenue beat(8)4
Avg Revenue beat(8)0.63%
Revenue beat(12)8
Avg Revenue beat(12)1.3%
Revenue beat(16)11
Avg Revenue beat(16)1.24%
PT rev (1m)49%
PT rev (3m)116.75%
EPS NQ rev (1m)20.29%
EPS NQ rev (3m)22.21%
EPS NY rev (1m)12.82%
EPS NY rev (3m)19.62%
Revenue NQ rev (1m)9%
Revenue NQ rev (3m)9.38%
Revenue NY rev (1m)4.62%
Revenue NY rev (3m)7.49%
Valuation
Industry RankSector Rank
PE 39.5
Fwd PE 21.53
P/S 8.72
P/FCF 40.59
P/OCF 35.04
P/B 12.75
P/tB 30.98
EV/EBITDA 26.17
EPS(TTM)6.93
EY2.53%
EPS(NY)12.72
Fwd EY4.65%
FCF(TTM)6.74
FCFY2.46%
OCF(TTM)7.81
OCFY2.85%
SpS31.4
BVpS21.47
TBVpS8.84
PEG (NY)1.19
PEG (5Y)2.37
Graham Number57.86
Profitability
Industry RankSector Rank
ROA 23.89%
ROE 50.82%
ROCE 28.73%
ROIC 22.7%
ROICexc 37.05%
ROICexgc 114.25%
OM 27.93%
PM (TTM) 34.75%
GM 42.72%
FCFM 21.48%
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 Turnover0.69
Health
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 2.02
Debt/EBITDA 0.72
Cap/Depr 97.07%
Cap/Sales 3.4%
Interest Coverage 250
Cash Conversion 79.16%
Profit Quality 61.82%
Current Ratio 1.45
Quick Ratio 1.19
Altman-Z N/A
F-Score7
WACC8.55%
ROIC/WACC2.65
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)23.31%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%20.34%
EPS Next Y33.27%
EPS Next 2Y39.12%
EPS Next 3Y36.37%
EPS Next 5Y13.2%
Revenue 1Y (TTM)28.14%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-29.59%
Revenue Next Year30.92%
Revenue Next 2Y26.82%
Revenue Next 3Y23.18%
Revenue Next 5Y12.63%
EBIT growth 1Y142.56%
EBIT growth 3Y-6.92%
EBIT growth 5Y37.4%
EBIT Next Year84.38%
EBIT Next 3Y39.22%
EBIT Next 5Y24.43%
FCF growth 1Y236.94%
FCF growth 3Y19.05%
FCF growth 5Y48.52%
OCF growth 1Y328.88%
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 6 / 10 to WDC.


What is the valuation status of WESTERN DIGITAL CORP (WDC) stock?

ChartMill assigns a valuation rating of 5 / 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 3.51%.