What Should You know About Western Digital (WDC) Before Investing?

Large-cap technology company Western Digital has moved 7.3% this evening, reaching $41.8 per share. In contrast, the average analyst target price for the stock is $47.84.

Western Digital Corporation develops, manufactures, and sells data storage devices and solutions in the United States, China, Hong Kong, Europe, the Middle East, Africa, rest of Asia, and internationally. The company is based in the United States.

Make Sure to Consider the Following Before Buying Western Digital:

  • Western Digital has moved 22.0% over the last year.

  • WDC has a forward P/E ratio of 12.1 based on its EPS guidance of 3.46.

  • Over the last 6 years, earnings per share (EPS) have been growing at a compounded average rate of -13.6%.

  • The company has a price to earnings growth (PEG) ratio of 0.39.

  • Its Price to Book (P/B) ratio is 1.24

Western Digital Has Irregular Cash Flows

Date Reported Cash Flow from Operations ($ k) Capital expenditures ($ k) Free Cash Flow ($ k) YoY Growth (%)
2023 -408,000 821,000 -1,229,000 -262.14
2022 1,880,000 1,122,000 758,000 0.8
2021 1,898,000 1,146,000 752,000 324.86
2020 824,000 647,000 177,000 -73.62
2019 1,547,000 876,000 671,000 -80.09
2018 4,205,000 835,000 3,370,000

Western Digital's free cash flows have a decent average of $749.83 Million over the last 6 years, but they are highly variable since their coefficient of variability is 1428.6%. The compounded average growth rate over this period is -22.8%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.