Western Digital (NASDAQ:WDC) Stock Price Down 2% – Time to Sell?

Western Digital Corporation (NASDAQ:WDC) fell 2% during mid-day trading on Tuesday . The stock traded as low as $630.30 and last traded at $638.72. 9,216,109 shares were traded during mid-day trading, an increase of 0% from the average daily volume of 9,194,522 shares. The stock had previously closed at $651.88.

Trending Headlines about Western Digital

Here are the key news stories impacting Western Digital this week:

• Positive Sentiment: Bank of America raised its price target on Western Digital and reiterated a Buy rating, while Melius Research upgraded the stock to Strong Buy, signaling confidence in further upside. Benzinga
• Positive Sentiment: Analysts also boosted their fair value estimate for WDC, reflecting optimism that AI-related storage demand and hard drive pricing trends could improve Western Digital’s earnings outlook. Yahoo Finance
• Positive Sentiment: Zacks highlighted Western Digital as a top momentum pick for Q3 2026 and said the company has a strong history of earnings surprises, suggesting it could beat estimates again when it reports next. Zacks
• Neutral Sentiment: Articles on the broader market noted that WDC is moving with other hot memory names, with the sector still showing strong long-term momentum even after a semiconductor selloff. MarketBeat
• Negative Sentiment: Western Digital has been dragged lower by a risk-off move in memory and chip stocks, as investors took profits after a sharp rally across the semiconductor sector. 247WallSt
• Negative Sentiment: Market commentary also pointed to weakness in many of this year’s leading stocks, including Western Digital, as part of a broader premarket decline. Yahoo Finance

Analysts Set New Price Targets

WDC has been the topic of a number of recent analyst reports. Wall Street Zen raised shares of Western Digital from a “hold” rating to a “buy” rating in a research report on Saturday, May 2nd. TD Cowen increased their price objective on shares of Western Digital from $325.00 to $500.00 and gave the company a “buy” rating in a research note on Friday, May 1st. Mizuho lifted their target price on shares of Western Digital from $550.00 to $685.00 and gave the stock an “outperform” rating in a research report on Monday, June 8th. Melius Research set a $1,050.00 target price on Western Digital and gave the stock a “buy” rating in a research note on Monday. Finally, Rosenblatt Securities upped their target price on Western Digital from $340.00 to $500.00 and gave the company a “buy” rating in a report on Friday, May 1st. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $493.52.

Western Digital Stock Down 9.9%

The firm has a market cap of $185.78 billion, a P/E ratio of 32.18 and a beta of 2.10. The firm’s 50-day simple moving average is $533.61 and its 200 day simple moving average is $355.37.

Western Digital (NASDAQ:WDC) last released its earnings results on Thursday, April 30th. The data storage provider reported $2.72 earnings per share for the quarter, beating analysts’ consensus estimates of $2.39 by $0.33. The firm had revenue of $3.34 billion during the quarter, compared to the consensus estimate of $3.25 billion. Western Digital had a net margin of 55.29% and a return on equity of 42.95%. The company’s revenue was up 45.5% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.36 EPS. Western Digital has set its Q4 2026 guidance at 3.100-3.400 EPS. As a group, analysts forecast that Western Digital Corporation will post 9.6 earnings per share for the current year.

Western Digital Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, June 17th. Shareholders of record on Friday, June 5th were given a $0.15 dividend. This is an increase from Western Digital’s previous quarterly dividend of $0.12. This represents a $0.60 dividend on an annualized basis and a yield of 0.1%. The ex-dividend date of this dividend was Friday, June 5th. Western Digital’s dividend payout ratio (DPR) is 3.58%.

Insider Transactions at Western Digital

In other news, Director Bruce E. Kiddoo sold 750 shares of the company’s stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $528.52, for a total transaction of $396,390.00. Following the transaction, the director owned 3,903 shares of the company’s stock, valued at $2,062,813.56. This represents a 16.12% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Vidyadhara K. Gubbi sold 2,475 shares of Western Digital stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $556.24, for a total value of $1,376,694.00. Following the completion of the sale, the insider directly owned 85,154 shares of the company’s stock, valued at approximately $47,366,060.96. This trade represents a 2.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 29,322 shares of company stock valued at $12,768,550. Corporate insiders own 0.18% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. GHP Investment Advisors Inc. boosted its holdings in shares of Western Digital by 9.2% in the first quarter. GHP Investment Advisors Inc. now owns 357 shares of the data storage provider’s stock worth $97,000 after acquiring an additional 30 shares during the period. Cornerstone Planning Group LLC raised its stake in shares of Western Digital by 33.3% during the 1st quarter. Cornerstone Planning Group LLC now owns 132 shares of the data storage provider’s stock valued at $36,000 after purchasing an additional 33 shares during the period. Alps Advisors Inc. lifted its holdings in Western Digital by 0.8% during the 4th quarter. Alps Advisors Inc. now owns 4,707 shares of the data storage provider’s stock worth $811,000 after purchasing an additional 37 shares in the last quarter. Astoria Portfolio Advisors LLC. boosted its stake in Western Digital by 1.1% in the 1st quarter. Astoria Portfolio Advisors LLC. now owns 3,782 shares of the data storage provider’s stock worth $1,023,000 after purchasing an additional 40 shares during the period. Finally, Quadcap Wealth Management LLC grew its holdings in Western Digital by 2.1% during the 4th quarter. Quadcap Wealth Management LLC now owns 2,007 shares of the data storage provider’s stock valued at $346,000 after buying an additional 41 shares in the last quarter. 92.51% of the stock is owned by institutional investors.

Western Digital Company Profile

Western Digital Corporation is a global data storage company that designs, manufactures and sells a broad range of storage devices and systems for personal, enterprise and cloud applications. Headquartered in San Jose, California, the company develops hard disk drives (HDDs), solid-state drives (SSDs), NAND flash components and finished storage products used in PCs, external storage, servers, network-attached storage (NAS) and embedded systems.

Its product portfolio spans consumer and commercial markets, including internal and external HDDs and SSDs, removable flash memory products and storage platforms for data center and enterprise environments.