Western Digital (NASDAQ:WDC) is set to give its latest quarterly earnings report on Thursday, 2025-10-30. Here's what investors need to know before the announcement.
Analysts estimate that Western Digital will report an earnings per share (EPS) of $1.53.
Western Digital bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.
New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).
Earnings Track Record
In the previous earnings release, the company beat EPS by $0.23, leading to a 10.16% increase in the share price the following trading session.
Here's a look at Western Digital's past performance and the resulting price change:
| Quarter | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 |
|---|---|---|---|---|
| EPS Estimate | 1.43 | 1.13 | 1.82 | 1.71 |
| EPS Actual | 1.66 | 1.36 | 1.77 | 1.78 |
| Price Change % | 10.00 | 0.00 | 5.00 | 5.00 |
Stock Performance
Shares of Western Digital were trading at $124.92 as of October 28. Over the last 52-week period, shares are up 184.71%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.
Analyst Views on Western Digital
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Western Digital.
The consensus rating for Western Digital is Outperform, based on 29 analyst ratings. With an average one-year price target of $118.41, there's a potential 5.21% downside.
Understanding Analyst Ratings Among Peers
The below comparison of the analyst ratings and average 1-year price targets of Hewlett Packard, Pure Storage and Super Micro Computer, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Hewlett Packard, with an average 1-year price target of $26.12, suggesting a potential 79.09% downside.
- Analysts currently favor an Outperform trajectory for Pure Storage, with an average 1-year price target of $84.88, suggesting a potential 32.05% downside.
- Analysts currently favor an Neutral trajectory for Super Micro Computer, with an average 1-year price target of $44.0, suggesting a potential 64.78% downside.
Peers Comparative Analysis Summary
In the peer analysis summary, key metrics for Hewlett Packard, Pure Storage and Super Micro Computer are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Western Digital | Outperform | 29.99% | $1.07B | 5.21% |
| Hewlett Packard | Neutral | 18.50% | $2.67B | 1.14% |
| Pure Storage | Outperform | 12.73% | $604.34M | 3.68% |
| Super Micro Computer | Neutral | 7.51% | $544.10M | 3.08% |
Key Takeaway:
Western Digital ranks highest in Revenue Growth among its peers. It also leads in Gross Profit. However, it has the lowest Return on Equity. Overall, Western Digital is positioned at the top compared to its peers in terms of Revenue Growth and Gross Profit, but falls behind in Return on Equity.
All You Need to Know About Western Digital
Western Digital is a leading vertically integrated supplier of hard disk drives. The HDD market is a practical duopoly, with Western Digital and Seagate being the two largest players. Western Digital designs and manufactures its HDDs, with much of the manufacturing and workforce located in Asia. The primary consumers of HDDs are data centers.
Understanding the Numbers: Western Digital's Finances
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Positive Revenue Trend: Examining Western Digital's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 29.99% as of 30 June, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 10.48%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 5.21%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): Western Digital's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.8% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: Western Digital's debt-to-equity ratio surpasses industry norms, standing at 0.89. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
To track all earnings releases for Western Digital visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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