NYSE:WDC
$38.58
(3/16 4:00PM)
+0.9%
| Open | $38.24 |
Mkt Cap | $8.7 Billion |
| High | $38.88 |
52Wk High | $47.44 |
| Low | $37.84 |
52Wk Low | $18.60 |
| Volume | 4.4 Million |
Avg Vol 10D | 6.9 Million |
Ockham's Rating/Recommendation Summary
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WDC Revenue
As a value investing shop, we are interested in seeing how WDC's revenues measure up against past performances. One easily understandable way of doing that is to compare Price to Sales per share levels over a given time frame. Assuming it is available, Ockham prefers to look at ten years of history (for this stock there are 10 years of history available) and we weigh recent years more heavily. This allows us to find weighted average historical high and low Price to Sales ratios, which give us a better idea of the stock's current underlying value. Using this method, we have established a high range for Price to Sales of 1.16x and the low end of the range at 0.50x.
With respect to these historically rational metrics, notice that the current Price to Sales per share ratio for WDC of 1.03x is significantly above its historical average. This places WDC at the upper end of its historical range relative to sales per share and makes it difficult to suggest an attractive price outlook. At current sales per share levels, we would need to see a decline in the Price to Sales ratio of 24% merely to return WDC to its historical average.
WDC Cash Earnings
Cash Earnings is always one of the most important factors to review for a company and, more importantly, an investment in a stock. WDC is significantly below their historical average multiples of Cash Earnings, as calculated by our proprietary analysis. It is incredibly important to understand that for WDC, the current level of Cash Earnings compared to its historical levels helps identify where WDC is in relation to what the investing community was willing to pay for this level of Cash Earnings in the past. With a historical high Cash Earnings per share ratio of 10.03 and a historical low Cash Earnings per share ratio of 4.25, an investor can relate where value becomes optimal.
So what does "significantly below" mean when we talk about Price to Cash Earnings numbers for WDC? From the Ockham perspective, we are looking specifically at WDC to see if the market is recognizing the huge disparity between WDC's past stock price to Cash Earnings ratio to today's levels. At a difference of 16% below the average historical Price to Cash Earnings ratio, our view would be quite positive at this point. However, as with all metrics, we need to also take other factors into account when looking at WDC. While we view better Cash Earnings metrics as very important, if the market is slow to identify this value, or if Cash Earnings were to fall from these levels, we would become more neutral in our stance.
WDC Dividends
A strong dividend payment history is looked upon as a favorable characteristic on a company’s future and potentially can receive a positive Ockham rating. That being said, we don't require dividend payments for company's whose management has elected to forgo them entirely. Although they may currently pay a dividend, our data source has no historical record of it for WDC. Since we cannot apply our historical trend analysis to dividends for WDC we have a neutral score for the dividend portion of our analysis.
See Why Western Digital Corporation News Was Discussed on Fast Money
The latest news on Fast Money in regards to WDC came through on RazorWire recently.
When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Western Digital Corporation has actually sunk a bit in comparison to the others. Our sentiment indicator, provided through the Motley Fool CAPS survey, suggests that investors are neutral overall towards WDC and think that it will generally perform in-line with the S&P 500. The Ockham valuation currently has a Fairly Valued stance on WDC because it trades within the price range that we would expect given current market conditions and fundamentals.
“… but just to stay within technology, i've been looking for a tell on WESTERN DIGITAL. He with might have seen it on march 11th. …”
WDC's Valuation a Topic on Tech Trader Daily-Barron's
Western Digital Corporation was talked about in relation to their valuation on Tech Trader Daily-Barron's, and you can see what the pundits are saying with RazorWire.
As we analyze the results from RazorWire, one thing we do is rank each stock in terms of amount of news coverage. Recently, WDC has been less covered in the news compared to the rest of our universe of stocks. After factoring in the current fundamentals versus their historically normal ranges, we have established a Fairly Valued stance on WDC. Crowd sentiment is neutral from the millions of opinions submitted through Motley Fool CAPS, which suggests most investors on their platform believe Western Digital Corporation will perform just about the same as the index.
“… ” And he adds that STEC “will most likely carry low valuation multiples” similar to those of hard-disk drive vendors Seagate (STX) and WESTERN DIGITAL (WDC). …”
Western Digital Corporation Was Talked About by Tech Trader Daily-Barron's
The latest news on Tech Trader Daily-Barron's in regards to WDC came through on RazorWire recently.
Our sentiment indicator, provided through the Motley Fool CAPS survey, suggests that investors are neutral overall towards WDC and think that it will generally perform in-line with the S&P 500. When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Western Digital Corporation has actually sunk a bit in comparison to the others. The Ockham valuation currently has a Fairly Valued stance on WDC because it trades within the price range that we would expect given current market conditions and fundamentals. Investors are headed for the exit following today's news as the stock is trading down $2.16.
“… the analyst writes. STX is down 75 cents, or 3.9%, to $18.42; likewise, WESTERN DIGITAL (WDC) is down $1.37, or 3.6%, to …”
News Breaking on Western Digital Corporation on Power Lunch
The latest news from business television and influential blogs is always available through Ockham's RazorWire, and this news is in relation to Western Digital Corporation.
As we analyze the results from RazorWire, one thing we do is rank each stock in terms of amount of news coverage. Recently, WDC has been less covered in the news compared to the rest of our universe of stocks. After factoring in the current fundamentals versus their historically normal ranges, we have established a Fairly Valued stance on WDC. Crowd sentiment is neutral from the millions of opinions submitted through Motley Fool CAPS, which suggests most investors on their platform believe Western Digital Corporation will perform just about the same as the index.
“… You only have five drive companies left in the world, though, two of whom are executing well, seagate and WESTERN DIGITAL, and I think pcs continue to be their primary market and ... …”
Power Lunch Has the Latest News on WDC
The latest news from Power Lunch on WDC is available through Ockham's news analytics platform RazorWire.
Our sentiment indicator, provided through the Motley Fool CAPS survey, suggests that investors are neutral overall towards WDC and think that it will generally perform in-line with the S&P 500. The Ockham valuation currently has a Fairly Valued stance on WDC because it trades within the price range that we would expect given current market conditions and fundamentals. When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Western Digital Corporation has actually sunk a bit in comparison to the others.
“… Seagate tech, same cohort as WESTERN DIGITAL. Cisco's stuck, just stuck here. It's like e pox tote $23. 95 yet I think the quarter will be monster. …”
Closing Bell Discusses Higher Prices and Western Digital Corporation
An abnormally high price is obviously a joyous occasion for investors in that stock. See what Closing Bell was talking about for WDC below.
The Ockham valuation currently has a Fairly Valued stance on WDC because it trades within the price range that we would expect given current market conditions and fundamentals. At Ockham, we rank each stock by the amount of news coverage we see from RazorWire news analytics, and Western Digital Corporation has not seen a major ranking change recently. Our sentiment indicator, provided through the Motley Fool CAPS survey, suggests that investors are neutral overall towards WDC and think that it will generally perform in-line with the S&P 500.
“… For the investors out there I would point to maybe your WESTERN DIGITAL which is significantly off of their 52-week high. …”
WDC's Earnings Were Talked About on Fast Money
Earnings or profits are the most key fundamental factor that an investor to be aware of for any stock. We noticed Fast Money discussed earnings on WDC.
When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Western Digital Corporation has actually sunk a bit in comparison to the others. The Ockham valuation currently has a Fairly Valued stance on WDC because it trades within the price range that we would expect given current market conditions and fundamentals. Crowd sentiment is favorable on this stock, as measured by the Motley Fool CAPS survey.
“… It reminds me of the same situation that WESTERN DIGITAL had when they reported. Smoked the quarter. The market didn't react. This is not a fast money trade. …”
News Breaking on Western Digital Corporation on Mad Money
The latest news on Mad Money in regards to WDC came through on RazorWire recently.
Our sentiment indicator, provided through the Motley Fool CAPS survey, suggests that investors are neutral overall towards WDC and think that it will generally perform in-line with the S&P 500. The Ockham valuation currently has a Fairly Valued stance on WDC because it trades within the price range that we would expect given current market conditions and fundamentals. In comparison to the other stocks that we follow, Western Digital Corporation has seen more discussion in relation to its normal ranking among the group. Be aware that the news sources we track are focusing on this stock more often these days.
“… Wanting to get on the mobile internet tsunami, what's your feelings about WESTERN DIGITAL corp or should I have kept the kinder morgan stock. > > …”
Notice a Discussion Covering WDC Appeared Recently in the Financial News
The latest news from business television and influential blogs is always available through Ockham's RazorWire, and this news is in relation to Western Digital Corporation.
As we analyze the results from RazorWire, one thing we do is rank each stock in terms of amount of news coverage. Recently, WDC has been less covered in the news compared to the rest of our universe of stocks. Crowd sentiment is neutral from the millions of opinions submitted through Motley Fool CAPS, which suggests most investors on their platform believe Western Digital Corporation will perform just about the same as the index. After factoring in the current fundamentals versus their historically normal ranges, we have established a Fairly Valued stance on WDC.
“… WESTERN DIGITAL one of the big gainers of the after the hours crude looks like it's advancing ahead of earnings, ten reports coming that are notable after hours here today but ... …”
Western Digital Corporation News Appeared on Fast Money
The latest news from business television and influential blogs is always available through Ockham's RazorWire, and this news is in relation to Western Digital Corporation.
Western Digital Corporation receives our Fairly Valued rating in our latest report because the current price does not seem out of line with the fundamentals. We noticed recently that in comparison to all other stocks we analyze in the news; WDC has received less coverage from the financial media in business television and blogs. Crowd sentiment is leaning to the bearish side, according to the robust data set collected by the Motley Fool CAPS survey.
“… WESTERN DIGITAL. > > bac. > > marvell. > > melissa lee. Thank you for watching. See you tomorrow at 5:00 p. M. . …”