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WDC

Western Digital Corporation

WDC

Western Digital Corporation • NASDAQ
$163.33 ▲ 3.54% (+5.59)
Market Cap $56.72 B
52w High $178.45
52w Low $28.83
Dividend Yield 0.20%
P/E 23
Volume 3.23M
Outstanding Shares 347.24M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q1-2026 $2.818B ▲ $435M ▲ $1.182B ▲ 41.945% ▲ $3.34 ▲ $1.484B ▲
Q4-2025 $2.605B ▲ $387M ▲ $257M ▼ 9.866% ▼ $0 ▼ $507M ▲
Q3-2025 $2.294B ▼ $152M ▼ $524M ▼ 22.842% ▲ $1.46 ▼ $275M ▼
Q2-2025 $4.285B ▲ $664M ▼ $594M ▲ 13.862% ▲ $1.68 ▲ $956M ▲
Q1-2025 $4.095B $809M $493M 12.039% $1.4 $862M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q1-2026 $2.048B ▼ $14.359B ▲ $8.242B ▼ $6.117B ▲
Q4-2025 $2.114B ▼ $14.002B ▼ $8.462B ▼ $5.54B ▲
Q3-2025 $4.889B ▲ $16.368B ▼ $11.191B ▼ $5.177B ▼
Q2-2025 $2.291B ▲ $25.456B ▲ $13.339B ▲ $12.117B ▲
Q1-2025 $1.705B $24.771B $13.128B $11.643B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2026 $1.182B ▲ $672M ▼ $-57M ▲ $-678M ▲ $-66M ▲ $599M ▼
Q4-2025 $282M ▼ $746M ▲ $-70M ▼ $-2.042B ▼ $-1.363B ▼ $675M ▲
Q3-2025 $520M ▼ $508M ▲ $142M ▲ $533M ▲ $1.186B ▲ $379M ▲
Q2-2025 $594M ▲ $403M ▲ $123M ▲ $-1M ▲ $586M ▲ $287M ▲
Q1-2025 $493M $34M $-45M $-102M $154M $-62M

Revenue by Products

Product Q1-2025Q2-2025Q3-2025Q4-2025
Client Devices
Client Devices
 $1.21Bn ▲$1.17Bn ▼$140.00M ▼$-1960.00M ▼
Cloud
Cloud
 $2.21Bn ▲$2.35Bn ▲$2.01Bn ▼$1.78Bn ▼
Retail Products
Retail Products
 $680.00M ▲$770.00M ▲$150.00M ▼$-980.00M ▼

Five-Year Company Overview

Income Statement

Income Statement Western Digital’s income statement shows a classic boom‑bust pattern for a cyclical hardware company. After a period of strong sales and profits earlier in the decade, revenue and earnings fell sharply as the storage market weakened, leading to losses in back‑to‑back years. The most recent year shows a strong rebound: sales have recovered and the company has swung back to solid profitability, with operating and net margins much healthier. Overall, the story is one of high sensitivity to industry cycles, but also an ability to restore profitability when demand and pricing improve.

Balance Sheet

Balance Sheet The balance sheet reflects a business that has slimmed down and de‑risked somewhat over time. Total assets have trended lower, suggesting portfolio simplification, write‑downs, or spin‑offs, while debt has gradually been reduced from earlier, higher levels. Equity was built up during profitable years, then eroded during the downturn, and now sits at a more modest level, meaning the cushion against future shocks is smaller than it once was. Cash on hand is reasonable but not excessive, so financial flexibility exists, yet management still needs to balance investment needs with balance‑sheet discipline.

Cash Flow

Cash Flow Cash flow has been volatile but is now in a much better place. During the downturn, operating cash flow and free cash flow turned negative, indicating the business was burning cash as prices and volumes weakened. In the most recent year, cash generation has recovered strongly, with healthy operating cash flow and solid free cash flow even after continued investment in equipment and facilities. Capital spending remains meaningful, reflecting the capital‑intensive nature of storage manufacturing, but the company currently appears to be funding this from internal cash rather than relying heavily on new borrowing.

Competitive Edge

Competitive Edge Western Digital holds a significant position in both hard disk drives and flash memory, competing with a small group of large global players. Its advantages include strong brands (WD and SanDisk), a broad product range from consumer devices to data‑center solutions, large manufacturing scale, and deep relationships with PC makers, device OEMs, and cloud providers. Vertical integration across components and controllers helps with cost control and performance tuning, while an extensive patent portfolio raises barriers for new entrants. Offsetting these strengths, the company faces intense price competition, powerful customers with high bargaining power, and rapid technology shifts that can quickly erode any cost or performance edge.

Innovation and R&D

Innovation and R&D Innovation is a central pillar for Western Digital. On the HDD side, technologies such as helium‑filled drives, energy‑assisted recording, OptiNAND, and advanced shingled recording aim to keep pushing capacity and efficiency for cloud and enterprise use. In flash, the company is a key 3D NAND developer and benefits from joint technology and manufacturing scale. Looking ahead, Western Digital has laid out an ambitious roadmap featuring heat‑assisted magnetic recording and other advanced concepts targeting much larger drive capacities, alongside storage architectures tailored for AI workloads. Execution risk is high, but if the roadmap is delivered on time and at competitive cost, it should help sustain relevance as data growth accelerates.

Summary

Overall, Western Digital looks like a classic cyclical technology manufacturer that is currently emerging from a down cycle. Profitability and cash flow have improved sharply after a tough period, helped by better market conditions and the company’s cost and scale advantages. The balance sheet has been tightened, with lower leverage than in the past but also a slimmer equity base, which increases the importance of consistent execution. Strategically, the company is well positioned in core storage technologies and is investing heavily to stay ahead in higher‑capacity drives and AI‑oriented solutions. The main themes to watch are how well it navigates ongoing price cycles, how effectively it commercializes its next‑generation technologies, and whether it can translate the long‑term surge in data and AI demand into more stable, less volatile financial results over time.

NEWS

November 18, 2025 · 4:15 PM UTC

Western Digital to Participate in Upcoming Investor Conferences

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November 13, 2025 · 11:57 AM UTC

Trusted AI Storage Leader Western Digital Showcases Next-Gen Innovation at Supercomputing 2025

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October 30, 2025 · 4:05 PM UTC

Western Digital Reports Fiscal First Quarter 2026 Financial Results

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October 14, 2025 · 5:30 PM UTC

Western Digital to Announce First Quarter Fiscal Year 2026 Financial Results on October 30, 2025

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October 13, 2025 · 9:00 AM UTC

Western Digital Opens Expanded System Integration Test Lab to Accelerate Customer Success in the Growing AI and Cloud Era

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