Western Digital reported earnings and sales for the March-ending quarter that exceeded analyst expectations, causing the company’s stock to trade lower late Thursday. The company earned an adjusted 63 cents per share on sales of $3.46 billion, compared to analyst predictions of 22 cents per share on $3.37 billion in sales. Despite the strong performance, Western Digital stock was down fractionally in after-hours trading.
Looking ahead, Western Digital guided for sales of $3.7 billion at the midpoint of its range for the current quarter, slightly below analyst projections of $3.71 billion, according to FactSet. The company plans to spin off its flash and hard-drive businesses by the second half of 2024. Prior to earnings, Western Digital stock was trading flat at $69.44, a 32% increase year-to-date and 111% in the past 12 months.
Western Digital’s technical ratings indicate mixed performance, with a Composite Rating of 66 out of 99, an EPS Rating of 5 out of 99, and a Relative Strength rating of 96 out of 99. Despite recent struggles in earnings, investors are optimistic about a potential turnaround in Western Digital stock.
Investors may also want to consider other data storage companies like Nvidia and Amazon as potential investments. Additionally, learning from growth stock experts in programs like IBD Live can provide valuable insights for making investment decisions.
