Western Digital (NASDAQ:WDC) Shares Down 8.8% – Here’s Why

15 Jul 2026, 21:21 by Michael Walen · The Markets Daily

Western Digital Corporation (NASDAQ:WDC – Get Free Report) was down 8.8% during mid-day trading on Wednesday . The stock traded as low as $496.50 and last traded at $513.84. Approximately 7,842,268 shares were traded during mid-day trading, a decline of 13% from the average session volume of 9,022,083 shares. The stock had previously closed at $563.32.

Key Western Digital News

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

Positive Sentiment: Some analysts and market commentary argue Western Digital still has upside, pointing to improving memory pricing, AI-driven demand, and valuation support after the recent sell-off. Why Analysts Are Betting Western Digital Stock Can Gain Another 30% from Here
Neutral Sentiment: Western Digital also remains in focus ahead of its fiscal fourth-quarter and full-year 2026 results, which are scheduled for August 5, adding an earnings catalyst on the horizon. WD to Announce Fourth Quarter and Fiscal Year 2026 Financial Results on August 5, 2026
Negative Sentiment: Memory stocks, including Western Digital, were hit by profit-taking after a strong rally, with traders locking in gains across the group. SK Hynix Drops 5%, SanDisk Slides 6%, Western Digital Slips 4% as Traders Take Profits in Memory Stocks
Negative Sentiment: Investor sentiment also weakened after Chinese memory rival CXMT filed for a potentially $10 billion Shanghai IPO, raising concern about a stronger competitor entering an already crowded market. Western Digital Stock Tumbles as CXMT Targets $10 Billion Shanghai IPO

Analyst Ratings Changes

Several research analysts recently weighed in on WDC shares. TD Cowen upped their price target on shares of Western Digital from $325.00 to $500.00 and gave the stock a “buy” rating in a research report on Friday, May 1st. Zacks Research upgraded Western Digital from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, May 6th. Fox Advisors cut Western Digital from an “overweight” rating to an “equal weight” rating in a report on Monday, June 22nd. Robert W. Baird increased their target price on Western Digital from $310.00 to $450.00 and gave the company an “outperform” rating in a report on Monday, May 4th. Finally, Barclays raised their target price on Western Digital from $450.00 to $620.00 and gave the company an “overweight” rating in a research report on Wednesday, May 27th. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $520.32.

Read Our Latest Analysis on Western Digital

Western Digital Stock Performance

The company has a market cap of $177.11 billion, a PE ratio of 30.68 and a beta of 2.11. The firm’s 50 day moving average is $560.28 and its 200-day moving average is $379.58.

Western Digital (NASDAQ:WDC – Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The data storage provider reported $2.72 EPS for the quarter, beating analysts’ consensus estimates of $2.39 by $0.33. The company 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%. Western Digital’s quarterly revenue was up 45.5% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.36 EPS. Western Digital has set its Q4 2026 guidance at 3.100-3.400 EPS. On average, analysts predict that Western Digital Corporation will post 9.6 EPS for the current year.

Western Digital Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 17th. Investors of record on Friday, June 5th were given a dividend of $0.15 per share. The ex-dividend date was Friday, June 5th. This is a positive change 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%. Western Digital’s dividend payout ratio (DPR) is 3.58%.

Insider Buying and Selling

In other Western Digital news, insider Cynthia L. Tregillis sold 432 shares of the company’s stock in a transaction on Friday, June 5th. The stock was sold at an average price of $545.60, for a total value of $235,699.20. Following the completion of the sale, the insider directly owned 116,643 shares in the company, valued at $63,640,420.80. This represents a 0.37% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bruce E. Kiddoo sold 750 shares of the firm’s stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $528.52, for a total value of $396,390.00. Following the completion of the sale, the director directly owned 3,903 shares of the company’s stock, valued at $2,062,813.56. This trade represents a 16.12% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 29,322 shares of company stock worth $12,768,550. 0.18% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Western Digital

A number of hedge funds have recently modified their holdings of WDC. Dogwood Wealth Management LLC grew its position in Western Digital by 28.6% in the second quarter. Dogwood Wealth Management LLC now owns 90 shares of the data storage provider’s stock worth $57,000 after acquiring an additional 20 shares during the period. Legacy Wealth Asset Management LLC increased its stake in Western Digital by 1.0% during the second quarter. Legacy Wealth Asset Management LLC now owns 2,302 shares of the data storage provider’s stock worth $1,470,000 after acquiring an additional 22 shares during the last quarter. Everpar Advisors LLC raised its position in Western Digital by 1.8% in the second quarter. Everpar Advisors LLC now owns 1,442 shares of the data storage provider’s stock valued at $921,000 after purchasing an additional 25 shares during the period. Ares Financial Consulting LLC raised its position in Western Digital by 45.5% in the second quarter. Ares Financial Consulting LLC now owns 80 shares of the data storage provider’s stock valued at $51,000 after purchasing an additional 25 shares during the period. Finally, Dynamic Advisor Solutions LLC lifted its stake in shares of Western Digital by 2.1% in the 2nd quarter. Dynamic Advisor Solutions LLC now owns 1,390 shares of the data storage provider’s stock valued at $888,000 after purchasing an additional 28 shares during the last quarter. Hedge funds and other institutional investors own 92.51% of the company’s stock.

About Western Digital

(Get Free Report)

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.