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Western Digital (WDC) Stock Sinks As Market Gains: What You Should Know

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Western Digital (WDC - Free Report) closed the latest trading day at $76.52, indicating a -0.75% change from the previous session's end. This change lagged the S&P 500's 0.27% gain on the day. Elsewhere, the Dow saw a downswing of 0.31%, while the tech-heavy Nasdaq appreciated by 0.88%.

Shares of the maker of hard drives for businesses and personal computers witnessed a gain of 8.64% over the previous month, beating the performance of the Computer and Technology sector with its loss of 4.82% and the S&P 500's gain of 2.85%.

The investment community will be closely monitoring the performance of Western Digital in its forthcoming earnings report. The company is forecasted to report an EPS of $1.02, showcasing a 151.52% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.72 billion, indicating a 39.37% increase compared to the same quarter of the previous year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of -$0.84 per share and revenue of $12.81 billion, indicating changes of +76.6% and +3.96%, respectively, compared to the previous year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Western Digital. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. At present, Western Digital boasts a Zacks Rank of #2 (Buy).

The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 69, which puts it in the top 28% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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