TLDR
- JPMorgan raised its mark target on WDC to $650 from $530, declaring an Chubby rating, citing bettering HDD pricing
- Wells Fargo furthermore lifted its mark target to $575 from $500 with an Chubby rating
- Western Digital posted forty five% year-over-year earnings narrate in fiscal Q3 2026, with 11% sequential earnings narrate
- Q4 fiscal 2026 earnings guidance is made up our minds at $3.65 billion, implying 9.4% sequential narrate
- WDC stock is up 333% year-to-date, trading around $746.93
Western Digital (WDC) has had a year most stocks can exclusively dream about. Up 333% year-to-date and trading around $746.93, the firm is quietly one in all the most consuming winners of the AI buildout — even if Sandisk (SNDK) is grabbing loads of the headlines with its 820% function.
Western Digital Company, WDC
Wall Dual carriageway has taken inquire. JPMorgan raised its mark target on WDC to $650 from $530 on June 12, keeping an Chubby rating in web page. The bank told investors it became as soon as lifting earnings forecasts for HDD companies, driven by a extra obvious survey on pricing and the margins that ought to examine.
JPMorgan expects year-over-year mark increases in some unspecified time in the future of the replace to discover tempo in coming quarters, with sequential mark positive factors maintaining within the low- to mid-single digit vary. That adds up over time.
Wells Fargo furthermore moved its target better, lifting it to $575 from $500 on June 1, whereas reiterating its have Chubby rating.
Solid Earnings Back the Bullish Case
The analyst upgrades aren’t merely optimism — the numbers are backing them up. Western Digital reported forty five% year-over-year earnings narrate in its fiscal Q3 2026. On a sequential basis, earnings grew 11%, a prefer that tends to signal momentum in AI-driven hardware stocks.
Steerage for Q4 fiscal 2026 puts earnings at $3.65 billion, which would describe 9.4% sequential narrate. That’s the extra or less trajectory that keeps institutional investors .
CEO Irving Tan laid out the funding case it appears to be like that within the Q3 press release: “Nearly each AI workload, from coaching, inference, agentic AI to physical AI, creates info that is saved continuously and worth-successfully on HDDs.”
That’s the core of the Western Digital thesis. More AI workloads suggest extra info. More info manner extra need for storage. Western Digital makes the drives that store it.
HDD Query Tied Straight away to AI Infrastructure
Hyperscalers proceed loading up on AI chips, and these chips need somewhere to position the guidelines they generate. Western Digital’s enterprise laborious disk drives sit at that intersection.
Colossal Glimpse Be taught forecasts a 30.6% compound annual narrate fee for the broader market through 2033. There are for the time being 809 info centers in planning stages. Every body will need storage infrastructure.
Western Digital stock hit a 52-week high of $799.87, with present trading around $746.93. Market cap stands at $257 billion.
Micron Technology now now not too lengthy within the past crossed the $1 trillion market cap milestone, and Sandisk continues its respect-catching bustle. Western Digital, with a 333% function year-to-date, has outperformed practically each stock within the broader market this year.
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