Shares of Seagate Technology (NASDAQ:STX | STX Price Prediction) and Western Digital (NASDAQ:WDC) capped a blockbuster April with another leg higher Thursday afternoon.
Western Digital is set to report Q3 FY26 earnings amid unprecedented AI-driven HDD demand, mirroring Seagate's recent blowout results. Seagate, yesterday, revealed that its CY27 capacity is also nearly sold out, a dramatic update from 3 months ago, when Seagate had said they were just beginning CY27 capacity agreements. As of January, WDC's capacity is effectively sold out through CY26, with forward agreements into CY27, highlighting robust hyperscaler demand.
Shares in Western Digital, Sandisk, and Micron rally after strong earnings from hard-drive maker Seagate Technology.
Western Digital Corp. is rated a buy as cloud-driven demand and tight supply drive earnings and margin expansion. WDC's revenue is set to rebound, with Q3 sales expected to be up 40% YoY and adjusted EPS projected at $2.39, a 75% YoY increase. Long-term contracts with major cloud providers and a roadmap for higher-capacity drives (40TB+ this year, 100TB by 2029) underpin forward growth.
Western Digital heads into fiscal Q3 2026 earnings with strong AI-driven demand, rising margins and big buybacks-but lofty expectations raise the stakes.
Shares of Western Digital (NASDAQ:WDC | WDC Price Prediction) are trading around $404 Friday afternoon, modestly higher on the session and capping one of the strongest runs in the AI infrastructure complex this year.
Western Digital (WDC) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
WDC hits a 52-week high after a 918% surge, fueled by booming AI-driven storage demand, but stretched valuation and risks raise questions for investors.
SanDisk and Western Digital both offer memory storage solutions for AI processors and data center servers. SanDisk specializes in NAND flash, a market that has more long-term growth potential than Western Digital's hard disk drives.
WDC rides AI demand and surging cash flow, but high debt levels raise questions about its financial flexibility and growth outlook.
Western Digital (WDC) concluded the recent trading session at $372.52, signifying a +2.99% move from its prior day's close.
Western Digital (WDC) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.