WDCWDC
US • —
$638.72
P/E
37.49
PEG
0.14
FCF Yield
—
Rev Growth YoY
+32.0% YoY
Gross Margin
45.4%
Health Score
5/10
D/E Ratio
0.85
Confidence
LOW
Business Snapshot
Western Digital Corporation (WDC) designs, manufactures, and sells data storage devices and solutions, including hard disk drives (HDDs) and NAND flash memory-based storage products under the SanDisk and WD brands. The company serves cloud service providers, enterprise clients, and individual consumers, competing in a duopolistic HDD market alongside Seagate. Market cap data is unavailable, placing the company's scale beyond direct classification. A key defining characteristic is its dual exposure to both mature HDD demand cycles and cyclical NAND flash markets.
Financial Health
Gross margin stands at 45.4%, though year-over-year trend data is unavailable for comparison, and net margin is a very high 55.3%. The balance sheet appears reasonably leveraged with a debt-to-equity ratio of 0.85x and a current ratio of 1.08x, indicating adequate short-term liquidity but limited headroom...
Risk Assessment
- VALUATION — The trailing P/E of 37.49x trades at a notable premium to the sector average of 22x, raising the bar for continued growth.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
- DEBT / LIQUIDITY — The current ratio of 1.08x provides only a thin buffer above the 1.0x threshold, indicating limited short-term liquidity cushion.
- EARNINGS QUALITY — While the company beat estimates in 4 of the last 4 quarters, the extremely high net margin of 55.3% may be distorted by non-operating or one-time items, warranting caution....
Gross margin stands at 45.4%, though year-over-year trend data is unavailable for comparison, and net margin is a very high 55.3%. The balance sheet appears reasonably leveraged with a debt-to-equity ratio of 0.85x and a current ratio of 1.08x, indicating adequate short-term liquidity but limited headroom. Free cash flow is not reported, making a direct assessment of cash generation impossible. Overall financial health is difficult to fully assess due to missing cash flow data, but the high margins and manageable debt are positive signs.
- VALUATION — The trailing P/E of 37.49x trades at a notable premium to the sector average of 22x, raising the bar for continued growth. - TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed. - DEBT / LIQUIDITY — The current ratio of 1.08x provides only a thin buffer above the 1.0x threshold, indicating limited short-term liquidity cushion. - EARNINGS QUALITY — While the company beat estimates in 4 of the last 4 quarters, the extremely high net margin of 55.3% may be distorted by non-operating or one-time items, warranting caution.
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