Western Digital Corp's stock is down 5.87% in pre-market trading, crossing below its 5-day SMA, reflecting broader market trends as the Nasdaq-100 and S&P 500 are both down significantly.
Despite the market's decline, Western Digital reported a 27% revenue increase to $2.8 billion in Q1 FY2026, with non-GAAP earnings rising 137% to $1.78 per share, showcasing strong demand and pricing power in the hard disk drive market. The company's leadership in HDD shipments and the projected 22% annual growth in data center HDD sales through 2030 indicate long-term growth potential driven by AI infrastructure demand.
The strong financial results highlight Western Digital's resilience amid market challenges, suggesting that the company remains well-positioned for future growth despite current stock price pressures.
Wall Street analysts forecast WDC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for WDC is 189.74 USD with a low forecast of 135.00 USD and a high forecast of 250.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
Wall Street analysts forecast WDC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for WDC is 189.74 USD with a low forecast of 135.00 USD and a high forecast of 250.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Buy
4 Hold
0 Sell
Strong Buy
Current: 240.850
Low
135.00
Averages
189.74
High
250.00
Current: 240.850
Low
135.00
Averages
189.74
High
250.00
Mizuho
Outperform
upgrade
$240 -> $265
2026-01-27
New
Reason
Mizuho
Price Target
$240 -> $265
AI Analysis
2026-01-27
New
upgrade
Outperform
Reason
Mizuho raised the firm's price target on Western Digital to $265 from $240 and keeps an Outperform rating on the shares. The firm believes pricing tailwinds in the legacy DRAM and NAND markets will drive better sales and margins in 2026 for the memory group. Mizuho expects no new NAND wafer capacity in 2026 and 2027 as NAND demand expands over 20% in 2026. Annualized NAND pricing is estimated to be up 330% year-over-year in 2026 and 50% in 2027 with tight supply as AI server demand accelerates, the analyst tells investors in a research note. The firm upped price targets in memory as a result.
Morgan Stanley
Overweight
maintain
$228 -> $260
2026-01-22
Reason
Morgan Stanley
Price Target
$228 -> $260
2026-01-22
maintain
Overweight
Reason
Morgan Stanley raised the firm's price target on Western Digital (WDC) to $260 from $228 and keeps an Overweight rating on the shares. The firm sees modest revenue upside and pronounced strength in margins to drive positive EPS revisions this quarter for both Seagate (STX) and Western, the analyst tells investors in a preview. Despite continued estimate revisions to its hard disk drive models, the firm still believes its above-consensus FY27 EPS forecast "could be conservative," the analyst added.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for WDC
Unlock Now
UBS
upgrade
$145 -> $230
2026-01-20
Reason
UBS
Price Target
$145 -> $230
2026-01-20
upgrade
Reason
UBS raised the firm's price target on Western Digital to $230 from $145. The December quarter is expected in line with guidance, with the March quarter slightly above the Street, supported by strong gross margins but limited near-term revenue upside due to constrained drive capacity, the analyst tells investors in a research note. Western Digital is likely to highlight fully booked capacity through 2027, with potential narrative shifts if external head sourcing adds incremental capacity, the firm says, adding that a down cycle is still modeled starting in early 2028, though timing may be pushed back.
Rosenblatt
Kevin Cassidy
Buy
upgrade
$165 -> $270
2026-01-20
Reason
Rosenblatt
Kevin Cassidy
Price Target
$165 -> $270
2026-01-20
upgrade
Buy
Reason
Rosenblatt analyst Kevin Cassidy raised the firm's price target on Western Digital to $270 from $165 and keeps a Buy rating on the shares. The firm upped the company's estimates citing increasing hard disk drive prices and demand. Western Digital's build-to-order strategy continues to benefit from good visibility and limited inventory builds, the analyst tells investors in a research note. Rosenblatt sees upside to the company's revenue and earnings estimates with a potential catalyst in HAMR technology drive approvals.
About WDC
Western Digital Corporation is a developer, manufacturer and provider of data storage devices and solutions. It delivers hard disk drives (HDD) solutions for everyone from students, gamers, and home offices to enterprises and public clouds. The Company manufactures, markets, and sells data storage devices and solutions in the United States and in foreign countries through its sales personnel, dealers, distributors, retailers, and subsidiaries. Its portfolio of technology and products addresses multiple end markets: Cloud, Client, and Consumer. Cloud is comprised primarily of products for public or private cloud environments and end customers. Through the Client end market, it provides its original equipment manufacturer (OEM) and channel customers a range of hard drive solutions across personal computer, mobile, gaming, automotive, virtual reality headsets, at-home entertainment, and industrial spaces. The Consumer end market offers a range of retail and other end-user products.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
