WESTERN DIGITAL CORP (1WDC.MI) Stock Fundamental Analysis
BIT:1WDC - Euronext Milan - US9581021055 - Common Stock - Currency: EUR
Taking everything into account, 1WDC scores 4 out of 10 in our fundamental rating. 1WDC was compared to 28 industry peers in the Technology Hardware, Storage & Peripherals industry. 1WDC has an average financial health and profitability rating. 1WDC is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year 1WDC was profitable.
1WDC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: 1WDC reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: 1WDC reported negative operating cash flow in multiple years.
1.2 Ratios
1WDC's Return On Assets of 4.73% is fine compared to the rest of the industry. 1WDC outperforms 67.86% of its industry peers.
With a decent Return On Equity value of 9.75%, 1WDC is doing good in the industry, outperforming 78.57% of the companies in the same industry.
1WDC has a better Return On Invested Capital (8.91%) than 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.73% | ||
| ROE | 9.75% | ||
| ROIC | 8.91% |
ROA(3y)-1.53%
ROA(5y)-0.49%
ROE(3y)-3.16%
ROE(5y)-0.89%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 7.72%, 1WDC belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
With an excellent Operating Margin value of 15.80%, 1WDC belongs to the best of the industry, outperforming 89.29% of the companies in the same industry.
1WDC's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 34.75%, 1WDC is in the better half of the industry, outperforming 60.71% of the companies in the same industry.
1WDC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.8% | ||
| PM (TTM) | 7.72% | ||
| GM | 34.75% |
OM growth 3Y-39.35%
OM growth 5Y-7.63%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.72%
GM growth 5Y-0.75%
2. Health
2.1 Basic Checks
1WDC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, 1WDC has more shares outstanding
Compared to 5 years ago, 1WDC has more shares outstanding
1WDC has a worse debt/assets ratio than last year.
2.2 Solvency
1WDC has an Altman-Z score of 2.50. This is not the best score and indicates that 1WDC is in the grey zone with still only limited risk for bankruptcy at the moment.
1WDC has a better Altman-Z score (2.50) than 60.71% of its industry peers.
1WDC has a debt to FCF ratio of 16.89. This is a negative value and a sign of low solvency as 1WDC would need 16.89 years to pay back of all of its debts.
1WDC has a Debt to FCF ratio of 16.89. This is in the better half of the industry: 1WDC outperforms 60.71% of its industry peers.
A Debt/Equity ratio of 0.58 indicates that 1WDC is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.58, 1WDC is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 16.89 | ||
| Altman-Z | 2.5 |
ROIC/WACC0.93
WACC9.57%
2.3 Liquidity
A Current Ratio of 1.99 indicates that 1WDC should not have too much problems paying its short term obligations.
1WDC has a better Current ratio (1.99) than 64.29% of its industry peers.
1WDC has a Quick Ratio of 1.26. This is a normal value and indicates that 1WDC is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.26, 1WDC is doing good in the industry, outperforming 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
1WDC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 196.90%, which is quite impressive.
Looking at the last year, 1WDC shows a quite strong growth in Revenue. The Revenue has grown by 11.38% in the last year.
The Revenue has been decreasing by -4.73% on average over the past years.
EPS 1Y (TTM)196.9%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%356.52%
Revenue 1Y (TTM)11.38%
Revenue growth 3Y-8.41%
Revenue growth 5Y-4.73%
Sales Q2Q%41.33%
3.2 Future
1WDC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 83.47% yearly.
Based on estimates for the next years, 1WDC will show a decrease in Revenue. The Revenue will decrease by -5.09% on average per year.
EPS Next Y1642.68%
EPS Next 2Y363.95%
EPS Next 3Y183.08%
EPS Next 5Y83.47%
Revenue Next Year-14.58%
Revenue Next 2Y-11.45%
Revenue Next 3Y0.92%
Revenue Next 5Y-5.09%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.17 indicates a reasonable valuation of 1WDC.
1WDC's Price/Earnings ratio is rather cheap when compared to the industry. 1WDC is cheaper than 82.14% of the companies in the same industry.
1WDC is valuated cheaply when we compare the Price/Earnings ratio to 26.34, which is the current average of the S&P500 Index.
1WDC is valuated cheaply with a Price/Forward Earnings ratio of 7.71.
1WDC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1WDC is cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.19, 1WDC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 7.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1WDC is valued a bit cheaper than 60.71% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1WDC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.63 | ||
| EV/EBITDA | 8.33 |
4.3 Compensation for Growth
1WDC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as 1WDC's earnings are expected to grow with 183.08% in the coming years.
PEG (NY)0.01
PEG (5Y)N/A
EPS Next 2Y363.95%
EPS Next 3Y183.08%
5. Dividend
5.1 Amount
1WDC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1WDC (6/9/2025, 7:00:00 PM)
49.835
+8.5 (+20.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners99%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap17.33B
Analysts78
Price Target77.45 (55.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.51%
Min EPS beat(2)-1.74%
Max EPS beat(2)2.75%
EPS beat(4)3
Avg EPS beat(4)55.86%
Min EPS beat(4)-1.74%
Max EPS beat(4)200.65%
EPS beat(8)7
Avg EPS beat(8)35.99%
EPS beat(12)9
Avg EPS beat(12)1.21%
EPS beat(16)13
Avg EPS beat(16)6.99%
Revenue beat(2)0
Avg Revenue beat(2)-1.01%
Min Revenue beat(2)-1.56%
Max Revenue beat(2)-0.46%
Revenue beat(4)1
Avg Revenue beat(4)-0.14%
Min Revenue beat(4)-1.56%
Max Revenue beat(4)1.86%
Revenue beat(8)5
Avg Revenue beat(8)1.25%
Revenue beat(12)8
Avg Revenue beat(12)1.19%
Revenue beat(16)10
Avg Revenue beat(16)1.43%
PT rev (1m)-10.23%
PT rev (3m)-9.52%
EPS NQ rev (1m)6.09%
EPS NQ rev (3m)-47.7%
EPS NY rev (1m)-13.94%
EPS NY rev (3m)-22.78%
Revenue NQ rev (1m)-41.35%
Revenue NQ rev (3m)-50.12%
Revenue NY rev (1m)-31.76%
Revenue NY rev (3m)-34.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 7.71 | ||
| P/S | 1.28 | ||
| P/FCF | 45.63 | ||
| P/OCF | 23.11 | ||
| P/B | 1.61 | ||
| P/tB | 7.83 | ||
| EV/EBITDA | 8.33 |
EPS(TTM)4.9
EY9.83%
EPS(NY)6.46
Fwd EY12.97%
FCF(TTM)1.09
FCFY2.19%
OCF(TTM)2.16
OCFY4.33%
SpS39.08
BVpS30.92
TBVpS6.36
PEG (NY)0.01
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.73% | ||
| ROE | 9.75% | ||
| ROCE | 11.88% | ||
| ROIC | 8.91% | ||
| ROICexc | 10.02% | ||
| ROICexgc | 21.37% | ||
| OM | 15.8% | ||
| PM (TTM) | 7.72% | ||
| GM | 34.75% | ||
| FCFM | 2.79% |
ROA(3y)-1.53%
ROA(5y)-0.49%
ROE(3y)-3.16%
ROE(5y)-0.89%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-40.84%
ROICexcg growth 5Y-8.79%
ROICexc growth 3Y-42.6%
ROICexc growth 5Y-9.08%
OM growth 3Y-39.35%
OM growth 5Y-7.63%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.72%
GM growth 5Y-0.75%
F-Score7
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 16.89 | ||
| Debt/EBITDA | 2.41 | ||
| Cap/Depr | 79.74% | ||
| Cap/Sales | 2.72% | ||
| Interest Coverage | 6.3 | ||
| Cash Conversion | 28.72% | ||
| Profit Quality | 36.21% | ||
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 2.5 |
F-Score7
WACC9.57%
ROIC/WACC0.93
Cap/Depr(3y)101.89%
Cap/Depr(5y)88.31%
Cap/Sales(3y)5.46%
Cap/Sales(5y)5.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)196.9%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%356.52%
EPS Next Y1642.68%
EPS Next 2Y363.95%
EPS Next 3Y183.08%
EPS Next 5Y83.47%
Revenue 1Y (TTM)11.38%
Revenue growth 3Y-8.41%
Revenue growth 5Y-4.73%
Sales Q2Q%41.33%
Revenue Next Year-14.58%
Revenue Next 2Y-11.45%
Revenue Next 3Y0.92%
Revenue Next 5Y-5.09%
EBIT growth 1Y209.22%
EBIT growth 3Y-44.45%
EBIT growth 5Y-12%
EBIT Next Year761.55%
EBIT Next 3Y111.8%
EBIT Next 5Y47.82%
FCF growth 1Y205.06%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y17.3%
OCF growth 3YN/A
OCF growth 5YN/A