WESTERN DIGITAL CORP (1WDC.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1WDC - US9581021055 - Common Stock
206.8 EUR
+11.28 (+5.77%)
Taking everything into account, 1WDC scores 5 out of 10 in our fundamental rating. 1WDC was compared to 33 industry peers in the Technology Hardware, Storage & Peripherals industry. While 1WDC belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1WDC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- 1WDC had positive earnings in the past year.
- In the past year 1WDC had a positive cash flow from operations.
- 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
- Looking at the Return On Assets, with a value of 17.50%, 1WDC belongs to the top of the industry, outperforming 87.88% of the companies in the same industry.
- With an excellent Return On Equity value of 41.08%, 1WDC belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 22.95%, 1WDC belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.5% | ||
| ROE | 41.08% | ||
| ROIC | 22.95% |
ROA(3y)0.89%
ROA(5y)2.34%
ROE(3y)3.69%
ROE(5y)6.28%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- With an excellent Profit Margin value of 20.94%, 1WDC belongs to the best of the industry, outperforming 93.94% of the companies in the same industry.
- 1WDC's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 23.42%, 1WDC belongs to the top of the industry, outperforming 93.94% of the companies in the same industry.
- 1WDC's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 39.34%, 1WDC is in the better half of the industry, outperforming 60.61% of the companies in the same industry.
- 1WDC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.42% | ||
| PM (TTM) | 20.94% | ||
| GM | 39.34% |
OM growth 3Y16.77%
OM growth 5Y53.81%
PM growth 3Y32.94%
PM growth 5YN/A
GM growth 3Y6.22%
GM growth 5Y11.02%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1WDC is creating value.
- Compared to 1 year ago, 1WDC has more shares outstanding
- 1WDC has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for 1WDC is higher compared to a year ago.
2.2 Solvency
- 1WDC has an Altman-Z score of 7.80. This indicates that 1WDC is financially healthy and has little risk of bankruptcy at the moment.
- 1WDC's Altman-Z score of 7.80 is amongst the best of the industry. 1WDC outperforms 84.85% of its industry peers.
- The Debt to FCF ratio of 1WDC is 2.33, which is a good value as it means it would take 1WDC, 2.33 years of fcf income to pay off all of its debts.
- 1WDC has a better Debt to FCF ratio (2.33) than 81.82% of its industry peers.
- 1WDC has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.40, 1WDC is in line with its industry, outperforming 54.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.33 | ||
| Altman-Z | 7.8 |
ROIC/WACC2.67
WACC8.59%
2.3 Liquidity
- A Current Ratio of 1.21 indicates that 1WDC should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.21, 1WDC perfoms like the industry average, outperforming 42.42% of the companies in the same industry.
- 1WDC has a Quick Ratio of 1.21. This is a bad value and indicates that 1WDC is not financially healthy enough and could expect problems in meeting its short term obligations.
- 1WDC has a Quick ratio (0.94) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
- 1WDC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 107.91%, which is quite impressive.
- Measured over the past years, 1WDC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.66% on average per year.
- 1WDC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -29.80%.
- The Revenue for 1WDC have been decreasing by -10.67% on average. This is quite bad
EPS 1Y (TTM)107.91%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%0%
Revenue 1Y (TTM)-29.8%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-31.18%
3.2 Future
- 1WDC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.20% yearly.
- 1WDC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.63% yearly.
EPS Next Y19.19%
EPS Next 2Y23.35%
EPS Next 3Y22.25%
EPS Next 5Y13.2%
Revenue Next Year25.34%
Revenue Next 2Y19.22%
Revenue Next 3Y15.72%
Revenue Next 5Y12.63%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 36.93, the valuation of 1WDC can be described as expensive.
- The rest of the industry has a similar Price/Earnings ratio as 1WDC.
- Compared to an average S&P500 Price/Earnings ratio of 27.32, 1WDC is valued a bit more expensive.
- The Price/Forward Earnings ratio is 24.28, which indicates a rather expensive current valuation of 1WDC.
- 1WDC's Price/Forward Earnings is on the same level as the industry average.
- When comparing the Price/Forward Earnings ratio of 1WDC to the average of the S&P500 Index (24.30), we can say 1WDC is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.93 | ||
| Fwd PE | 24.28 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1WDC is on the same level as its industry peers.
- 1WDC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.27 | ||
| EV/EBITDA | 26.04 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- 1WDC has a very decent profitability rating, which may justify a higher PE ratio.
- 1WDC's earnings are expected to grow with 22.25% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.92
PEG (5Y)2.22
EPS Next 2Y23.35%
EPS Next 3Y22.25%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.23%, 1WDC is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.90, 1WDC has a dividend in line with its industry peers.
- With a Dividend Yield of 0.23, 1WDC pays less dividend than the S&P500 average, which is at 1.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
5.2 History
- The dividend of 1WDC decreases each year by -42.40%.
Dividend Growth(5Y)-42.4%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 3.30% of the earnings are spent on dividend by 1WDC. This is a low number and sustainable payout ratio.
DP3.3%
EPS Next 2Y23.35%
EPS Next 3Y22.25%
BIT:1WDC (1/21/2026, 7:00:00 PM)
206.8
+11.28 (+5.77%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)01-29 2026-01-29/bmo
Inst Owners104.48%
Inst Owner ChangeN/A
Ins Owners0.3%
Ins Owner ChangeN/A
Market Cap70.70B
Revenue(TTM)12.00B
Net Income(TTM)2.51B
Analysts80
Price Target159.2 (-23.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
Yearly Dividend0.11
Dividend Growth(5Y)-42.4%
DP3.3%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.17%
Min EPS beat(2)10.76%
Max EPS beat(2)11.58%
EPS beat(4)3
Avg EPS beat(4)10.11%
Min EPS beat(4)-1.74%
Max EPS beat(4)19.85%
EPS beat(8)7
Avg EPS beat(8)38.17%
EPS beat(12)10
Avg EPS beat(12)7.46%
EPS beat(16)13
Avg EPS beat(16)3.99%
Revenue beat(2)2
Avg Revenue beat(2)3.38%
Min Revenue beat(2)2.36%
Max Revenue beat(2)4.41%
Revenue beat(4)2
Avg Revenue beat(4)0.73%
Min Revenue beat(4)-3.37%
Max Revenue beat(4)4.41%
Revenue beat(8)4
Avg Revenue beat(8)0.41%
Revenue beat(12)8
Avg Revenue beat(12)1.36%
Revenue beat(16)10
Avg Revenue beat(16)1.07%
PT rev (1m)4.4%
PT rev (3m)78.42%
EPS NQ rev (1m)0.53%
EPS NQ rev (3m)13.35%
EPS NY rev (1m)6.99%
EPS NY rev (3m)17.93%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)4.5%
Revenue NY rev (1m)2.91%
Revenue NY rev (3m)6.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.93 | ||
| Fwd PE | 24.28 | ||
| P/S | 6.92 | ||
| P/FCF | 41.27 | ||
| P/OCF | 34.58 | ||
| P/B | 13.57 | ||
| P/tB | 46.16 | ||
| EV/EBITDA | 26.04 |
EPS(TTM)5.6
EY2.71%
EPS(NY)8.52
Fwd EY4.12%
FCF(TTM)5.01
FCFY2.42%
OCF(TTM)5.98
OCFY2.89%
SpS29.9
BVpS15.24
TBVpS4.48
PEG (NY)1.92
PEG (5Y)2.22
Graham Number43.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.5% | ||
| ROE | 41.08% | ||
| ROCE | 30.6% | ||
| ROIC | 22.95% | ||
| ROICexc | 34.15% | ||
| ROICexgc | 113.71% | ||
| OM | 23.42% | ||
| PM (TTM) | 20.94% | ||
| GM | 39.34% | ||
| FCFM | 16.76% |
ROA(3y)0.89%
ROA(5y)2.34%
ROE(3y)3.69%
ROE(5y)6.28%
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
ROICexgc growth 3Y58.03%
ROICexgc growth 5Y82.85%
ROICexc growth 3Y35.09%
ROICexc growth 5Y70.9%
OM growth 3Y16.77%
OM growth 5Y53.81%
PM growth 3Y32.94%
PM growth 5YN/A
GM growth 3Y6.22%
GM growth 5Y11.02%
F-Score7
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.33 | ||
| Debt/EBITDA | 0.76 | ||
| Cap/Depr | 96.29% | ||
| Cap/Sales | 3.24% | ||
| Interest Coverage | 9.31 | ||
| Cash Conversion | 74.65% | ||
| Profit Quality | 80.02% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 7.8 |
F-Score7
WACC8.59%
ROIC/WACC2.67
Cap/Depr(3y)92.08%
Cap/Depr(5y)98.32%
Cap/Sales(3y)8.39%
Cap/Sales(5y)7.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)107.91%
EPS 3Y-7.2%
EPS 5Y16.66%
EPS Q2Q%0%
EPS Next Y19.19%
EPS Next 2Y23.35%
EPS Next 3Y22.25%
EPS Next 5Y13.2%
Revenue 1Y (TTM)-29.8%
Revenue growth 3Y-20.28%
Revenue growth 5Y-10.67%
Sales Q2Q%-31.18%
Revenue Next Year25.34%
Revenue Next 2Y19.22%
Revenue Next 3Y15.72%
Revenue Next 5Y12.63%
EBIT growth 1Y181.1%
EBIT growth 3Y-6.92%
EBIT growth 5Y37.4%
EBIT Next Year82.36%
EBIT Next 3Y33.64%
EBIT Next 5Y24.43%
FCF growth 1Y220.78%
FCF growth 3Y19.05%
FCF growth 5Y48.52%
OCF growth 1Y330.77%
OCF growth 3Y-3.47%
OCF growth 5Y15.46%
WESTERN DIGITAL CORP / 1WDC.MI FAQ
Can you provide the ChartMill fundamental rating for WESTERN DIGITAL CORP?
ChartMill assigns a fundamental rating of 5 / 10 to 1WDC.MI.
What is the valuation status for 1WDC stock?
ChartMill assigns a valuation rating of 3 / 10 to WESTERN DIGITAL CORP (1WDC.MI). This can be considered as Overvalued.
How profitable is WESTERN DIGITAL CORP (1WDC.MI) stock?
WESTERN DIGITAL CORP (1WDC.MI) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for 1WDC stock?
The Price/Earnings (PE) ratio for WESTERN DIGITAL CORP (1WDC.MI) is 36.93 and the Price/Book (PB) ratio is 13.57.
How financially healthy is WESTERN DIGITAL CORP?
The financial health rating of WESTERN DIGITAL CORP (1WDC.MI) is 5 / 10.