Western Digital stock was trading lower late Thursday, following the data storage company’s report of fiscal third quarter earnings and sales that exceeded expectations. The company reported an adjusted earnings of 63 cents per share on sales of $3.46 billion for the March-ending quarter. Analysts had predicted adjusted earnings of 22 cents per share on sales of $3.37 billion.
For the current quarter, Western Digital is expecting sales of $3.7 billion at the midpoint of its range, slightly below analyst projections of $3.71 billion for the June-ending quarter. The company is one of the largest manufacturers of hard disk drives and flash data storage products on a global scale. It announced plans to spin off its flash and hard-drive businesses in October, with the completion targeted for the second half of 2024.
Before the earnings report, Western Digital stock closed flat at $69.44 on Thursday. The stock has seen gains of 32% this year and 111% in the past 12 months. Despite recent earnings struggles, the company has a strong Relative Strength rating of 96 out of 99, indicating that its shares have outperformed the broader market in the past year.
Investors are looking for signs of a turnaround, given Western Digital’s EPS Rating of 5 out of 99. The stock has an IBD Composite Rating of 66, combining five separate proprietary ratings into one rating. The best growth stocks typically have a Composite Rating of 90 or higher. In the past year, Western Digital stock has gained momentum and shown positive growth potential.
As Western Digital continues to navigate the data storage market, investors will be closely monitoring the company’s performance and future prospects. The stock is a key player in the industry and has the potential for further growth and success in the coming months and years. With a focus on innovation and technology, Western Digital remains a significant player in the data storage sector.