Western Digital Corp.
WDC
Market Cap$20.68B
Close$
Earnings Call Q3 2025
April 30, 2025 - AI Summary
Strong Financial Performance: Western Digital reported revenue of $2.3 billion in Q3 FY2025, up 31% year-over-year but down 5% sequentially. Non-GAAP gross margin improved to 40.1%, and non-GAAP earnings per share were $1.36. Free cash flow for the quarter was robust at $436 million, indicating strong operational efficiency.
Positive Demand Outlook: The company anticipates sequential revenue growth in Q4 FY2025, driven by strong demand from hyper-scale customers and long-term agreements (LTAs) with key clients extending through the first half of calendar year 2026. The management expressed optimism regarding sustained data center demand, particularly in light of AI-driven growth.
Challenges from Tariffs: There are potential uncertainties related to enterprise and consumer demand due to ongoing tariffs and geopolitical tensions. Although there hasn't been a significant slowdown, the company has acknowledged a possibility for demand variability in segments impacted by tariffs.
Exclusive for Stockcircle Pro members
Sign up
$-22.57
138.1% downside
Current Fair Value
138.1% downsideOvervalued by 138.1% based on the discounted cash flow analysis.
Share Statistics
| Market cap | $20.68 Billion |
|---|---|
| Enterprise Value | $24.91 Billion |
| Dividend Yield | $0.1 (0.168662506324844%) |
| Earnings per Share | $-1.72 |
| Beta | 1.54 |
| Outstanding Shares | 346,000,000 |
Return
| Return on Equity | - |
|---|---|
| Return on Assets | - |
| Return on Invested Capital | - |
Valuation & Multiples
| P/E Ratio | 12.53 |
|---|---|
| PEG | 4.39 |
| Price to Sales | 1.45 |
| Price to Book Ratio | 3.95 |
| Enterprise Value to Revenue | 1.73 |
| Enterprise Value to EBIT | 11.37 |
| Enterprise Value to Net Income | 13 |
| Total Debt to Enterprise | 0.31 |
| Debt to Equity | 1.49 |
Revenue Sources
No data
Insider Trades
ESG Score
No data
About Western Digital Corp.
61,800 employees
CEO: David Goeckeler Western Digital creates environments for data to thrive. As a leader in data infrastructure, the company is driving the innovation needed to help customers capture, preserve, access and transform an ever-increasing diversity of data. Eve...