The stock of Western Digital Corporation (NASDAQ:WDC) is now priced at $34.71 and the shares are -0.89 points down or -2.5% lower compared to its previous closing price of $35.6. The stock had 5.933 million contracts set over the past session. WDC shares’ daily volume is compared to its average trading volume at 5.777 million shares. However, it has a float of 298 million and although its performance was -6.14% over the week, it’s one to watch. Analysts have given the WDC stock a yearly average price target of $51.49 per share. It means the stock’s upside potential is 48.34% with the WDC share price recently placing at $34.57 to $35.66. However, some brokerage firms have priced the stock below the average, including one that has called $40.
The shorts are climbing into the Western Digital Corporation stock, with the latest data on short interest released on July 31, 2020, showing that short interest numbers in the WDC shares have risen. Short interest in the stock represents just 2.62% of its float, but the volume has raised by 138133. The volume of shorted shares rised to 7.829 million from 7.69 million shares over the last two weeks. The average intraday trading volume has been 4.248 million shares, which means that days to cover moved to roughly 1.842837.
In the last trading session, Western Digital Corporation (NASDAQ:WDC) dropped by -$2.27 over the week and lost -$9.46 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $72. The stock recorded its established 52-week high on 01/23/20.
Since 03/19/20, the stock has traded to a low of $27.4 at 26.68%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 1.56. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Western Digital Corporation’s two-week RSI is 27.19. This suggests that the stock is overbought at the moment and that WDC shares’ price movement remains not stable. The stochastic readings are equally revealing at 2.11% meaning the WDC share price is currently in overbought territory.
The technical chart shows that the WDC stock will likely settle at between $35.39 and $36.07 per share. However, if the stock dips below $34.3, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $33.89.
Currently, the stock is trading in the red of MACD, with a reading of -1.01. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at The Benchmark Company though dropped target price of WDC stock from $60 to $52 but maintained Buy recommendation in their August 06 review. Cowen analysts see the stock as a Outperform, but they also dropped the share’s target price from $70 to $50 in a flash note released to investors on August 06. Craig Hallum seeing the stock struggling downgraded it from Buy to Hold on August 06 placing it at $44.
The average rating for the WDC equity is 2.18 and is currently gathering a bullish momentum. Of 32 analysts tracking Western Digital Corporation polled by Reuters, 14 rated WDC as a hold. The remaining 18 analysts were split evenly. However, the split wasn’t equal as a majority (18) rated it as a buy or strong buy. 0 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the WDC stock price is 5.48X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands below the group’s average of 15.2. Western Digital Corporation has its P/E ratio at 1.1, which means that the stock is currently trading at a discount relative to the 3.7 industry average.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Western Digital Corporation (NASDAQ:WDC) will decrease by about -10.66%, which will see them reach $3830 million. The company’s full-year revenues are, however, expected to diminish by about -6.27%, down from $16700 million to $15700 million. WDC’s expected adjusted earnings should surge almost 61.76% to end up at $0.55 per share, while for the fiscal year, analysts project the company’s earnings to grow by about 5.92% to record $3.22/share.