WESTERN DIGITAL CORP (WDC) Factsheet
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WESTERN DIGITAL CORP (WDC) Stock Analysis
Analysis from 10-K filed 2026-08-14. Data as of Q3 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 38.7%. FCF margin 27.2%. D/E 0.2x. Source: 10-K filed 2026-08-14.
| Metric | Value | Context |
|---|---|---|
| ROIC | 38.7% | Above industry average |
| FCF Margin | 27.2% | Strong cash generation |
| Debt/Equity | 0.2x | Conservative leverage |
ROIC 38.7% — Top 5% of sector peers. FCF margin 27.2% — Top 25%.
Explore WESTERN DIGITAL CORP: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for WDC: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: WESTERN DIGITAL CORP earns 38.7% ROIC, Top 5% in Technology
ROIC TTM 38.7%, sector median 3.7%, Top 5%. DuPont: NOPAT margin 32.8% × asset turnover 0.9x. Gross margin 48.9%. Operating margin 34.5%. Source: 10-K filed 2026-08-14.
| Metric | WDC | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 38.7% | Excellent | Above sector median of 3.7% |
| Return on Equity (ROE) | 126.6% | Excellent | Efficient use of shareholder equity |
| Gross Margin | 48.9% | Good | Strong pricing power |
| Operating Margin | 34.5% | Excellent | Efficient operations |
Cash Flow: WESTERN DIGITAL CORP generates $3.5B FCF at 27.2% margin, positive NaN/8 quarters
FCF TTM $3.5B. FCF margin 27.2%, Top 25%. OCF/Net income 0.4x. Positive FCF in NaN/8 trailing quarters. Source: 10-K filed 2026-08-14.
| Metric | WDC | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 27.2% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $3.5B | Good | Positive cash generation |
| OCF/Net Income | 0.4x | Warning | Potential accrual concerns |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: WESTERN DIGITAL CORP at 0.2x leverage, 27.0x interest coverage
Debt/Equity 0.2x. Net cash $177.0M. Interest coverage 27.0x. Source: 10-K filed 2026-08-14.
| Metric | WDC | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.2x | Excellent | Conservative capital structure |
| Net Cash Position | $177.0M | Excellent | Net cash positive |
| Interest Coverage | 27.0x | Excellent | Comfortable debt service |
Valuation: WESTERN DIGITAL CORP trades at 16.9x earnings
P/E 16.9x. EV/Sales 12.7x. FCF yield 2.1%. Dividend yield 0.1%. Source: 10-K filed 2026-08-14.
| Metric | WDC | Rating | Context |
|---|---|---|---|
| P/E Ratio | 16.9x | Adequate | Reasonable valuation |
| EV/Sales | 12.7x | Warning | Growth premium priced in |
| FCF Yield | 2.1% | Adequate | Lower cash yield |
| Dividend Yield | 0.1% | Adequate | Growth focus over income |
Capital Allocation: WESTERN DIGITAL CORP returns 1.7% shareholder yield
Total shareholder yield 1.7% (div 0.1% + buyback 1.6%). Share count +4.0% YoY. Capital returned $2.8B TTM. Source: 10-K filed 2026-08-14.
| Metric | WDC | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 1.7% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 1.6% | Adequate | Minimal buyback activity |
| Share Count Change (YoY) | 4.0% | Warning | Net dilution from issuance/SBC |
| Total Capital Returned (TTM) | $2.8B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 38.7% | Top 5% | 10.4x above |
| Free Cash Flow Margin | 27.2% | Top 25% | 2.6x above |
| Gross Margin | 48.9% | Bottom 50% | 1.0x below |
| Operating Margin | 34.5% | Top 5% | 7.9x above |
| Return on Equity (ROE) | 126.6% | Top 5% | 23.7x above |
| P/E Ratio | 16.9x | N/A | - |
Financial Scorecard
| Metric | WDC | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 38.7% | Excellent | Top 5% of sector (median: 3.7%) |
| Free Cash Flow Margin | 27.2% | Excellent | Top 25% of sector (median: 10.3%) |
| Gross Margin | 48.9% | Good | Bottom 50% of sector (median: 50.5%) |
| Debt to Equity Ratio | 15.8% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 16.9x | Adequate | Fair value |
| Free Cash Flow Yield | 2.1% | Warning | Growth-focused valuation |
Frequently Asked Questions
Q: What is WESTERN DIGITAL CORP's Return on Invested Capital (ROIC)?
WESTERN DIGITAL CORP (WDC) has a trailing twelve-month Return on Invested Capital (ROIC) of 38.7%. The 8-quarter median ROIC is 25.5% with a improving trend. Sector median 3.7%. Source: 10-K filed 2026-08-14.
Q: What is WESTERN DIGITAL CORP's Free Cash Flow Margin?
WESTERN DIGITAL CORP (WDC) has a free cash flow margin of 27.2%, generating $3.5 billion in free cash flow over the trailing twelve months. Source: 10-K filed 2026-08-14.
Q: What is WESTERN DIGITAL CORP's P/E ratio and how does it compare to peers?
WESTERN DIGITAL CORP (WDC) trades at a P/E ratio of 16.9x, which is above the sector median of N/A. EV/Sales 12.7x. FCF yield 2.1%. Source: 10-K filed 2026-08-14.
Q: Does WESTERN DIGITAL CORP pay a dividend?
WESTERN DIGITAL CORP (WDC) currently pays a dividend yield of 0.1%. Total shareholder yield (dividend + buybacks) 1.7%. Source: 10-K filed 2026-08-14.
Q: What is WESTERN DIGITAL CORP's revenue and earnings growth?
WESTERN DIGITAL CORP (WDC) grew revenue by 35.7% year-over-year. EPS +371.2% YoY. Source: 10-K filed 2026-08-14.
Q: Is WESTERN DIGITAL CORP buying back stock?
WESTERN DIGITAL CORP (WDC) repurchased $2.6 billion of stock over the trailing twelve months. This represents a buyback yield of 1.6%. Share count +4.0% YoY. Source: 10-K filed 2026-08-14.
Q: How does WESTERN DIGITAL CORP compare to competitors in Technology?
Compared to other companies in Technology, WESTERN DIGITAL CORP (WDC) shows: ROIC 38.7%, sector median 3.7% (Top 5%). FCF margin 27.2%, sector median 10.3% (Top 25%). Gross margin 48.9%, 1.6pp below sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with WESTERN DIGITAL CORP?
No quantitative warning flags fired for WESTERN DIGITAL CORP (WDC) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-K filed 2026-08-14.
Data Source: Data sourced from 10-K filed 2026-08-14. TTM metrics as of Q3 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.