Western Digital(WDC) ZACKS·2024-10-24 22:20Company Performance - Western Digital reported quarterly earnings of $1.78 per share, exceeding the Zacks Consensus Estimate of $1.74 per share, and a significant improvement from a loss of $1.76 per share a year ago, indicating an earnings surprise of 2.30% [1] - The company generated revenues of $4.1 billion for the quarter ended September 2024, which was below the Zacks Consensus Estimate by 0.39%, but an increase from $2.75 billion in the same quarter last year [1] - Over the last four quarters, Western Digital has surpassed consensus EPS estimates four times and topped consensus revenue estimates two times [1] Stock Performance - Western Digital shares have increased approximately 27.2% since the beginning of the year, outperforming the S&P 500's gain of 21.5% [2] - The stock's immediate price movement will largely depend on management's commentary during the earnings call and future earnings expectations [2][3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.01 on revenues of $4.31 billion, and for the current fiscal year, it is $7.91 on revenues of $17.13 billion [4] - The estimate revisions trend for Western Digital is currently unfavorable, resulting in a Zacks Rank 5 (Strong Sell), indicating expected underperformance in the near future [4] Industry Context - The Computer-Storage Devices industry, to which Western Digital belongs, is currently ranked in the top 39% of over 250 Zacks industries, suggesting a relatively strong position [5] - Another company in the same industry, Super Micro Computer, is expected to report quarterly earnings of $0.75 per share, reflecting a year-over-year increase of 120.6%, with revenues projected to be $6.52 billion, up 207.5% from the previous year [5]