Core Viewpoint - Dycom Industries has shown strong stock performance, with a 13.9% increase over the past month and a 65.1% rise since the beginning of the year, outperforming both the Zacks Construction sector and the Zacks Building Products - Heavy Construction industry [1] Financial Performance - The company has consistently exceeded earnings expectations, reporting an EPS of $3.33 against a consensus estimate of $2.86 in its last earnings report [2] - For the current fiscal year, Dycom Industries is projected to achieve earnings of $10.01 per share on revenues of $5.31 billion, with a year-over-year earnings growth of 10.34% [3] - The next fiscal year is expected to see earnings of $11.05 per share on revenues of $5.69 billion, reflecting a year-over-year change of 7.28% [3] Valuation Metrics - Dycom Industries trades at a valuation of 28.7 times the current fiscal year EPS estimates, which is above the peer industry average of 25.5 times [7] - The trailing cash flow basis shows a trading multiple of 19.1 times compared to the peer group's average of 16.5 times [7] - The stock has a PEG ratio of 1.37, indicating it is not among the top value stocks [7] Zacks Rank and Style Scores - Dycom Industries holds a Zacks Rank of 2 (Buy), supported by favorable earnings estimate revisions from analysts [8] - The company has a Value Score of C, a Growth Score of B, and a Momentum Score of C, resulting in a combined VGM Score of B [6][9]

Core Viewpoint - Western Digital (WDC) has shown strong stock performance, with a 24.9% increase over the past month and a 59.4% rise since the beginning of the year, outperforming both the Zacks Computer and Technology sector and the Zacks Computer-Storage Devices industry [1] Financial Performance - The company has consistently exceeded earnings expectations, reporting an EPS of $1.66 against a consensus estimate of $1.48 in its last earnings report on July 30, 2025 [2] - For the current fiscal year, Western Digital is projected to achieve earnings of $6.5 per share on revenues of $10.92 billion, reflecting a 31.85% increase in EPS but a 17.76% decrease in revenues [3] - In the next fiscal year, earnings are expected to rise to $7.11 per share on revenues of $11.28 billion, indicating a year-over-year change of 9.38% in EPS and 3.32% in revenues [3] Valuation Metrics - The stock currently trades at 14.6 times the current fiscal year EPS estimates, below the peer industry average of 15.9 times [7] - On a trailing cash flow basis, the stock trades at 15.7 times compared to the peer group's average of 17 times, with a PEG ratio of 1.06 [7] Zacks Rank and Style Scores - Western Digital holds a Zacks Rank of 1 (Strong Buy) due to rising earnings estimates, which is a favorable indicator for investors [8] - The company has a Value Score of C, a Growth Score of B, and a Momentum Score of C, resulting in a combined VGM Score of B [6]

Group 1 - The majority of small and mid-cap software companies have reported positive earnings surprises during the Q1 earnings season, which has helped mitigate volatility in the market [1] - The volatility in the market began with the onset of Trump's new policies, impacting the technology sector [1] - Gary Alexander has extensive experience in covering technology companies and has been a contributor to Seeking Alpha since 2017, providing insights into industry trends [1]