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Why Western Digital (WDC) is a Top Momentum Stock for the Long-Term
ZACKS· 2025-10-01 14:51
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.Zacks Premium includes access to the Zacks Style Sc ...
Why Western Digital (WDC) is a Top Value Stock for the Long-Term
ZACKS· 2025-08-21 14:40
Group 1: Zacks Premium Overview - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens [1][2] - The service includes Zacks Style Scores, which are designed to help investors identify stocks with the best potential to outperform the market in the short term [2] Group 2: Zacks Style Scores - Zacks Style Scores categorize stocks into ratings of A, B, C, D, or F based on value, growth, and momentum characteristics, with higher scores indicating a better chance of outperforming the market [3] - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Cash Flow [3] - The Growth Score emphasizes a company's financial health and future growth potential by analyzing projected and historical earnings, sales, and cash flow [4] - The Momentum Score helps investors capitalize on price trends by evaluating recent price changes and earnings estimate revisions [5] - The VGM Score combines all three Style Scores to provide a comprehensive assessment of stocks based on value, growth, and momentum [6] Group 3: Zacks Rank and Stock Selection - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks historically achieving an average annual return of +23.75% since 1988 [7][9] - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, while also considering the direction of earnings estimate revisions [9][10] Group 4: Company Spotlight - Western Digital - Western Digital Corporation is a leading developer and manufacturer of data storage devices, offering a range of HDD and Flash storage solutions for various consumer electronics [11] - The company holds a 1 (Strong Buy) rating on the Zacks Rank and has a VGM Score of B, with a Value Style Score of B due to a forward P/E ratio of 11.64, indicating attractive valuation metrics [12] - Recent upward revisions in earnings estimates by analysts have increased the Zacks Consensus Estimate for fiscal 2026 to $6.50 per share, with an average earnings surprise of +6.8% [12][13]