Sell Side firms are turning bullish on the stock following the analyst day
Western Digital Corp (NASDAQ:WDC) rating has been reinforced by brokerages Mizuho Securities and Needham and Company today. The sell side firms have also raised their price targets for the company.
Mizuho Securities has reiterated its Buy rating of the stock and has raised its price target to $72 from $66. Analyst Vijay Rakesh from the firm has commented by saying: “WDC held its first Investor Day in four years today at its Milpitas facility.” The technology company has raised its guidance and has announced to stop the product development in its 10k/15k HDD and is now focusing more towards SSD. The firm has adjusted its expectations for future due to a possibility of better revenues and operating expenditure controls.
Richard Kugele, analyst at Needham and Company, has also reiterated his Strong Buy rating on the stock and has raised the price target for the stock from $69 to $77. He said the following: “Yesterday’s analyst day was WDC’s first real chance to show Wall Street that the operational and financial excellence that the company has displayed for years in the HDD world is equally applicable in the NAND space.” He further stated that the company accomplished this task by providing a thorough review of their key drivers, risks and opportunities in the future. The firm believes that the $17.86 billion technology company has a right vision and the appropriate plans to execute the vision.
The stock prices of the California based technology company have been rising since the analyst day. The stock gained 2.83% yesterday and closed in at a price of $63.85. The prices have been rising in the pre-market hours today as well. Shares of the company have gained 4.98% as of 6:18AM EST and are being traded at $67.03.
Sell side firms including Citigroup, Brean Capital, and Wells Fargo have issued a Buy rating for the technology stock. The general price target stands at $69.57 depicting a 8.96% upside over the last close.