Bank of America Securities analyst Wamsi Mohan has maintained their bullish stance on WDC stock, giving a Buy rating on March 7.
Wamsi Mohan has given his Buy rating due to a combination of factors that highlight Western Digital’s strong market position and future growth potential. The company is well-positioned in the HDD market, which is currently in an upcycle, driven by demand from AI and Hyperscale applications. Western Digital is focusing on enhancing its product capabilities, such as increasing capacity and performance, while also working on reducing leverage and driving capital returns.
Additionally, Western Digital has improved its visibility into future demand through build-to-order agreements, extending its forecast horizon significantly. The company is also addressing potential risks related to tariffs and economic conditions, with strategies in place to manage inventory and production. Furthermore, Western Digital is planning to reinstate its dividend and has announced a significant debt reduction, which are positive indicators for its financial health and shareholder value.
Mohan covers the Technology sector, focusing on stocks such as Apple, Western Digital, and Seagate Tech. According to TipRanks, Mohan has an average return of 9.6% and a 55.08% success rate on recommended stocks.
In another report released on March 7, Cantor Fitzgerald also maintained a Buy rating on the stock with a $65.00 price target.