Western Digital price target raised to $230 from $190 at Evercore ISI

Evercore ISI raised the firm’s price target on Western Digital (WDC) to $230 from $190 and keeps an Outperform rating on the shares. The firm told investors that Western Digital’s remaining 5% stake in SanDisk (SNDK) is likely to be monetized in the coming weeks as the companies approach the one-year anniversary of their separation. Evercore expects proceeds to be used to further reduce debt on the balance sheet with excess capital returned to shareholders via dividend and share repurchase program. Assuming Western Digital deploys approximately 80% of this to share repurchases, the firm anticipates the company could see 3%-4% EPS upside.