Stock Pulse
Western Digital (WDC) recently completed the spin-off of its Flash business, Sandisk, retaining a 19.9% stake but relinquishing voting rights [11], [12]. This restructuring allows WDC to focus on its HDD business and reduce debt, prompting a Benchmark analyst upgrade to "Buy" with a $55 price target, citing attractive valuation and growth potential in data centers and AI [5], [6]. Despite a recent stock decline of 17% [1], [8], positive projections for revenue and earnings growth, driven by strong demand for high-capacity enterprise drives and the expanding AI sector [3], [4], suggest a positive long-term outlook. However, concerns remain regarding low margins and stagnant demand in some segments [9], highlighting the need for careful evaluation. Billionaire Stanley Druckenmiller's investment in WDC further supports its potential [3].