How Schwab Network’s view on $WDC changed

Channel profile →This channel has 3 credited speakers: Morgan Stanley, Truist, UBS1 entry
2026-09-01
“The Big 3: GEV, BLK, WDC”
WDC fundamentals are attractive due to rising EPS estimates and AI demand, but technicals show an unclear downtrend with key support at 425.

Now your last one is the the clear outperformer in terms of price action. We're talking about Western Digital up, you know, a measly 468% in the last 52 weeks, Jessica. So, take us through your thesis on Western Ditch.

Yeah, it's very interesting that it's the outperformer and as we're increasing in total debt to percentage of assets. So, it's interesting because that might relate to the pullback.

Um, their total debt as a percent of assets is about 8.6% slightly under. They have positive free cash flow quarter over- quarter growth of about 30%. They're really the key data point that caught my attention though is the EPS estimates over the past 30 days.

Those revisions are up over 10%. So even though the one-mon return is a little low, that to me is showing me that earning estimates are climbing. And that's what I call attractive valuation is I like to look at the price relative to the estimates and the delta differentiation rather than just a PE ratio altogether.

Let's look at the numerator and the the denominator if you will.