Leading data storage manufacturer Western Digital (NASDAQ: WDC) will be announcing earnings results tomorrow morning. Here's what to expect.
Last quarter Western Digital Corporation reported revenues of $4.52 billion, down 7.96% year on year, missing analyst expectations by 0.98%. It was a weak quarter for the company, with declining revenue and underwhelming revenue guidance for the next quarter.
Is Western Digital Corporation buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Western Digital Corporation's revenue to decline 28.4% year on year to $3.61 billion, a deceleration on the 28.7% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.39 per share.
The analysts covering the company have been growing increasingly bearish about the business heading into the earnings, with revenue estimates seeing eight downward revisions over the last thirty days. The company missed Wall St's revenue estimates twice over the last two years.
Looking at Western Digital Corporation's peers in the semiconductors segment, some of them have already reported Q1 earnings results, giving us a hint of what we can expect. Lam Research reported revenues up 17.8% year on year, exceeding estimates by 3.36%. Lam Research was up 2.37%. Read our full analysis of Lam Research's results here.
Investors in the semiconductors segment have had steady hands going into the earnings, with the stocks down on average 0.04% over the last month. Western Digital Corporation is up 3.78% during the same time, and is heading into the earnings with analyst price target of $47.5, compared to share price of $34.56.
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The author has no position in any of the stocks mentioned.