Breaking News: Western Digital Corp (NASDAQ:WDC) Files with SEC for Stock Resale, Evercore ISI Reaffirms Outperform Rating
In a strategic move, Western Digital Corp has filed with the Securities and Exchange Commission (SEC) to register for the potential resale of up to 235,000 shares of Series A Convertible Perpetual Preferred Stock and up to 10,000,000 shares of common stock. This registration provides the company with flexibility in capital structure management, paving the way for future transactions.
Furthermore, Western Digital recently reported an impressive earnings per share beat at $1.44, surpassing the predicted $1.18, with robust Q4 revenues of $3.8 billion. The company experienced substantial margin growth in both the Hard Disk Drive (HDD) and Flash segments, leading to a 14% rise in HDD revenue quarter over quarter.
Analysts, including Evercore ISI and Benchmark, are optimistic about Western Digital's financial outlook, projecting strong earnings for fiscal year 2025. However, the company's guidance for the September quarter fell slightly below expectations, reflecting potential softness in Flash revenues.
Investors are closely monitoring Western Digital's performance metrics and market position as the company navigates its financial activities. Despite positive developments, it's essential to consider factors such as gross profit margins and valuation multiples when evaluating the company's financial health.
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