Wall Street Zen upgraded Western Digital Corporation from hold to buy on May 2, 2026. This move follows a third-quarter financial report that exceeded both revenue and earnings expectations.
The company reported quarterly revenues of $3.34 billion. Net income reached $3.2 billion during this period. Management attributed the performance to surging demand for AI and cloud storage infrastructure.
The completed separation of the SanDisk flash business contributed a significant non-operating gain to the results. Western Digital subsequently raised its financial guidance for the fourth quarter.
The company also announced a 20% increase to its quarterly dividend. Multiple analyst firms raised their price targets in response to the updated outlook.