Western Digital stock fell 10.22 percent as Toshiba supply fears spread

Published on 10/04/2026 at 15:19 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Western Digital stock sits at USD 415.29 on Nasdaq after October 2's selloff. Fiscal Q4 revenue rose 43.8 percent to USD 3.75 billion, while EPS reached USD 3.56.

Makroaufnahme einer Festplattenscheibe, Motiv Western Digital, US9581021055 — Makroaufnahme zeigt glänzende Magnetscheibe einer Festplatte von Western Digital, ISIN US9581021055, in extremer Nahaufnahme, Illustration mit AI erstellt.

Western Digital (ISIN US9581021055) closed at USD 415.29 on Nasdaq on October 2, 2026, down 10.22 percent from USD 462.56. MarketBeat linked the decline to a reported Toshiba plan to expand hard disk drive production for AI data centers.

Toshiba raises the supply question

Toshiba's reported investment of USD 380 million to double HDD capacity by fiscal 2027 could ease the tight supply conditions that have supported Western Digital's pricing power. The same report said the change could intensify competition for cloud and AI data-center customers, placing future margins and market share under scrutiny.

The October 2 session also showed how quickly that concern reached the stock. Western Digital opened at USD 423.20, traded between USD 396.57 and USD 427.71, and handled 24,773,632 shares, while its market capitalization stood at USD 143.1 billion on the same date.

Quarterly growth remains visible

Western Digital's fiscal fourth-quarter revenue rose 43.8 percent year over year to USD 3.75 billion, and adjusted EPS reached USD 3.56 versus a USD 3.31 consensus. MarketBeat identified the results as the company's fiscal fourth-quarter report released on August 5, 2026.

Management set fiscal first-quarter 2027 adjusted EPS guidance at USD 3.85 to USD 4.15. That range keeps the operating picture positive, but the market reaction shows that supply expectations now compete with earnings momentum in the valuation debate.

For fiscal year 2026, Western Digital generated USD 12.92 billion in revenue, up 35.70 percent from USD 9.52 billion in fiscal year 2025. Stock Analysis also reports fiscal 2026 earnings of USD 9.29 billion, compared with USD 1.85 billion in the prior fiscal year.

Analyst targets stay above the stock

MarketBeat lists a Moderate Buy consensus from 25 analysts, including two Strong Buy ratings, 18 Buy ratings and five Hold ratings. Its average price target of USD 534.56 stands 28.72 percent above the October 2 closing price of USD 415.29.

That target spread is set against a 52-week range of USD 112.52 to USD 799.87. The current price is 48.08 percent below the yearly high, leaving the supply outlook as the key counterweight to the company's recent revenue and earnings growth.

Western Digital stock closes below USD 420

Western Digital stock closed at USD 415.29 on Nasdaq on October 2, 2026, with the 10.22 percent daily decline and the USD 143.1 billion market capitalization defining the latest market picture.