Here is why Western Digital Corporation (WDC) stock plunged in the after-hours on Thursday?

- Advertisements -

Western Digital Corporation (WDC) shares plunged 8.41% in after-hours on Thursday, January 27, 2022, and closed the daily trading at $49.31. Even in the regular trading session, WDC’s stock lost 1.36%. WDC shares have risen 2.26% over the last 12 months, and they have moved down 10.15% in the past week. Over the past three months, the stock has lost 2.96%, while over the past six months, it has declined 16.48%.

Let’s have a brief look at its recent news.

- Advertisements -

Top 5 EV Tech Stocks to Buy for 2023

The electric vehicle boom is accelerating – and fast. According a new report published by BloombergNEF, annual spending on passenger EVs hit $388 billion in 2022, up 53% from the year before. Like we said, the boom is accelerating – and the time to buy EV-related tech stocks is now. Get our free report, "Top 5 EV Tech Stocks to Buy for 2023".

Click Here to Download the FREE Report.


WDC latest news

On January 27, 2022, Western Digital Corp. (WDC) announced its fiscal second-quarter 2022 financial results.

Q2 2022 GAAP financial results

  • WDC generated revenue of $4.83 billion in the second quarter of Fiscal 2022 compared to $3.9 billion in the second quarter of Fiscal 2021.
  • Gross profit was $1.58 billion in Q2 2022 compared to $960 million in Q2 2021.
  • Total operating expenses were $856 million compared to $802 million in Q2 2021.
  • It earned a net income of $564 million in Q2 2022 compared to $62 million in Q2 2021.
  • Earnings per share were $1.79 in comparison with $0.20 in Q2 2021.
  • As of December 31, 2021, the company had $2.53 billion of total cash and cash equivalents.

Q3 2022 financial outlook

For the current quarter, Western Digital Corporation is expecting

- Advertisements -
  • Revenue in the range of $4.45 billion to $4.65 billion.
  • Gross margin in the range of 30% to 32%.
  • Operating expenses to be between $860 million to $880 million.

New appointment

With the financial results announcement, Western Digital Corp. (WDC) also announced the appointment of Wissam Jabre as Executive Vice President and Chief Financial Officer effective February 7, 2022. With over 20 years of experience in semiconductors and operations, Jabre was most recently Chief Financial Officer at Dialog Semiconductor.

WDC closed debt offering

The underwritten public offering of $500,000,000 aggregate principal amount of 2.850 percent senior unsecured notes due 2029 and $500,000,000 aggregate principal amount of 3.100 percent senior unsecured notes due 2032 by Western Digital Corporation (WDC) was closed on December 10, 2021.

The company will get net proceeds of approximately $988 million and will use it to refinance existing indebtedness and to pay fees and expenses in connection with the offering

- Advertisements -


The company achieved the revenue and earning targets but its Q3 2022 outlook falls short due to which its stock went down on Thursday. Let’s see how it commence Friday’s trading?

- Advertisements -

Leave a Comment

Your email address will not be published. Required fields are marked *