After a 4x Surge, Is There Anything Left to Gain in Western Digital Corporation (WDC)?

Western Digital Corporation (NASDAQ:WDC) is among the most undervalued tech giants to buy according to hedge funds. As of December 26, Western Digital Corporation (NASDAQ:WDC) has received a ‘Buy’ rating from 77% of analysts covering the stock. With a median price target of $182, the stock has an upside potential of a meager 0.36%. However, that limited upside is understandable, as the stock has quadrupled in 2025, with year-to-date gains of 303%.

On December 17, Mizuho reaffirmed its ‘Outperform’ rating on the company, with a price target of $180, right after an investor call with the company’s CFO, Kris Sennesael, and VP of IR, Ambrish Srivastava.

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The analyst noted that Western Digital Corporation (NASDAQ:WDC) has solid visibility with its leading five customers, who have purchase orders in place through the end of 2026, and one customer has orders extending to CY27. What’s even more interesting is that the company is engaged in long-term agreements with customers through 2027-2029. Mizuho also highlighted strong pricing visibility under long-term agreements, with improved areal density that leads to better margins and a lower customer total cost of ownership.

On the same day, Morgan Stanley lifted the price target on Western Digital Corporation (NASDAQ:WDC) to $228 from $188, keeping the ‘Overweight’ rating. The firm favours cloud capex winners and product-cycle beneficiaries within the IT hardware market, remains bearish on stocks with increased memory exposure, and stays “increasingly more cautious” on memory-exposed names, the analyst stated in a year-ahead note.

Western Digital Corporation (NASDAQ:WDC) is a California-based company that provides data storage devices and solutions. Founded in 1970, the company offers its products through its computer manufacturers, distributors, and retailers.

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Disclosure: None.