Why Western Digital Is Poised to Keep Poppin'

Updated
Why Western Digital Is Poised to Keep Poppin'

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, disk drive specialist Western Digital has earned a respected four-star ranking.

With that in mind, let's take a closer look at Western Digital and see what CAPS investors are saying about the stock right now.

Western Digital facts

Headquarters (founded)

Irvine, Calif. (1970)

Market Cap

$15.0 billion

Industry

Computer storage and peripherals

Trailing-12-Month Revenue

$15.4 billion

Management

CEO Stephen Milligan

CFO Wolfgang Nickl

Return on Equity (average, past 3 years)

19.7%

Cash/Debt

$4.3 billion/$2.0 billion

Divided Yield

1.5%

Competitors


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 95% of the 1,402 members who have rated Western Digital believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, All-Star PatrickTMF, succinctly summed up the bull case for our community:

Western Digital is a long time player and first mover in the hard drive and data storage business. They are a solid company with a forward P/E just below 8 as I write this pitch. It also distributes a decent dividend which is always a plus in my investment book. Also inside ownership, profit margins, and ROE are all in the double digits. The business has solid financials with an equally solid track record.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Western Digital may not be your top choice.

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The article Why Western Digital Is Poised to Keep Poppin' originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool owns shares of EMC and Western Digital. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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