Western Digital Stock Down Despite Earnings Beat—Key Price Levels to Monitor
92
Key Takeaways
Western Digital posted a fiscal second quarter loss that came in considerably narrower than analysts had expected.
The hardware maker said it expects to report fiscal third-quarter revenue of between $3.2 billion and $3.4 billion, topping analysts’ expectations.
The WDC share price had risen sharply ahead of the company’s earnings, with key support and resistance areas at $50 and $63, respectively.
Western Digital Corporation
Source: TradingView.com.
Shares in disk drive and data storage manufacturer Western Digital (
WDC
) were down about 3% in pre-market trading Friday, even as the company posted results late Thursday that beat forecasts.
The company disclosed revenue for its fiscal 2024 second quarter of $3.03 billion, ahead of the consensus forecasts of $3 billion, but down 2% year-over-year. Net loss was 69 cents a share, considerably narrower than the $1.12 per share figure analysts had expected.
Since bottoming out around $32 a share in May, WDC shares have remained in a consistent
uptrend
, with gains accelerating on increasing volume in the weeks up to the latest earnings report. Key areas on the chart to monitor include a
horizontal line
near $50 that also finds support from the
50-day moving average
, and the $63 region, which aligns with a prominent May/June 2022 swing high.
Looking ahead, the hardware maker said it expects to report fiscal third-quarter revenue of between $3.2 billion and $3.4 billion, topping FactSet analysts’ forecast of $3.15 billion.
The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our
warranty and liability disclaimer
for more info.
As of the date this article was written, the author does not own any of the above securities.
