QM · rank #2 · 2026-10-20
WDC
NASDAQ · $136.29B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +314.45% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +130.8% |
| Profit margin Net profit margin, trailing 12 months. | +73.0% |
| Market cap (USD) Size filter: > $500M required. | $136.29B |
| Anchor (recent) Close on 2026-09-18 | $441.36 |
| Anchor (far) Close on 2025-09-19 | $106.49 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Western Digital Corporation designs and manufactures high-capacity nearline hard-disk drives and enterprise storage solutions for hyperscale cloud and AI data centers.
Rationale
Strong price momentum (3.14) is validated by exceptional quality metrics, including 49% gross margins, $3.5 billion in annual free cash flow, and long-term customer agreements extending through 2027–2029.
Material risks
- 1Hyperscale cloud customers disintermediating HDD vendors by designing storage systems in-house or shifting bulk storage intensity toward NAND flash.
- 2Yield or timing delays in ramping 40TB ePMR and 44TB HAMR drive generations, allowing Seagate or Toshiba to gain market share.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.