Stock

# Western Digital (WDC)

Western Digital makes hard-drive storage, mostly for cloud customers, and its fiscal Q1 2027 revenue rose 55% to $4.381B.

Updated Oct 29, 2026

Information and analysis only, not a recommendation to buy, sell or hold any security. The author may own securities discussed.

Researched and drafted with AI agents. Every figure is taken from a source cited on the page.

Analysis and information

## What it does

Western Digital, which now calls itself WD, develops and makes data storage devices based on hard disk drive technology. It serves three end markets: Cloud, Client and Consumer. Cloud was $3.868B of its $4.381B revenue in the quarter to 2026-10-02, about 88%.

## Role in the theme

In the Memory and storage theme, WD supplies hard-drive storage to hyperscalers, cloud service providers and enterprises, as Seagate does.

## Latest

- **2026-10-23:** The quarterly report shows Cloud revenue of $3.868B, up from $2.510B a year earlier.
- **2026-10-22:** Fiscal Q1 2027 revenue was $4.381B, up 55% from a year earlier and 17% from the prior quarter. Non-GAAP gross margin was 58.1% and non-GAAP EPS was $4.64. Free cash flow was $1.38B.
- **2026-10-22:** Guidance for fiscal Q2 is revenue of $5.1B, plus or minus $100M, non-GAAP gross margin of 60-61% and non-GAAP EPS of $5.80, plus or minus $0.20. The quarterly dividend rose 17% to $0.175 per share.

## What to watch

- **Exabytes and pricing.** The CFO named exabyte growth and better pricing as the drivers of the quarter.
- **Gross margin** against the 60-61% guide for fiscal Q2.
- **Convertible notes.** WD is redeeming its remaining $109.5M of 3.00% notes due 2028 on 2026-11-16. Conversion is open until 2026-11-12.
- **Next report:** fiscal Q2 2027 results. The date is not announced (not confirmed).

## Covered in

- Theme: [Memory and storage](/research/themes/memory-storage)

## Sources

Primary means the publisher of the data or the filing; secondary means press or an aggregator.
- [WD fiscal Q1 2027 results](https://www.sec.gov/Archives/edgar/data/106040/000162828026066882/a4ex991-pressreleaseq127.htm)Primary 2026-10-22
- [Western Digital quarterly report on Form 10-Q, quarter ended 2026-10-02](https://www.sec.gov/Archives/edgar/data/106040/000162828026066933/wdc-20261002.htm)Primary 2026-10-23
- [Western Digital announces redemption of 3.00% convertible notes due 2028](https://www.sec.gov/Archives/edgar/data/106040/000119312526389859/d23939dex991.htm)Primary 2026-09-14
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