Western Digital’s Blowout Results Swallowed by AI Selloff: Is the Storage Supercycle Still On?
📌 Western Digital (WDC) reported FY27 Q1 results after Thursday’s close: revenue of $4.38 billion, up 55% year over year and above expectations of $4.14 billion; adjusted EPS was $4.64 versus expectations of $4.08 (Investing.com)
📌 Q2 revenue guidance: $5.0–$5.2 billion, with the midpoint about 12% above expectations; EPS guidance: $5.60–$6.00, with the midpoint about 20% above expectations; gross margin was 58.1% (versus 43.9% a year ago), and free cash flow was $1.38 billion
📌 Shares briefly rose about 4% after hours, then gave back their gains: Meta fell about 7% that day, Micron about 6%, and Nvidia about 4.4%, as the AI sector remained under pressure (Investing.com)
【View】
Fundamentals and share prices have completely diverged: demand for AI data storage is still accelerating, but the market is now trading on “whether capital spending can continue + the cost of capital,” rather than quarterly results. If even strong earnings can’t support share prices, that suggests positions and sentiment are being flushed out—not that demand has collapsed.
【Opportunities/Risks】
✅ If Micron, Seagate, and others also issue strong guidance, the storage supply chain could be among the first to find a floor, becoming an “emotional barometer” for the AI sector
✅ In crypto, BTC has fallen back to around $82,000; $80,000–$81,500 is the ETF cost basis zone. Whether U.S. tech stocks stabilize will directly affect risk appetite
⚠️ The Fed’s rate decision is due next week on 10/28, and oil is at $112. If rate-hike expectations rise, high-valuation tech stocks and crypto could both take another hit
Do you think this is the start of the AI bubble deflating, or another chance to “buy good companies at a discount”?
#美股 #AI #存储 #西部数据 #CryptoMarket
$BTC $FIL
For reference only; not investment advice
📌 Western Digital (WDC) reported FY27 Q1 results after Thursday’s close: revenue of $4.38 billion, up 55% year over year and above expectations of $4.14 billion; adjusted EPS was $4.64 versus expectations of $4.08 (Investing.com)
📌 Q2 revenue guidance: $5.0–$5.2 billion, with the midpoint about 12% above expectations; EPS guidance: $5.60–$6.00, with the midpoint about 20% above expectations; gross margin was 58.1% (versus 43.9% a year ago), and free cash flow was $1.38 billion
📌 Shares briefly rose about 4% after hours, then gave back their gains: Meta fell about 7% that day, Micron about 6%, and Nvidia about 4.4%, as the AI sector remained under pressure (Investing.com)
【View】
Fundamentals and share prices have completely diverged: demand for AI data storage is still accelerating, but the market is now trading on “whether capital spending can continue + the cost of capital,” rather than quarterly results. If even strong earnings can’t support share prices, that suggests positions and sentiment are being flushed out—not that demand has collapsed.
【Opportunities/Risks】
✅ If Micron, Seagate, and others also issue strong guidance, the storage supply chain could be among the first to find a floor, becoming an “emotional barometer” for the AI sector
✅ In crypto, BTC has fallen back to around $82,000; $80,000–$81,500 is the ETF cost basis zone. Whether U.S. tech stocks stabilize will directly affect risk appetite
⚠️ The Fed’s rate decision is due next week on 10/28, and oil is at $112. If rate-hike expectations rise, high-valuation tech stocks and crypto could both take another hit
Do you think this is the start of the AI bubble deflating, or another chance to “buy good companies at a discount”?
#美股 #AI #存储 #西部数据 #CryptoMarket
$BTC $FIL
For reference only; not investment advice