On the stock market since 1978, it operates in the world of technology. It has 40,000 employees. Now — the numbers.
This is an established company with proven profits.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
An average decline of 9% a year over the last 4 years — the most striking risk in this picture. Red columns mark years that ended in a loss.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Sales are growing strongly for its sector.
The stock has been running stronger than the market lately.
Valuation: The stock trades at a price that looks expensive next to its earnings; that can cap future returns.
angles, checked one by one.
The 3 that stand out are on screen; the rest came back neutral.
The council scores out of 10; report-card grades are out of 100.
The stock trades 37% below its peak. The market has trimmed its expectations for the company.
The net profit margin is 73% — that slice of every sale is the company’s cushion in hard quarters.
Over the last 3 years, sales grew about 27% a year on average.
There is $1.6B in the vault; even if every debt were paid off, $527M would remain.
This stock swings about 2.2 times as much as the market average. Big rallies — and big drops — can both happen fast.
Today’s price already includes part of tomorrow’s optimism. Report-card grade: 49/100.
On our five-subject report card, WDC sits near the top of the class. A high grade doesn’t mean “guaranteed win” — it means “the evidence looks strong for now.”
The takeaway: WDC is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Analysts’ average target sits above today’s price, yet the valuation grade (49/100) says the stock isn’t cheap.