Your email address:

Powered by FeedBlitz

Or add to your news reader: Add to My Yahoo! Add to Google

Friday, July 25, 2008

Western Digital (WDC) 4Q:2008 results

Western Digital (WDC) reported better than expected numbers for the quarter but guided gross margins to 19.3% for next quarter -- the street was assuming over 21% on slightly better revenue. The net of it is an EPS outlook a dime below the street.

Though channel inventory was worked down across the industry, OEM pricing came through worse as a result of the availability of drives while negotiating was in process.

I'd suggested shorting this stock in the mid and high 30s. I wouldn't really be a buyer until its under 25.

No comments:

Blog Archive