Western Digital Financials
Western Digital (WDC) reported $12.9B in revenue for fiscal year 2026, up 35.7% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
WDC's turnaround is being powered by margin expansion, letting a smaller revenue base produce profits and cash again.
Despite revenue still sitting well below the FY2022 peak, FY2025 operating income nearly matched that earlier cycle because gross margin widened to38.8% from31.3% . With SG&A and R&D running far leaner than at the peak, the rebound looks driven as much by a reset cost base as by sales recovery.
Cash conversion returned quickly: FY2025 generated operating cash flow of
Leverage is materially lighter than in the last upcycle, with long-term debt cut to
Financial Health Signals
Scored against operating companies for FY2026. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Western Digital's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Western Digital has an operating margin of 34.5%, meaning the company retains $34 of operating profit per $100 of revenue. This strong profitability earns a score of 74/100, reflecting efficient cost management and pricing power. This is up from 24.5% the prior year.
Western Digital's revenue surged 35.7% year-over-year to $12.9B, reflecting rapid business expansion. This strong growth earns a score of 93/100.
Western Digital carries a low D/E ratio of 0.00, meaning only $0.00 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 93/100, indicating a strong balance sheet with room for future borrowing.
Western Digital's current ratio of 1.33 indicates adequate short-term liquidity, earning a score of 35/100. The company can meet its near-term obligations, though with limited headroom.
Western Digital converts 27.2% of revenue into free cash flow ($3.5B). This strong cash generation earns a score of 79/100.
Western Digital earns a strong 106.3% return on equity (ROE), meaning it generates $106 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 78/100. This is up from 35.6% the prior year.
Western Digital scores 23.01, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($165.6B) relative to total liabilities ($5.0B). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Western Digital passes 7 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, Western Digital generates $0.42 in operating cash flow ($3.9B OCF vs $9.4B net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Western Digital earns $26.99 in operating income for every $1 of interest expense ($4.5B vs $165.0M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Western Digital generated $12.9B in revenue in fiscal year 2026. This represents an increase of 35.7% from the prior year.
Western Digital's EBITDA was $4.8B in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 73.4% from the prior year.
Western Digital reported $9.4B in net income in fiscal year 2026. This represents an increase of 398.9% from the prior year.
Western Digital earned $24.28 per diluted share (EPS) in fiscal year 2026. This represents an increase of 374.2% from the prior year.
Cash & Balance Sheet
Western Digital generated $3.5B in free cash flow in fiscal year 2026, representing cash available after capex. This represents an increase of 174.5% from the prior year.
Western Digital held $1.6B in cash against $0 in long-term debt as of fiscal year 2026, with $4.2B of liabilities due within a year.
Western Digital paid $0.50 per share in dividends in fiscal year 2026. This represents an increase of 400.0% from the prior year.
Margins & Returns
Western Digital's gross margin was 48.9% in fiscal year 2026, indicating the percentage of revenue retained after direct costs. This is up 10.1 percentage points from the prior year.
Western Digital's operating margin was 34.5% in fiscal year 2026, reflecting core business profitability. This is up 10.0 percentage points from the prior year.
Western Digital's net profit margin was 73.0% in fiscal year 2026, showing the share of revenue converted to profit. This is up 53.1 percentage points from the prior year.
Western Digital's ROE was 106.3% in fiscal year 2026, measuring profit generated per dollar of shareholder equity. This is up 70.7 percentage points from the prior year.
Capital Allocation
Western Digital invested $1.2B in research and development in fiscal year 2026. This represents an increase of 16.8% from the prior year.
Western Digital spent $2.6B on share buybacks in fiscal year 2026, returning capital to shareholders by reducing shares outstanding. This represents an increase of 1639.6% from the prior year.
Western Digital invested $418.0M in capex in fiscal year 2026, funding long-term assets and infrastructure. This represents an increase of 1.5% from the prior year.
WDC Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY26 | FY25 | FY24 | FY22 | FY21 | FY20 | FY19 | FY18 | FY16 | FY15 | FY14 | FY13 | FY11 | FY10 | FY09 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $12.9B+35.7% | $9.5B+50.7% | $6.3B | $18.8B+11.1% | $16.9B+1.1% | $16.7B+1.0% | $16.6B-19.8% | $20.6B | $13.0B-10.8% | $14.6B-3.7% | $15.1B-1.4% | $15.4B | $9.5B-3.3% | $9.8B+32.2% | $7.5B |
| Cost of Revenue | $6.6B+13.4% | $5.8B+28.3% | $4.5B | $12.9B+4.2% | $12.4B-4.3% | $13.0B+1.1% | $12.8B-1.0% | $12.9B | $9.6B-7.7% | $10.4B-3.9% | $10.8B-2.0% | $11.0B | $7.7B+3.8% | $7.4B+21.8% | $6.1B |
| Gross Profit | $6.3B+70.9% | $3.7B+108.2% | $1.8B | $5.9B+29.9% | $4.5B+19.6% | $3.8B+0.8% | $3.8B-51.3% | $7.7B | $3.4B-18.6% | $4.2B-3.2% | $4.4B-0.1% | $4.4B | $1.8B-25.4% | $2.4B+79.6% | $1.3B |
| R&D Expenses | $1.2B+16.8% | $994.0M+4.6% | $950.0M | $2.3B+3.6% | $2.2B-0.8% | $2.3B+3.6% | $2.2B-9.1% | $2.4B | $1.6B-1.2% | $1.6B-0.9% | $1.7B+5.7% | $1.6B | $703.0M+15.1% | $611.0M+20.0% | $509.0M |
| SG&A Expenses | $551.0M-3.0% | $568.0M-21.8% | $726.0M | $1.1B+1.1% | $1.1B-4.2% | $1.2B-12.5% | $1.3B-10.6% | $1.5B | $997.0M+26.5% | $788.0M-3.1% | $813.0M+15.2% | $706.0M | $282.0M+6.4% | $265.0M+31.8% | $201.0M |
| Operating Income | $4.5B+90.8% | $2.3B+679.2% | -$403.0M | $2.4B+96.0% | $1.2B+264.2% | $335.0M+285.1% | $87.0M-97.6% | $3.6B | $466.0M-71.1% | $1.6B-10.1% | $1.8B+41.5% | $1.3B | $781.0M-48.8% | $1.5B+193.8% | $519.0M |
| Interest Expense | $165.0M-53.8% | $357.0M+14.4% | $312.0M | $304.0M-6.7% | $326.0M-21.1% | $413.0M-11.9% | $469.0M-30.6% | $676.0M | $266.0M+442.9% | $49.0M-12.5% | $56.0M | N/A | N/A | N/A | N/A |
| Income Tax | $481.0M+193.8% | -$513.0M-2073.1% | $26.0M | $625.0M+489.6% | $106.0M-48.0% | $204.0M-56.3% | $467.0M-66.9% | $1.4B | -$89.0M-179.5% | $112.0M-17.0% | $135.0M-44.2% | $242.0M | $54.0M-60.9% | $138.0M+345.2% | $31.0M |
| Net Income | $9.4B+398.9% | $1.9B+336.7% | -$798.0M | $1.5B+88.3% | $821.0M+428.4% | -$250.0M+66.8% | -$754.0M-211.7% | $675.0M | $242.0M-83.5% | $1.5B-9.4% | $1.6B+65.0% | $980.0M | $726.0M-47.5% | $1.4B+194.0% | $470.0M |
| EPS (Diluted) | $24.28+374.2% | $5.12+296.2% | -$2.61 | $4.89+83.8% | $2.66+416.7% | -$0.84+67.4% | -$2.58-217.3% | $2.20 | $1.00-83.8% | $6.18-7.5% | $6.68+67.8% | $3.98 | $3.09-47.9% | $5.93+185.1% | $2.08 |
No annual filing on record for: FY2012, FY2017, FY2023.
WDC Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY26 | FY25 | FY24 | FY22 | FY21 | FY20 | FY19 | FY18 | FY16 | FY15 | FY14 | FY13 | FY11 | FY10 | FY09 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total Assets | $13.9B-1.0% | $14.0B-42.1% | $24.2B | $26.3B+0.5% | $26.1B+1.8% | $25.7B-2.7% | $26.4B-9.8% | $29.2B | $32.9B+116.6% | $15.2B-2.1% | $15.5B+10.4% | $14.0B | $8.1B+10.8% | $7.3B+38.5% | $5.3B |
| Current Assets | $5.6B-3.8% | $5.9B-27.3% | $8.1B | $9.5B-3.1% | $9.8B+7.8% | $9.0B+6.7% | $8.5B-20.3% | $10.6B | $12.6B+47.8% | $8.5B-2.4% | $8.7B+14.8% | $7.6B | $5.5B+16.3% | $4.7B+46.1% | $3.2B |
| Cash & Equivalents | $1.6B-25.3% | $2.1B+36.3% | $1.6B | $2.3B-30.9% | $3.4B+10.6% | $3.0B-11.8% | $3.5B-31.0% | $5.0B | $8.2B+62.2% | $5.0B+4.6% | $4.8B+11.5% | $4.3B | $3.5B+27.7% | $2.7B+52.4% | $1.8B |
| Inventory | $1.5B+17.0% | $1.3B-6.9% | $1.4B | $3.6B+0.6% | $3.6B+17.8% | $3.1B-6.5% | $3.3B+11.5% | $2.9B | $2.1B+55.6% | $1.4B+11.6% | $1.2B+3.2% | $1.2B | $577.0M+3.0% | $560.0M+48.9% | $376.0M |
| Accounts Receivable | $2.0B+36.3% | $1.5B+20.7% | $1.2B | $2.8B+24.2% | $2.3B-5.1% | $2.4B+97.6% | $1.2B-45.2% | $2.2B | $1.5B-4.6% | $1.5B-23.0% | $2.0B+10.9% | $1.8B | $1.2B-4.0% | $1.3B+35.6% | $926.0M |
| Goodwill | $4.3B0.0% | $4.3B0.0% | $4.3B | $10.0B-0.2% | $10.1B0.0% | $10.1B-0.1% | $10.1B0.0% | $10.1B | $10.0B+259.8% | $2.8B+8.1% | $2.6B+31.0% | $2.0B | $151.0M+3.4% | $146.0M+5.0% | $139.0M |
| Total Liabilities | $5.0B-40.9% | $8.5B-35.6% | $13.1B | $14.0B-8.9% | $15.4B-4.3% | $16.1B-1.8% | $16.4B-7.3% | $17.7B | $21.7B+264.9% | $6.0B-10.6% | $6.7B+8.4% | $6.1B | $2.6B+0.4% | $2.6B+24.8% | $2.1B |
| Current Liabilities | $4.2B-21.7% | $5.4B-11.0% | $6.1B | $5.2B+7.5% | $4.9B+10.5% | $4.4B+15.4% | $3.8B-14.3% | $4.5B | $6.9B+114.6% | $3.2B-15.8% | $3.8B-3.2% | $4.0B | $2.2B+7.3% | $2.0B+32.7% | $1.5B |
| Long-Term Debt | $0-100.0% | $2.5B-56.3% | $5.7B | $7.0B-17.1% | $8.5B-8.8% | $9.3B-9.3% | $10.2B-6.8% | $11.0B | $13.7B+535.6% | $2.1B-7.1% | $2.3B+34.1% | $1.7B | $150.0M-49.0% | $294.0M-26.5% | $400.0M |
| Total Equity | $8.9B+66.9% | $5.3B-50.9% | $10.8B | $12.3B+14.1% | $10.8B+13.1% | $9.6B-4.2% | $10.0B-13.6% | $11.5B | $11.1B+20.9% | $9.2B+4.3% | $8.8B+12.0% | $7.9B | $5.5B+16.5% | $4.7B+47.5% | $3.2B |
| Retained Earnings | $10.0B+1212.1% | $762.0M-88.8% | $6.8B | $9.0B+19.9% | $7.5B+12.1% | $6.7B-9.7% | $7.4B-14.9% | $8.8B | $8.8B-2.8% | $9.1B+12.9% | $8.1B+19.5% | $6.7B | $4.4B+19.8% | $3.7B+60.3% | $2.3B |
No annual filing on record for: FY2012, FY2017, FY2023.
WDC Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY26 | FY25 | FY24 | FY22 | FY21 | FY20 | FY19 | FY18 | FY16 | FY15 | FY14 | FY13 | FY11 | FY10 | FY09 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $3.9B+132.3% | $1.7B+675.2% | -$294.0M | $1.9B-0.9% | $1.9B+130.3% | $824.0M-46.7% | $1.5B-63.2% | $4.2B | $2.0B-11.6% | $2.2B-20.4% | $2.8B-9.7% | $3.1B | $1.7B-14.8% | $1.9B+48.8% | $1.3B |
| Capital Expenditures | $418.0M+1.5% | $412.0M-15.4% | $487.0M | $1.1B-2.1% | $1.1B+77.1% | $647.0M-26.1% | $876.0M+4.9% | $835.0M | $584.0M-4.6% | $612.0M-2.5% | $628.0M-34.0% | $952.0M | $778.0M+5.6% | $737.0M+42.0% | $519.0M |
| Free Cash Flow | $3.5B+174.5% | $1.3B+263.8% | -$781.0M | $758.0M+0.8% | $752.0M+324.9% | $177.0M-73.6% | $671.0M-80.1% | $3.4B | $1.4B-14.2% | $1.6B-25.5% | $2.2B+1.0% | $2.2B | $877.0M-27.2% | $1.2B+53.3% | $786.0M |
| Investing Cash Flow | -$429.0M-386.0% | $150.0M+655.6% | -$27.0M | -$1.2B-55.8% | -$765.0M-375.2% | $278.0M+121.9% | -$1.3B+23.1% | -$1.7B | -$9.6B-908.2% | -$953.0M+50.8% | -$1.9B-99.6% | -$970.0M | -$793.0M+19.6% | -$986.0M-78.9% | -$551.0M |
| Financing Cash Flow | -$4.0B-150.1% | -$1.6B-962.0% | $187.0M | -$1.7B-110.3% | -$817.0M+45.8% | -$1.5B+17.6% | -$1.8B+53.1% | -$3.9B | $10.8B+1105.7% | -$1.1B-177.7% | -$385.0M+63.3% | -$1.0B | -$106.0M-562.5% | -$16.0M+75.0% | -$64.0M |
| Dividends Paid | $174.0M+295.5% | $44.0M | $0 | $0 | $0-100.0% | $595.0M+1.9% | $584.0M-1.5% | $593.0M | $464.0M+17.2% | $396.0M+52.9% | $259.0M+43.1% | $181.0M | N/A | N/A | N/A |
| Share Buybacks | $2.6B+1639.6% | $149.0M | $0 | N/A | $0 | $0-100.0% | $563.0M-4.7% | $591.0M | $60.0M-93.8% | $970.0M+18.9% | $816.0M-3.1% | $842.0M | $50.0M | N/A | $36.0M |
No annual filing on record for: FY2012, FY2017, FY2023.
WDC Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples.
| Metric | FY26 | FY25 | FY24 | FY22 | FY21 | FY20 | FY19 | FY18 | FY16 | FY15 | FY14 | FY13 | FY11 | FY10 | FY09 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 48.9%+10.1pp | 38.8%+10.7pp | 28.1% | 31.3%+4.5pp | 26.7%+4.1pp | 22.6%-0.1pp | 22.6%-14.7pp | 37.3% | 26.4%-2.5pp | 29.0%+0.2pp | 28.8%+0.4pp | 28.4% | 18.8%-5.6pp | 24.4%+6.4pp | 17.9% |
| Operating Margin | 34.5%+10.0pp | 24.5%+30.9pp | -6.4% | 12.7%+5.5pp | 7.2%+5.2pp | 2.0%+1.5pp | 0.5%-17.0pp | 17.5% | 3.6%-7.5pp | 11.1%-0.8pp | 11.8%+3.6pp | 8.3% | 8.2%-7.3pp | 15.5%+8.5pp | 7.0% |
| Net Margin | 73.0%+53.1pp | 19.8%+32.5pp | -12.6% | 8.2%+3.4pp | 4.9%+6.3pp | -1.5%+3.1pp | -4.5%-7.8pp | 3.3% | 1.9%-8.2pp | 10.1%-0.6pp | 10.7%+4.3pp | 6.4% | 7.6%-6.4pp | 14.0%+7.7pp | 6.3% |
| Return on Equity | 106.3%+70.7pp | 35.6%+43.0pp | -7.4% | 12.6%+5.0pp | 7.6%+10.2pp | -2.6%+4.9pp | -7.6%-13.4pp | 5.9% | 2.2%-13.7pp | 15.9%-2.4pp | 18.3%+5.9pp | 12.4% | 13.2%-16.1pp | 29.3%+14.6pp | 14.7% |
| Return on Assets | 68.0%+54.5pp | 13.5%+16.8pp | -3.3% | 5.9%+2.8pp | 3.1%+4.1pp | -1.0%+1.9pp | -2.9%-5.2pp | 2.3% | 0.7%-8.9pp | 9.7%-0.8pp | 10.4%+3.5pp | 7.0% | 8.9%-9.9pp | 18.9%+10.0pp | 8.9% |
| Current Ratio | 1.33+0.2x | 1.08-0.2x | 1.32 | 1.80-0.2x | 2.00-0.1x | 2.05-0.2x | 2.22-0.2x | 2.39 | 1.81-0.8x | 2.63+0.4x | 2.27+0.4x | 1.91 | 2.53+0.2x | 2.33+0.2x | 2.12 |
| Debt-to-Equity | 0.00-0.5x | 0.47-0.1x | 0.53 | 0.57-0.2x | 0.78-0.2x | 0.97-0.1x | 1.03+0.1x | 0.95 | 1.23+1.0x | 0.230.0x | 0.260.0x | 0.22 | 0.030.0x | 0.06-0.1x | 0.13 |
| FCF Margin | 27.2%+13.7pp | 13.4%+25.8pp | -12.4% | 4.0%-0.4pp | 4.4%+3.4pp | 1.1%-3.0pp | 4.0%-12.3pp | 16.3% | 10.8%-0.4pp | 11.2%-3.3pp | 14.5%+0.3pp | 14.1% | 9.2%-3.0pp | 12.2%+1.7pp | 10.5% |
No annual filing on record for: FY2012, FY2017, FY2023.
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Where Western Digital Ranks
Frequently Asked Questions
What is Western Digital's annual revenue?
Western Digital (WDC) reported $12.9B in total revenue for fiscal year 2026. This represents a 35.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Western Digital's revenue growing?
Western Digital (WDC) revenue grew by 35.7% year-over-year, from $9.5B to $12.9B in fiscal year 2026.
Is Western Digital profitable?
Yes, Western Digital (WDC) reported a net income of $9.4B in fiscal year 2026, with a net profit margin of 73.0%.
What is Western Digital's EBITDA?
Western Digital (WDC) had EBITDA of $4.8B in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Western Digital have?
As of fiscal year 2026, Western Digital (WDC) had $1.6B in cash and equivalents against $0 in long-term debt.
What is Western Digital's gross margin?
Western Digital (WDC) had a gross margin of 48.9% in fiscal year 2026, indicating the percentage of revenue retained after direct costs of goods sold.
What is Western Digital's operating margin?
Western Digital (WDC) had an operating margin of 34.5% in fiscal year 2026, reflecting the profitability of core business operations before interest and taxes.
What is Western Digital's net profit margin?
Western Digital (WDC) had a net profit margin of 73.0% in fiscal year 2026, representing the share of revenue converted into profit after all expenses.
Does Western Digital pay dividends?
Yes, Western Digital (WDC) paid $0.50 per share in dividends during fiscal year 2026.
What is Western Digital's return on equity (ROE)?
Western Digital (WDC) has a return on equity of 106.3% for fiscal year 2026, measuring how efficiently the company generates profit from shareholder equity.
What is Western Digital's free cash flow?
Western Digital (WDC) generated $3.5B in free cash flow during fiscal year 2026. This represents a 174.5% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Western Digital's operating cash flow?
Western Digital (WDC) generated $3.9B in operating cash flow during fiscal year 2026, representing cash generated from core business activities.
What are Western Digital's total assets?
Western Digital (WDC) had $13.9B in total assets as of fiscal year 2026, including both current and long-term assets.
What are Western Digital's capital expenditures?
Western Digital (WDC) invested $418.0M in capital expenditures during fiscal year 2026, funding long-term assets and infrastructure.
How much does Western Digital spend on research and development?
Western Digital (WDC) invested $1.2B in research and development during fiscal year 2026.
What is Western Digital's current ratio?
Western Digital (WDC) had a current ratio of 1.33 as of fiscal year 2026, which is considered adequate.
What is Western Digital's debt-to-equity ratio?
Western Digital (WDC) had a debt-to-equity ratio of 0.00 as of fiscal year 2026, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Western Digital's return on assets (ROA)?
Western Digital (WDC) had a return on assets of 68.0% for fiscal year 2026, measuring how efficiently the company uses its assets to generate profit.
What is Western Digital's Altman Z-Score?
Western Digital (WDC) has an Altman Z-Score of 23.01, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Western Digital's Piotroski F-Score?
Western Digital (WDC) has a Piotroski F-Score of 7 out of 9, indicating strong financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Western Digital's earnings high quality?
Western Digital (WDC) has an earnings quality ratio of 0.42x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Western Digital cover its interest payments?
Western Digital (WDC) has an interest coverage ratio of 26.99x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Western Digital?
Western Digital (WDC) scores 75 out of 100 on our Financial Health Score, indicating strong standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.