New York, Jan 29, 2026, 10:56 EST — Regular session
- Western Digital shares slipped in early trading, erasing some of the sharp rally from Wednesday.
- Investors are bracing for Western Digital’s fiscal second-quarter results, expected after the U.S. market closes.
- Traders are eyeing the company’s Innovation Day set for Feb. 3 in New York.
Shares of Western Digital Corp (WDC.O) dropped 2.8% to $271.81 in early Thursday trading, giving back some of Wednesday’s gains ahead of the company’s quarterly earnings report after the U.S. market closes. Seagate Technology (STX.O) edged down 0.8%, while Micron Technology (MU.O) slipped 2.2%.
The pullback is significant since Western Digital now serves as a high-beta stand-in for data-center storage demand linked to artificial intelligence. After a strong run-up, upcoming guidance and remarks could sway the stock more than the headline earnings number.
Seagate’s upbeat outlook earlier this week has raised expectations across the storage sector. Traders now expect Western Digital to follow suit or, at the very least, steer clear of signaling a drop in cloud orders.
Sentiment remained cautious. The tech-focused Nasdaq slipped roughly 1% as investors processed mega-cap earnings alongside fresh AI-driven spending announcements. (Reuters)
Western Digital plans to report its fiscal second-quarter results after the market closes on Thursday, followed by a conference call at 4:30 p.m. Eastern. (Western Digital)
The company previously forecasted second-quarter revenue at $2.9 billion, with a margin of error of $100 million, and adjusted EPS of $1.88, plus or minus 15 cents. CEO Irving Tan commented, “Western Digital continues to execute well in a strong demand environment driven by growth of data storage in the cloud.” (Reuters)
Western Digital surged 10.7% on Wednesday following a more than 19% jump in Seagate shares, driven by a strong forecast. The gains boosted the broader storage and chip sector. (Reuters)
Seagate projected third-quarter revenue around $2.90 billion, with a $100 million margin either way, and adjusted EPS at $3.40, plus or minus 20 cents, driven by robust demand for its hard disk drives, Reuters reported. CEO Dave Mosley highlighted that “modern data centers increasingly need storage solutions that combine performance and cost-efficiency at exabyte-scale” — noting that an exabyte equals roughly a billion gigabytes. (Reuters)
Investors are keen to hear if Western Digital sees continued strong pricing for high-capacity hard drives favored by cloud providers, and if supply remains tight. The company’s forward-looking guidance usually carries more weight than the past quarter’s results.
Western Digital has turned its attention to hard-disk drives following the spin-off of its flash business in February 2025, the company confirmed then. (Western Digital)
But the bar is set high. Western Digital’s stock has surged roughly 396% from November 2024 through January 28, 2026, which leaves scant room for error if profit margins falter or if hyperscale clients hold back orders even briefly. (Barron’s)
The calendar keeps rolling beyond earnings. Western Digital announced it will host an Innovation Day event in New York on Feb. 3. The company intends to showcase new products targeting demand within an “AI-driven data economy.” (Western Digital)
Thursday’s key moments include the earnings report after the market closes, plus management’s guidance during the follow-up call. Then, eyes shift to Feb. 3 for more detail on Western Digital’s shipping plans and timing. (Stock Titan)
