NEW YORK, July 16, 2026, 1:03 p.m. EDT
- U.S. markets were open. Western Digital traded at $458.22, down 10.8%, on delayed afternoon quotes.
- A preliminary calculation shows roughly $19.2 billion of market value erased. That equals about 5.2 times quarterly revenue guidance.
- Fiscal fourth-quarter results are due after the August 5 market close.
Western Digital (NASDAQ: WDC) slid 10.8% to $458.22 in Thursday trading. The drop erased roughly $19.2 billion from its equity value.
The shares fell inside a broad retreat from AI-linked hardware. The Philadelphia semiconductor index dropped 3.5% around midday.
The investor signal was sharper than the headline. Western Digital traded like a memory stock despite becoming an HDD-focused company after its flash separation.
It also underperformed direct HDD rival Seagate Technology (NASDAQ: STX).
| Company | Google Finance ticker | Price | Day change | Main exposure |
|---|---|---|---|---|
| Western Digital | NASDAQ: WDC | $458.22 | -10.8% | Hard-disk drives |
| Seagate Technology | NASDAQ: STX | $753.65 | -9.0% | Hard-disk drives |
| Sandisk | NASDAQ: SNDK | $1,428.00 | -11.6% | NAND flash |
| Micron Technology | NASDAQ: MU | $846.31 | -6.4% | Memory chips |
Delayed quotes from about 12:48 p.m. EDT. Percentage moves were calculated against Wednesday’s close.
Western Digital fell 1.8 percentage points more than Seagate. It dropped 4.4 points more than Micron.
The stock was also 17.5% below Monday’s $555.55 close. That marks a rapid de-rating before the next earnings report.
The larger number is the market value lost. A preliminary calculation puts it near $19.2 billion. That equals about 5.2 times Western Digital’s $3.65 billion quarterly revenue guidance.
This is not a cash-loss comparison. It shows how heavily the valuation depends on long-term AI demand.
Operating results had strengthened before the selloff. Fiscal third-quarter revenue rose 45% to $3.34 billion. Non-GAAP gross margin reached 50.5%.
Chief Executive Irving Tan said in April that “virtually every AI workload” creates data needing persistent, cost-efficient HDD storage. Western Digital
Thursday’s price action did not disprove that demand thesis. It suggested investors were cutting the premium assigned to its duration.
Sartorial Wealth Chief Executive Shiraz Ahmed told Reuters that “the chip rally is cooling off.” He said AI adoption remained uneven while infrastructure spending stayed heavy. Reuters
The next hard test comes August 5. Western Digital will report fourth-quarter and full-year results after the close. Investors will watch revenue, margins and future demand visibility.
Risks: Slower AI investment could weaken pricing and volume expectations. Tighter HDD supply or stronger cloud orders could reverse the decline quickly.
