Western Digital lower on NAND pricing comments, says Wells Fargo

Wells Fargo says shares of Western Digital (WDC) are under pressure today following management comments at conference that NAND pricing is trending worse than previously expected in the December quarter. The company expects this to persist going into March quarter and said it will adjust production plans if the pressures persist, the analyst tells investors in a research note. Wells says Western Digital’s execution toward its flash spin in early 2025 remains the key focus for investors. The company noted continued progress with the companies operating separately, contends Wells. It remains positive on Western Digital shares and expects an “increasing focus” as Kioxia begins trading on Tokyo Stock Exchange next week, which is believes is a “valuation marker” for its pure-play flash business. Wells has an Overweight rating on Western Digital with a $95 price target The stock in afternoon trading is down 6% to $65.69.