Western Digital Sees Price Target Raised to $230 as Billionaires Buy into HDD Shortage
Cliff Asness, Israel Englander and Steven Cohen purchased Western Digital shares in Q3 after the stock surged 1,180% since 2023 on AI-driven HDD shortages. Evercore ISI upgraded the company to Outperform on January 16, raising its price target from $190 to $230.
1. Billionaires Boost WDC Stake
In the third quarter, three prominent hedge fund billionaires—Cliff Asness, Israel Englander and Steven Cohen—significantly increased their holdings in Western Digital, joining positions that have surged over 1,180% since the start of 2023. Their purchases underscore confidence in Western Digital’s role in satisfying booming demand for high-capacity storage driven by large-scale AI deployments. Industry data shows that HDD supply remains exceptionally tight due to rapid build-outs of data centers and AI training clusters, positioning Western Digital to capture elevated margins and sustain strong free-cash-flow generation throughout 2026.
2. Evercore ISI Upgrades WDC
On January 16, Evercore ISI elevated Western Digital to an Outperform rating and lifted its price target by roughly 21%, reflecting accelerating demand for memory and storage solutions in AI applications. The firm highlighted Western Digital’s differentiated HDD portfolio and expanding solid-state drive roadmap as key drivers. Trading activity remains robust, with daily volume near 8.2 million shares and a market capitalization approaching $76 billion, signaling active investor interest amid continued volatility in technology hardware stocks.