Western Digital shares climbed 5.85% over the past five trading sessions, handily outperforming the 2.3% rise in the Philadelphia Semiconductor Index. This rally was supported by advancing semiconductor equipment stocks and renewed investor interest in storage names. Trading volume over the week averaged 18 million shares per day, 12% above its 30-day daily average, signaling conviction behind the move. The stock’s relative strength index (RSI) ended the week at 68, just below overbought territory, suggesting momentum remains intact but could face a near-term consolidation.

Wall Street’s sell-side community has grown incrementally more positive on Western Digital in recent weeks. Of 20 analysts covering the name, 14 maintain a Buy rating, five are Neutral, and one has a Sell. Over the past month, three firms raised their price targets, implying upside potential of roughly 12% from current levels. The average target among Buys exceeds the average target among Neutrals by 8%, underscoring growing confidence in the company’s recovery in end-market demand and margin expansion over the next two quarters.

Earnings estimates have been revised higher across the board: the consensus third-quarter EPS forecast has increased from $0.32 to $0.34 over the past four weeks, a 6.25% upgrade, while fiscal 2026 EPS expectations rose from $1.25 to $1.32, a 5.6% bump. Revenue forecasts for Q3 were lifted by $80 million to $3.98 billion, reflecting stronger bookings in the client SSD and hard-drive segments. These upward revisions coincide with management’s commentary on improving inventory digestion among PC OEMs and sustained demand in data-center storage deployments.