Western Digital Jumps 7%, Seagate Climbs 5% as Bernstein Calls Toshiba Selloff a Storm in a Teacup; SanDisk Inches Higher
Western Digital's stock jumped 7% and Seagate rose 5% as analysts from Bernstein, Citi, and Morgan Stanley downplayed concerns about Toshiba's plan to double hard disk drive production. The HDD market remains tight, and Toshiba's expansion won't significantly ease supply constraints. Goldman Sachs prefers Seagate over Western Digital due to better supply discipline and technology.
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- ✓ Western Digital's stock jumped 7% and Seagate rose 5% after analysts downplayed Toshiba's expansion fears
- ✓ Toshiba plans to double hard disk drive production to fill AI chip memory gap
- ✓ The HDD market remains tight and Toshiba's expansion won't significantly ease supply constraints
- ✓ Goldman Sachs prefers Seagate over Western Digital due to better supply discipline and technology
What changed
Analysts from Bernstein, Citi, and Morgan Stanley dismissed concerns about Toshiba's plan to double HDD production, citing a tight HDD market that won't be significantly impacted by Toshiba's expansion.
Live updates
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Western Digital and Seagate stocks rebound after Toshiba expansion fears
Western Digital's stock jumped 7% and Seagate rose 5% as analysts from Bernstein, Citi, and Morgan Stanley downplayed concerns about Toshiba's plan to double hard disk drive production. The HDD market remains tight, and Toshiba's expansion won't significantly ease supply constraints. Goldman Sachs prefers Seagate over Western Digital due to better supply discipline and technology.
Why it matters
The rebound in Western Digital and Seagate's stocks comes after a selloff triggered by concerns over Toshiba's plans to expand hard disk drive production capacity to meet growing demand from AI data centers. The HDD market has been impacted by growing demand for AI chip memory. Analysts are now pushing back against the Toshiba supply scare.
What is confirmed
- Western Digital's stock jumped 7% and Seagate rose 5% after analysts downplayed Toshiba's expansion fears
- Toshiba plans to double hard disk drive production to fill AI chip memory gap
- The HDD market remains tight and Toshiba's expansion won't significantly ease supply constraints
- Goldman Sachs prefers Seagate over Western Digital due to better supply discipline and technology
Still unconfirmed
- Toshiba is preparing to ramp up hard disk drive production as demand from AI data centers continues to grow
What to watch next
- Toshiba's actual hard disk drive production expansion
- Upcoming earnings reports for Western Digital and Seagate
- Further updates on the HDD market supply constraints
confidence 85%Sources used for this update (11)
- Nikkei Asia — Toshiba to double hard disk drive supply to fill AI chip memory gap
- 24/7 Wall St. — Western Digital Jumps 7%, Seagate Climbs 5% as Bernstein Calls Toshiba Selloff a Storm in a Teacup; SanDisk Inches Higher
- Yahoo Finance — WDC, STX Stocks Rebound Premarket As Analysts Downplay Toshiba Capacity Expansion Fears
- Barron's — Western Digital and Seagate Stock Jump as Analysts Say ‘Buy the Dip’
- Seeking Alpha — Seagate: Buy When The Market Panics (NASDAQ:STX)
- finance.yahoo.com — Seagate, Western Digital stocks sink as rival Toshiba's ...
- 247wallst.com — Western Digital Jumps 7%, Seagate Climbs 5% as Bernstein ...
- pluang.com — Western Digital and Seagate stocks rebound 7% a... | Pluang
- el7.ai — Western Digital and Seagate Rebound After… | EL7.AI
- finance.yahoo.com — Seagate and Western Digital shares fall on Toshiba HDD expansion
- guavy.com — Western Digital and Seagate Rebound After Toshiba Expansion ...
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