WallStSmart

Seagate Technology PLC (STX)vsWestern Digital Corporation (WDC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Western Digital Corporation generates 7% more annual revenue ($10.73B vs $10.06B). WDC leads profitability with a 35.6% profit margin vs 19.6%. STX appears more attractively valued with a PEG of 0.67. STX earns a higher WallStSmart Score of 72/100 (B).

STX

Strong Buy

72

out of 100

Grade: B

Growth: 6.7Profit: 9.0Value: 8.7Quality: 5.0

WDC

Buy

55

out of 100

Grade: C

Growth: 2.0Profit: 9.0Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

STXUndervalued (+1.9%)

Margin of Safety

+1.9%

Fair Value

$415.12

Current Price

$434.60

$19.48 discount

UndervaluedFair: $415.12Overvalued
WDCSignificantly Overvalued (-280.1%)

Margin of Safety

-280.1%

Fair Value

$72.01

Current Price

$293.10

$221.09 premium

UndervaluedFair: $72.01Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

STX6 strengths · Avg: 8.7/10
EPS GrowthGrowth
67.7%10/10

Earnings expanding 67.7% YoY

Market CapQuality
$97.36B9/10

Large-cap with strong market position

Return on EquityProfitability
22.1%9/10

Every $100 of equity generates 22 in profit

PEG RatioValuation
0.678/10

Growing faster than its price suggests

Operating MarginProfitability
29.9%8/10

Strong operational efficiency at 29.9%

Revenue GrowthGrowth
21.5%8/10

Revenue surging 21.5% year-over-year

WDC4 strengths · Avg: 9.3/10
Return on EquityProfitability
41.1%10/10

Every $100 of equity generates 41 in profit

Profit MarginProfitability
35.6%10/10

Keeps 36 of every $100 in revenue as profit

Market CapQuality
$97.85B9/10

Large-cap with strong market position

PEG RatioValuation
0.718/10

Growing faster than its price suggests

Areas to Watch

STX2 concerns · Avg: 2.0/10
P/E RatioValuation
49.0x2/10

Premium valuation, high expectations priced in

Price/BookValuation
207.0x2/10

Trading at 207.0x book value

WDC4 concerns · Avg: 3.0/10
P/E RatioValuation
27.0x4/10

Moderate valuation

Price/BookValuation
14.0x4/10

Trading at 14.0x book value

Revenue GrowthGrowth
-41.0%2/10

Revenue declined 41.0%

EPS GrowthGrowth
-95.9%2/10

Earnings declined 95.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : STX

The strongest argument for STX centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 19.6% and operating margin at 29.9%. Revenue growth of 21.5% demonstrates continued momentum.

Bull Case : WDC

The strongest argument for WDC centers on Return on Equity, Profit Margin, Market Cap. Profitability is solid with margins at 35.6% and operating margin at 15.4%. PEG of 0.71 suggests the stock is reasonably priced for its growth.

Bear Case : STX

The primary concerns for STX are P/E Ratio, Price/Book. A P/E of 49.0x leaves little room for execution misses.

Bear Case : WDC

The primary concerns for WDC are P/E Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

STX profiles as a growth stock while WDC is a declining play — different risk/reward profiles.

WDC carries more volatility with a beta of 1.85 — expect wider price swings.

STX is growing revenue faster at 21.5% — sustainability is the question.

WDC generates stronger free cash flow (653M), providing more financial flexibility.

Bottom Line

STX scores higher overall (72/100 vs 55/100), backed by strong 19.6% margins and 21.5% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Seagate Technology PLC

TECHNOLOGY · COMPUTER HARDWARE · USA

Seagate Technology Holdings plc, an Irish public limited company (commonly referred to as Seagate) is an American data storage company.

Western Digital Corporation

TECHNOLOGY · COMPUTER HARDWARE · USA

Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.

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