Market Overview

RBC Sees EPS Growth For Western Digital And Seagate, Pending MOFCOM Ruling

Related WDC
Top 4 NASDAQ Stocks In The Data Storage Devices Industry With The Highest Dividend Yield
Western Digital: 16-18% Upside Based On Analyst Commentary
Tech Sector Lags as EMC, Juniper Sink (Fox Business)
Related STX
UPDATE: Morgan Stanley Reiterates On Seagate Technology PLC On Expanding Long-Term Potential
Top 4 NASDAQ Stocks In The Data Storage Devices Industry With The Highest Dividend Yield
Tech Sector Lags as EMC, Juniper Sink (Fox Business)

Western Digital (NASDAQ: WDC) and Seagate Technology (NASDAQ: STX) are awaiting a ruling from China's Ministry of Commerce regarding allowing integration of Hitachi and Samsung assets.

Amit Daryanani, analyst at RBC Capital, expects a final decision from MOFCOM in the next two to three months.

In the case of a favorable ruling, Daryanani sees ~25 and 5 percent gross earnings per share gain for Western Digital and Seagate respectively.

Daryanani said a favorable ruling would be positive to the broad hard disk drive industry and would drive prices lower.

Daryanani reiterated an Outperform rating on both Western Digital and Seagate Technology and reiterated $92 and $60 price targets, respectively.

Shares of Western Digital are down 0.18 percent to $84.86 in Monday's trading, while shares of Seagate have gone in the other direction, up 1.56 percent to $50.93.

Latest Ratings for WDC

DateFirmActionFromTo
Jul 2014BarclaysMaintainsOverweight
Jul 2014CitigroupMaintainsBuy
Jul 2014JP MorganMaintainsOverweight

View More Analyst Ratings for WDC
View the Latest Analyst Ratings

Posted-In: Amit Daryanani RBC CapitalAnalyst Color Analyst Ratings Tech

 

Related Articles (STX + WDC)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters