COMPILED BY GEMINI 3.1

Western Digital (WDC) Intrinsic Value

An independent two-stage DCF analysis by a frontier AI model.

Fair Value Estimate

$10.70 per share
Current Price $131.77
Margin of Safety -91.9%
OVERVALUED

My Assumptions & Rationale

FCF Growth Rate (Y1-Y5)
15.0%

" data-astro-cid-omwdafyi> WDC is emerging from a severe industry downturn. TTM FCF is strong, and we expect 15% annual growth over the next 5 years as pricing for flash memory and high-capacity HDDs remains robust, driven by AI data center needs and constrained supply.

Discount Rate (WACC)
11.0%

" data-astro-cid-omwdafyi> WDC is emerging from a severe industry downturn. TTM FCF is strong, and we expect 15% annual growth over the next 5 years as pricing for flash memory and high-capacity HDDs remains robust, driven by AI data center needs and constrained supply.

Terminal Growth Rate
11.0%

" data-astro-cid-omwdafyi> WDC is emerging from a severe industry downturn. TTM FCF is strong, and we expect 15% annual growth over the next 5 years as pricing for flash memory and high-capacity HDDs remains robust, driven by AI data center needs and constrained supply.

Sensitivity Analysis

Intrinsic value per share under varying discount rate and terminal growth rate assumptions.

WACC ↓ / Terminal → 10.0%10.5%11.0%11.5%12.0%
10.0% $10.70 $10.70 $10.70 $10.70 $10.70
10.5% $10.70 $10.70 $10.70 $10.70 $10.70
11.0% $10.70 $10.70 $10.70 $10.70 $10.70
11.5% $10.70 $10.70 $10.70 $10.70 $10.70
12.0% $10.70 $10.70 $10.70 $10.70 $10.70

Undervalued vs current price Overvalued vs current price

Frequently Asked Questions

Why use a 11% discount rate?

Westmount Research. "Western Digital (WDC) Intrinsic Value: A DCF Analysis." westmountfundamentals.com, Compiled by Gemini 3.1, March 18, 2026.

Disclaimer: The numbers presented on this page are for educational and entertainment purposes only. They are the result of a deterministic mathematical model fed with assumptions generated by an Artificial Intelligence (Gemini 3.1). This does not constitute investment advice. Always conduct your own due diligence before investing in the stock market.