RBC Capital analyst Amit Daryanani says he remains upbeat on the outlook for Western Digital's Q3 results today despite Seagate's guidance miss. The analyst expects Western Digital's March quarter results and June quarter guidance to beat expectations. He says that Western Digital's quarterly results are more driven by NAND fundamentals which remain strong than by HDD dynamics. The analyst says that Western Digital's HDD margins should be "at or above" its 27%-32% target. He expects the stock to rise further and keeps a $96 price target and an Outperform rating on the shares.

BofA raised the firm's price target on Western Digital to $85 from $75 and keeps a Buy rating on the shares. The firm sees both the HDD and NAND businesses being close to the bottom of the cycle and sees a potential unlock of shareholder value as the company remains on track to split the HDD and NAND business in the second half of 2024.