Where da beef??
WDC provided a quarter that many long-term investors wanted to hear,” Cowen’s Karl Ackerman wrote.
Uhmmmm, what did WDC say that made investors happy?
The analysts expected more and were disappointed with both the earnings results and the forward guidance. However, WDC provided what many investors wanted to here(Elroy excepted - please take this as a little teasing in a good way). In this case, the investors won out over the analysts.
Again, no beef? What did they say that would make an investor happy?
For WDC everything is going the wrong way, they are cutting costs and shuttering plants, and they think Q3 2019 may be an improvement (whatever that means) over Q2 2019.
For tech investors, that is the standard AWFUL news. It's boilerplate. Near term stinks, but things will get better, just wait 6 months.
I don't mind teasing at all, I was drunk as hell when posting my rants last night. I'm happy for all you WDC investors that your stock is up, seriously. But in my opinion WDC is entering the death spiral where declining NAND prices makes NAND much less profitable AND make disk drive revenues decline since they are being replaced by NAND SSDs. How does that combo end well for debt laden WDC?
You can bet Samsung is watching, and thinking, WOW, if we increase capacity production of NAND way above demand for a few years, WDC will perhaps bankrupt............lets do it!
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