Toshiba plans HDD expansion: Western Digital stock trades 2.08 percent above its prior close

Western Digital (ISIN US9581021055) was trading at EUR 377.13 at Lang & Schwarz on October 5, 2026 at 10:07 a.m. CEST, up 2.08 percent versus the prior close of EUR 369.43. The latest catalyst is Toshiba's plan to double hard-disk drive capacity by fiscal 2027, a move that has put the supply outlook for AI data-center storage under closer scrutiny.

Toshiba targets a larger HDD share

As Yahoo Finance reported on October 2, 2026, Toshiba plans to invest USD 400.00 million to expand production in the Philippines. The company is targeting a 30.00 percent medium-term share of HDD capacity, compared with just over 10.00 percent cited in the report.

The concern for Western Digital is not demand but supply. Toshiba's expansion could challenge the tight capacity and pricing conditions that have supported the storage industry's recent earnings, although the investment is aimed at fiscal 2027 rather than an immediate output surge.

Fiscal results show strong demand

Zacks reported that Western Digital generated USD 3.75 billion in non-GAAP revenue in the fourth quarter of fiscal 2026, up 44.00 percent year over year and above the USD 3.70 billion consensus estimate. Non-GAAP earnings per share reached USD 3.56, exceeding the USD 3.35 consensus estimate.

The margin picture also strengthened. Non-GAAP gross margin reached 54.40 percent in the fourth quarter of fiscal 2026, compared with 51.00 percent to 52.00 percent in management guidance, while cloud revenue rose 43.00 percent year over year to USD 3.30 billion.

Fiscal 2027 guidance sets the test

For the first quarter of fiscal 2027, Zacks said Western Digital expects non-GAAP revenue of USD 4.10 billion, plus or minus USD 100.00 million. The company also guided to non-GAAP gross margin of 55.00 percent to 56.00 percent and non-GAAP earnings of USD 4.00 per share, plus or minus USD 0.15.

That guidance gives investors a measurable counterweight to the supply concern. Western Digital's fiscal fourth-quarter revenue grew 44.00 percent year over year, while its first-quarter midpoint guidance implies 45.00 percent year-over-year growth, leaving execution and pricing as the central indicators for the next report.

Euro quote gains ground

On Nasdaq, Western Digital was quoted at USD 415.29 on October 2, 2026, with a 52-week range of USD 112.52 to USD 799.87. The separate Lang & Schwarz snapshot for October 5, 2026 shows EUR 377.13, up 2.08 percent from its EUR 369.43 prior close.

The further course of trading is shown by the continuously updated real-time quote of Western Digital stock.

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