Western Digital Gains 1.7% on Deutsche Bank 107% Stake Boost and Analyst Price Target Hikes Despite 190th Volume Rank and CEO Share Sales

Western Digital (WDC) rose 1.70% on August 12, 2025, with a trading volume of $580 million, ranking 190th in the market. Institutional investors increased stakes in the stock, including Mitsubishi UFJ Asset Management Co. Ltd. (14.3% boost) and Deutsche Bank AG (107.1% increase), while Vanguard Group added 1.1%. Analysts upgraded the stock, with UBS raising its price target to $75 and Bank of America to $71, reflecting optimism about the data storage sector. However, insider sales by SVP Gene Zamiska and CEO Irving Tan, totaling 13,353 shares, introduced short-term uncertainty.

The company reported Q2 earnings of $1.66 per share, exceeding estimates, with revenue up 30% year-over-year to $2.61 billion. A $2 billion share buyback program was authorized, signaling confidence in undervaluation. Despite a 14.13% net margin, insider ownership remains low at 0.30%, with institutional investors holding 92.51%. The stock trades at a P/E ratio of 14.56 and a beta of 1.58, indicating higher volatility than the market.

A backtest of a strategy buying the top 500 volume stocks and holding for one day yielded a $2,340 profit from 2022 to 2025, but faced a -15.3% maximum drawdown on October 27, 2022. This highlights the inherent risks in high-volume trading approaches, even in a sector showing growth potential.