Western Digital Stock Has More Than Doubled YTD, but Bank of America Still Thinks You Should Buy Ahead of Earnings

Western Digital (WDC) has turned into a high-beta AI storage trade that is up almost 900% in the past year. The stock has shown no sign of slowing down as WD's products are in the intersection of the data center buildout. Investors are not looking at a meme-y chart story because the bull case is powered by both solid profits and revenue.

Thus, despite this surge, investors are paying just 60.9 times earnings for the stock. It looks high, but it's very much worth the growth for investors. EPS is growing at ~70% year-over-year (YOY) per quarter on average.