A broader technology sector sell-off recently swept through the markets, triggered by mounting anxieties over hyperscaler capital expenditures. As mega-cap platforms signaled significant cash outflows to build artificial intelligence (AI) infrastructure, investors hit the panic button and dumped semiconductor and memory stocks in a sentiment-driven wave.
Western Digital Corporation (NASDAQ: WDC) was caught in this crossfire. While the market indiscriminately grouped Western Digital with volatile chipmakers facing cyclical gluts, a closer look at its underlying business reveals a severe mispricing.
