Key Takeaways
- CEO Irving Tan offloaded 20,000 WDC shares on May 1 for approximately $8.24M through a pre-arranged 10b5-1 plan
- Global Operations Chief Vidyadhara Gubbi dumped 4,674 shares on May 4 for about $2.07M
- WDC shares have rocketed to $465.26, approaching the 52-week peak of $480.11
- The company exceeded Q3 FY2026 expectations with EPS of $2.72 compared to the $2.36 estimate
- Western Digital has witnessed 32 insider sales and no insider purchases over the last 12 months
Western Digital’s top brass have unloaded more than $10 million worth of company stock in recent days, timing their sales as WDC shares hover near record territory.
Western Digital Corporation, WDC
Chief Executive Irving Tan disposed of 20,000 shares on May 1, 2026, executing transactions at prices ranging from $406.52 to $415.02 per share. The aggregate value reached approximately $8.24 million.
Tan’s sale was executed through a Rule 10b5-1 trading arrangement, which he established on May 12, 2025. Such plans allow executives to schedule trades ahead of time, insulating them from accusations of trading on material non-public information.
Following this transaction, Tan maintains direct ownership of 598,150 Western Digital shares.
Mere days afterward, on May 4, Vidyadhara Gubbi, Chief of Global Operations, divested 4,674 shares at $443.19 apiece. The transaction totaled approximately $2.07 million.
Post-sale, Gubbi retains ownership of 90,041 Western Digital shares.
Throughout the past year, Gubbi has disposed of 67,047 shares total while making no purchases.
Complete Absence of Insider Purchases
The overall insider trading pattern at Western Digital paints a decidedly lopsided picture. The last twelve months have witnessed 32 insider sales against absolutely zero insider purchases.
However, insider selling in isolation doesn’t necessarily indicate problems — company executives frequently sell shares for personal wealth management purposes, particularly following substantial stock appreciation.
And Western Digital has experienced extraordinary appreciation. The stock has delivered roughly 938% returns over the trailing year, a spectacular run that would naturally motivate some profit realization.
At the moment of Gubbi’s transaction, WDC traded at $443.19. Shares have since advanced to $465.26, positioned near the 52-week pinnacle of $480.11.
Robust Quarterly Performance Fueling Momentum
Western Digital delivered impressive numbers for its third fiscal quarter of 2026. Earnings per share reached $2.72, surpassing the consensus projection of $2.36 by approximately 15%.
Revenue totaled $3.34 billion, exceeding the anticipated $3.23 billion.
Management attributed the outperformance to robust demand throughout its business units, with cloud storage platforms proving exceptionally strong.
Seventeen Wall Street analysts subsequently increased their earnings projections in response to these results.
WDC’s present P/E multiple stands at 43.57, according to the latest figures. On the day of Gubbi’s sale, the P/E was documented at 27.96, below the sector median of 32.1.
Nevertheless, GuruFocus identifies the stock as significantly overvalued according to its GF Value methodology, which calculates intrinsic worth at $81.25 — yielding a price-to-GF-Value multiple of 5.45.
Western Digital’s market capitalization stood at roughly $171 billion when Gubbi executed his sale.
The latest recorded insider transaction remains Gubbi’s May 4 divestiture at $443.19, with WDC currently changing hands at $465.26, near the upper boundary of its 52-week trading range.
