- JPMorgan raised its rating for Western Digital shares to overweight from neutral due to a flash memory shortage in the marketplace.
- The firm forecasts Western Digital will generate fiscal 2018 earnings per share of $11.13 versus the Wall Street estimate of $9.36.
Investors should buy Western Digital shares because the company's earnings next year will come in significantly above current expectations, according to JPMorgan, which upgraded the company to overweight from neutral.
"We expect the company to benefit from the ongoing NAND [flash memory] shortage. In addition, we note that the PC market is improving," analyst Rod Hall wrote in a note to clients Tuesday.