Stock Analysis on Net

Western Digital Corp. (NASDAQ:WDC)

This company has been moved to the archive! The financial data has not been updated since February 12, 2024.

Analysis of Short-term (Operating) Activity Ratios

Microsoft Excel

Short-term Activity Ratios (Summary)

Western Digital Corp., short-term (operating) activity ratios

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Turnover Ratios
Inventory turnover 2.82 3.55 3.43 4.22 3.90 4.40
Receivables turnover 7.71 6.70 7.50 7.03 13.76 9.40
Payables turnover 8.07 6.79 6.41 6.66 8.18 5.71
Working capital turnover 5.02 4.46 3.46 3.61 3.56 3.34
Average No. Days
Average inventory processing period 129 103 106 86 93 83
Add: Average receivable collection period 47 54 49 52 27 39
Operating cycle 176 157 155 138 120 122
Less: Average payables payment period 45 54 57 55 45 64
Cash conversion cycle 131 103 98 83 75 58

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Western Digital Corp. inventory turnover ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.
Receivables turnover An activity ratio equal to revenue divided by receivables. Western Digital Corp. receivables turnover ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Western Digital Corp. payables turnover ratio increased from 2021 to 2022 and from 2022 to 2023.
Working capital turnover An activity ratio calculated as revenue divided by working capital. Western Digital Corp. working capital turnover ratio improved from 2021 to 2022 and from 2022 to 2023.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. Western Digital Corp. number of days of inventory outstanding improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. Western Digital Corp. number of days of receivables outstanding deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Operating cycle Equal to average inventory processing period plus average receivables collection period. Western Digital Corp. operating cycle deteriorated from 2021 to 2022 and from 2022 to 2023.
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. Western Digital Corp. number of days of payables outstanding decreased from 2021 to 2022 and from 2022 to 2023.
Cash conversion cycle A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. Western Digital Corp. cash conversion cycle deteriorated from 2021 to 2022 and from 2022 to 2023.

Inventory Turnover

Western Digital Corp., inventory turnover calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data (US$ in millions)
Cost of revenue 10,431 12,919 12,401 12,955 12,817 12,942
Inventories 3,698 3,638 3,616 3,070 3,283 2,944
Short-term Activity Ratio
Inventory turnover1 2.82 3.55 3.43 4.22 3.90 4.40
Benchmarks
Inventory Turnover, Competitors2
Apple Inc. 33.82 45.20 32.37 41.75 39.40
Arista Networks Inc. 1.15 1.32 1.64 1.74 3.55
Cisco Systems Inc. 5.83 7.52 11.50 13.74 13.91
Super Micro Computer Inc. 4.04 2.84 2.90 3.30 4.48 3.43
Inventory Turnover, Sector
Technology Hardware & Equipment 18.21 24.06 23.91 28.59 28.88
Inventory Turnover, Industry
Information Technology 7.40 8.17 9.78 10.43 10.62

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Inventory turnover = Cost of revenue ÷ Inventories
= 10,431 ÷ 3,698 = 2.82

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Western Digital Corp. inventory turnover ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Receivables Turnover

Western Digital Corp., receivables turnover calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data (US$ in millions)
Revenue, net 12,318 18,793 16,922 16,736 16,569 20,647
Accounts receivable, net 1,598 2,804 2,257 2,379 1,204 2,197
Short-term Activity Ratio
Receivables turnover1 7.71 6.70 7.50 7.03 13.76 9.40
Benchmarks
Receivables Turnover, Competitors2
Apple Inc. 12.99 13.99 13.92 17.03 11.35
Arista Networks Inc. 5.72 4.75 5.71 5.95 6.15
Cisco Systems Inc. 9.74 7.79 8.64 9.01 9.45
Super Micro Computer Inc. 6.20 6.23 7.67 8.27 8.89 7.44
Receivables Turnover, Sector
Technology Hardware & Equipment 12.08 12.46 12.78 14.72 10.89
Receivables Turnover, Industry
Information Technology 7.37 7.42 7.55 8.00 7.59

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Receivables turnover = Revenue, net ÷ Accounts receivable, net
= 12,318 ÷ 1,598 = 7.71

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. Western Digital Corp. receivables turnover ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Payables Turnover

Western Digital Corp., payables turnover calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data (US$ in millions)
Cost of revenue 10,431 12,919 12,401 12,955 12,817 12,942
Accounts payable 1,293 1,902 1,934 1,945 1,567 2,265
Short-term Activity Ratio
Payables turnover1 8.07 6.79 6.41 6.66 8.18 5.71
Benchmarks
Payables Turnover, Competitors2
Apple Inc. 3.42 3.49 3.89 4.01 3.50
Arista Networks Inc. 5.13 7.33 5.27 6.23 9.41
Cisco Systems Inc. 9.19 8.47 7.59 7.94 9.34
Super Micro Computer Inc. 7.52 6.71 4.94 6.74 8.34 5.56
Payables Turnover, Sector
Technology Hardware & Equipment 3.68 3.70 4.06 4.23 3.79
Payables Turnover, Industry
Information Technology 4.87 4.54 4.99 5.35 5.27

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Payables turnover = Cost of revenue ÷ Accounts payable
= 10,431 ÷ 1,293 = 8.07

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Western Digital Corp. payables turnover ratio increased from 2021 to 2022 and from 2022 to 2023.

Working Capital Turnover

Western Digital Corp., working capital turnover calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data (US$ in millions)
Current assets 7,886 9,453 9,757 9,048 8,477 10,638
Less: Current liabilities 5,434 5,237 4,870 4,406 3,817 4,456
Working capital 2,452 4,216 4,887 4,642 4,660 6,182
 
Revenue, net 12,318 18,793 16,922 16,736 16,569 20,647
Short-term Activity Ratio
Working capital turnover1 5.02 4.46 3.46 3.61 3.56 3.34
Benchmarks
Working Capital Turnover, Competitors2
Apple Inc. 39.10 7.16 4.56
Arista Networks Inc. 0.90 1.03 0.80 0.76 0.84
Cisco Systems Inc. 4.73 4.65 3.88 2.70 3.24
Super Micro Computer Inc. 3.95 3.89 3.96 3.77 4.29 4.67
Working Capital Turnover, Sector
Technology Hardware & Equipment 24.39 15.74 5.44 4.14
Working Capital Turnover, Industry
Information Technology 5.24 5.71 3.86 2.86 3.06

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Working capital turnover = Revenue, net ÷ Working capital
= 12,318 ÷ 2,452 = 5.02

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital. Western Digital Corp. working capital turnover ratio improved from 2021 to 2022 and from 2022 to 2023.

Average Inventory Processing Period

Western Digital Corp., average inventory processing period calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data
Inventory turnover 2.82 3.55 3.43 4.22 3.90 4.40
Short-term Activity Ratio (no. days)
Average inventory processing period1 129 103 106 86 93 83
Benchmarks (no. days)
Average Inventory Processing Period, Competitors2
Apple Inc. 11 8 11 9 9
Arista Networks Inc. 318 276 222 210 103
Cisco Systems Inc. 63 49 32 27 26
Super Micro Computer Inc. 90 128 126 110 81 106
Average Inventory Processing Period, Sector
Technology Hardware & Equipment 20 15 15 13 13
Average Inventory Processing Period, Industry
Information Technology 49 45 37 35 34

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 2.82 = 129

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. Western Digital Corp. number of days of inventory outstanding improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Average Receivable Collection Period

Western Digital Corp., average receivable collection period calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data
Receivables turnover 7.71 6.70 7.50 7.03 13.76 9.40
Short-term Activity Ratio (no. days)
Average receivable collection period1 47 54 49 52 27 39
Benchmarks (no. days)
Average Receivable Collection Period, Competitors2
Apple Inc. 28 26 26 21 32
Arista Networks Inc. 64 77 64 61 59
Cisco Systems Inc. 37 47 42 41 39
Super Micro Computer Inc. 59 59 48 44 41 49
Average Receivable Collection Period, Sector
Technology Hardware & Equipment 30 29 29 25 34
Average Receivable Collection Period, Industry
Information Technology 50 49 48 46 48

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 7.71 = 47

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. Western Digital Corp. number of days of receivables outstanding deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Operating Cycle

Western Digital Corp., operating cycle calculation, comparison to benchmarks

No. days

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data
Average inventory processing period 129 103 106 86 93 83
Average receivable collection period 47 54 49 52 27 39
Short-term Activity Ratio
Operating cycle1 176 157 155 138 120 122
Benchmarks
Operating Cycle, Competitors2
Apple Inc. 39 34 37 30 41
Arista Networks Inc. 382 353 286 271 162
Cisco Systems Inc. 100 96 74 68 65
Super Micro Computer Inc. 149 187 174 154 122 155
Operating Cycle, Sector
Technology Hardware & Equipment 50 44 44 38 47
Operating Cycle, Industry
Information Technology 99 94 85 81 82

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 129 + 47 = 176

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Operating cycle Equal to average inventory processing period plus average receivables collection period. Western Digital Corp. operating cycle deteriorated from 2021 to 2022 and from 2022 to 2023.

Average Payables Payment Period

Western Digital Corp., average payables payment period calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data
Payables turnover 8.07 6.79 6.41 6.66 8.18 5.71
Short-term Activity Ratio (no. days)
Average payables payment period1 45 54 57 55 45 64
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
Apple Inc. 107 105 94 91 104
Arista Networks Inc. 71 50 69 59 39
Cisco Systems Inc. 40 43 48 46 39
Super Micro Computer Inc. 49 54 74 54 44 66
Average Payables Payment Period, Sector
Technology Hardware & Equipment 99 99 90 86 96
Average Payables Payment Period, Industry
Information Technology 75 80 73 68 69

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 8.07 = 45

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. Western Digital Corp. number of days of payables outstanding decreased from 2021 to 2022 and from 2022 to 2023.

Cash Conversion Cycle

Western Digital Corp., cash conversion cycle calculation, comparison to benchmarks

No. days

Microsoft Excel
Jun 30, 2023 Jul 1, 2022 Jul 2, 2021 Jul 3, 2020 Jun 28, 2019 Jun 29, 2018
Selected Financial Data
Average inventory processing period 129 103 106 86 93 83
Average receivable collection period 47 54 49 52 27 39
Average payables payment period 45 54 57 55 45 64
Short-term Activity Ratio
Cash conversion cycle1 131 103 98 83 75 58
Benchmarks
Cash Conversion Cycle, Competitors2
Apple Inc. -68 -71 -57 -61 -63
Arista Networks Inc. 311 303 217 212 123
Cisco Systems Inc. 60 53 26 22 26
Super Micro Computer Inc. 100 133 100 100 78 89
Cash Conversion Cycle, Sector
Technology Hardware & Equipment -49 -55 -46 -48 -49
Cash Conversion Cycle, Industry
Information Technology 24 14 12 13 13

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-07-01), 10-K (reporting date: 2021-07-02), 10-K (reporting date: 2020-07-03), 10-K (reporting date: 2019-06-28), 10-K (reporting date: 2018-06-29).

1 2023 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 129 + 4745 = 131

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Cash conversion cycle A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. Western Digital Corp. cash conversion cycle deteriorated from 2021 to 2022 and from 2022 to 2023.