Western Digital Corporation (WDC)

The analysis of Western Digital Corporation’s days of inventory on hand (DOH) over the period from June 30, 2021, through June 30, 2025, reveals noteworthy fluctuations and trends in inventory management.

As of June 30, 2021, the DOH stood at approximately 106.43 days, indicating a period where inventory was held for about three and a half months. This figure decreased modestly by June 30, 2022, to approximately 102.78 days, suggesting an improvement in inventory turnover and potentially increased efficiency in managing stock levels.

However, a significant change occurred by June 30, 2023, when the DOH increased markedly to approximately 129.40 days. This rise implies that inventory was being held for over four months, potentially reflecting challenges such as excess inventory, slower sales, supply chain disruptions, or strategic stockpiling in response to market conditions. The subsequent decrease to approximately 121.28 days by June 30, 2024, indicates some easing but still reflects elevated inventory holding periods compared to 2021 and 2022.

Looking forward, by June 30, 2025, the DOH decreases substantially to approximately 80.85 days. This decline suggests a significant improvement in inventory management, with the company holding inventory for approximately two and a half months. It potentially reflects enhanced sales performance, streamlined supply chain operations, or successful inventory reduction initiatives.

Overall, the trends depict periods of fluctuation with a peak in inventory holding around mid-2023, followed by a notable reduction by mid-2025. This progression highlights strategic shifts in inventory management and operational efficiency, which may have implications for the company's liquidity, working capital requirements, and responsiveness to market demands.

Peer comparison

Jun 30, 2025