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Western Digital Slips 2.7% as AI Storage Rally Cools After Record Cash and Guidance

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Western Digital Stock Outlook 2026: Analysts Weigh Buy or Sell

SAN JOSE, Calif. — Western Digital Corp. shares fell about 2.7% to $469.42 on Thursday, down $12.86 from Wednesday’s close, as investors locked in gains after a year that turned hard-disk drives into an AI trade.

The stock had finished Wednesday at $482.28 and Sept. 8 at $477.30. The 52-week range still runs from about $93 to nearly $800. After-hours prints around $466 on Thursday morning showed the same fade. Nothing in the company’s last official release changed overnight. The tape was digesting how far the story had already run.

That story is fiscal 2026. For the year ended July 3, Western Digital reported $12.92 billion of revenue, up 36% from $9.52 billion. Non-GAAP earnings more than doubled. Free cash flow was $3.51 billion, up 145%, a 27% margin on sales. The company returned $3.1 billion through dividends and buybacks and ended the year in a net cash position. Capital spending was $418 million.

The fourth quarter did the heavy lifting. Revenue was $3.75 billion, up 44% from a year earlier and above a $3.69 billion Street view. Non-GAAP earnings were $3.56 a share versus a $3.29 consensus. GAAP earnings were $8.21 a share. Non-GAAP gross margin reached 54.4%. Operating cash flow was $1.39 billion. Free cash flow was $1.28 billion, a 34% margin. The stock still dropped more than 5% in regular trading the day of the report and another 11% after hours, a classic sell-the-news print after a multi-hundred-percent climb.

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Chief Executive Irving Tan called it a year of “strong performance.” “In our fiscal fourth quarter, revenue increased 44% year over year, gross and operating margins expanded, and earnings per share more than doubled,” he said in the Aug. 5 release. “These results reflect our ability to scale innovation and operational excellence across our global organization, supporting our customers’ growing storage demand.” On the call he framed the demand as compounding, not cyclical. “While compute cycles can be reused, data compounds.” He said the largest AI platforms process “tens of billions of tokens per minute and billions of prompts per day.” “Today, roughly 80% of data stored in a hyperscale data center resides on hard disk drives. That is likely to continue.”

Chief Financial Officer Kris Sennesael pointed to cash. “Fiscal 2026 was an outstanding year for WD, characterized by broadening demand, deeper customer engagement, and disciplined execution across all end markets,” he said. “As the cloud and other data-intensive workloads continue to expand, we remain confident in the long-term growth trajectory of our business, further margin expansion, and strong free cash flow generation.” First-quarter fiscal 2027 guidance, at the midpoint: $4.1 billion of revenue plus or minus $100 million, non-GAAP gross margin of 55% to 56%, operating expenses of $390 million to $400 million, a 17% tax rate and non-GAAP earnings of $4.00 plus or minus 15 cents on about 388 million diluted shares. That implies 42% to 49% year-over-year sales growth.

The product roadmap is the other half of the premium. Management said 40-terabyte ePMR drives should be more than half of nearline exabytes by the third quarter of fiscal 2027. A 44-terabyte HAMR drive is slated to ship in the first half of calendar 2027, with 50-terabyte drives later that year. The long-term map now runs past 100 terabytes. Tan has said future exabyte growth should “consistently exceed 25%,” driven by training data, synthetic data and the feedback loop of physical AI. Long-term customer agreements now stretch toward 2029 and, in at least one hyperscale case, through 2031.

The board declared a 15-cent quarterly dividend payable Sept. 17 to holders of record Sept. 8. Management has said the capital-return formula is unchanged: excess free cash flow through dividends and buybacks, while spending on heads, media and automation rather than adding unit-capacity plants.

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Analyst targets published this week still span $428 to $900, with an average near $650. That spread is the argument in one line. Bears see a 19-times trailing multiple on a company that already printed 54% gross margin and a 34% free-cash-flow quarter, plus a stock that more than quintupled off last year’s low. Bulls see a scarce bit factory in a market where memory prices are tight, cloud capex is still rising and 80% of hyperscale bits still sit on spinning disks.

Thursday’s $469 print is closer to the post-earnings after-hours low than to the $519 close on report day. It is also still a multiple of the price that prevailed before AI storage became a ticker. Western Digital is no longer a turnaround. It is a capacity-constrained supplier asking investors to pay for visibility through the end of the decade. The 2.7% dip does not rewrite the guidance. It asks whether $4.00 of next-quarter earnings is already in the rearview mirror at $469.

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Nvidia On The Offensive

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Nvidia: Buy The Dip

Nvidia On The Offensive

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Scrubs & Beyond closing all brick-and-mortar stores nationwide

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Scrubs & Beyond closing all brick-and-mortar stores nationwide

A nationwide healthcare uniform retailer is shutting all of its brick-and-mortar retail stores, the company said.

A message on the Scrubs & Beyond website reads: “All Retail Stores Closing.” No other explanation was given.

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FILE – Scrubs & Beyond is closing all of its more than 100 retail stores across 30 states, with many locations holding going-out-of-business sales. (iStock / iStock)

The company sells nurse scrubs and uniforms from top brands, including its own Beyond Scrubs line.

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It has more than 100 stores across 30 states, the website states. 

Many of the stores are holding going-out-of-business sales with discounts ranging from 20% to 40% off all merchandise.

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FILE – A Scrubs & Beyond store in Riverside, Calif. The healthcare uniform retailer said it will close all of its stores.  (Google Maps / Google Maps)

FOX Business has reached out to Scrubs & Beyond’s parent company, Kindthread, for comment.

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The Scottsdale, Arizona-based Kindthread acquired and relaunched the Scrubs & Beyond brand and stores in 2022, the Post Bulletin newspaper reported.

Scrubs & Beyond has been in business for more than 20 years. In that time, the company became the largest retailer of healthcare apparel and accessories in the country, the website states.

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FILE – Scrubs & Beyond is shutting all of its retail stores nationwide after more than 20 years in business, though the reason for the closures remains unclear. (Getty Images)

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It is unclear how many employees will be impacted by the closings.

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Pipeline Operator Set to Switch Primary Listing to Texas

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Alphabet Is Selling 100-Year Debt as Part of a Big Bond Sale

Energy Transfer is set to be the first major company to switch its primary listing from New York to the Texas Stock Exchange, or TXSE, in a boost to the nascent exchange. Kelcy Warren, chairman of the $75 billion pipeline company, is a major backer of TXSE’s parent company. Read more:

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Yorkshire nursery group acquires four Lincolnshire sites

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South Yorkshire’s Granby Nurseries has boosted its portfolio from nine to 13 nurseries

Granby Nurseries is based out of Rotherham.

Two Town and Country Nursery settings in Market Rasen and Louth are among the businesses acquired by Granby Nurseries.(Image: Granby Nurseries)

A Rotherham-based nursery group has expanded into Lincolnshire with the acquisition of four sites.

Granby Nurseries agreed a deal for First Timers in Wellingore, Head Start Ramsey Nursery in Boston and two Town and Country Nursery settings in Market Rasen and Louth. Granby was itself acquired by Sipra Deb in 2022 and since then it has also expanded into nine settings across South Yorkshire and Nottinghamshire.

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Sipra Deb said: “This is a hugely significant milestone for our group. When I acquired Granby Nurseries, I already owned and operated four established settings through other companies. Since then, we have brought those businesses together as one wider group, grown our portfolio to nine settings and now, with this acquisition, to 13.

“I am incredibly proud of that journey and of the people whose commitment, hard work and belief have made our continued growth possible. First Timers, Head Start Ramsey Nursery and Town and Country Nurseries have each built excellent reputations within their local communities. Their values and commitment to children and families align closely with our own, making them a natural fit for our wider group.

“Our priority is to welcome and support the existing teams, preserve the individual identity and respected names of each nursery, and build upon the strong foundations already in place. This acquisition establishes a significant presence for us in Lincolnshire and gives the group an exciting platform for further sustainable growth.

“This deal would not have been possible without the collaborative and professional approach of everyone involved. We would like to thank all our advisers for their expertise and support in bringing the acquisition to a successful conclusion.”

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A team from Yorkshire law firm Ramsdens Solicitors led by corporate and commercial senior associate Emma Spragg, alongside legal assistant Claudia Devers, advised on the acquisition. Ramsdens supported the transaction through the negotiation of the complex interlinked share purchase agreements, the disclosure process and associated ancillary documentation and due diligence arrangements. They worked alongside David Amies from Ridley & Hall and Paul Farmer from Callidus Law.

Andrea David, a former owner of the acquired nurseries, said: “Selling a business is a significant and often complex process, but the Ramsdens team were approachable, responsive and reassuring at every stage. They took the time to understand our position and worked closely with us to make sure everything progressed as smoothly as possible.

“We would also like to wish the new owner, Sipra Deb, and the wider team every success for the future as they take the businesses forward and begin this exciting new chapter.”

Emma Spragg, senior associate at Ramsdens Solicitors, added: “Completing a deal of this nature requires close collaboration between all parties. It was brilliant to support the transaction through to a successful conclusion and to play a part in the continued growth of the group as it establishes a significant presence in Lincolnshire.

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“We would like to wish everyone involved every success as the businesses begin this exciting new chapter as part of the wider group.”

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Rogers to depart as Jupiter MD

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Rogers to depart as Jupiter MD

Brad Rogers has tendered his resignation as managing director of manganese producer Jupiter Mines.

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General Mills debuts ready-to-bake croissants

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General Mills debuts ready-to-bake croissants

MINNEAPOLIS — General Mills is adding ready-to-bake frozen croissants to its Pillsbury brand.

The frozen croissants are available in two varieties: butter Grands croissants and chocolate Grands croissants. The chocolate variety features a Belgian chocolate filling.

“More people want to recreate the quality and indulgence of a bakery experience at home but without the time and effort that traditionally comes with it,” said Maria Carolina Comings, vice president and business unit director for Pillsbury at General Mills.

The frozen croissants are available in an 8-count pack at retailers nationwide.

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Billionaire warns foreign adversaries will do anything to weaken Trump

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Billionaire warns foreign adversaries will do anything to weaken Trump

Billionaire businessman John Catsimatidis is warning that foreign adversaries will do “anything” to weaken President Donald Trump, while also voicing disappointment with Canadian Prime Minister Mark Carney.

Catsimatidis joined FOX Business’ Cheryl Casone on “Mornings with FOX Business” to discuss national security concerns on the 25th anniversary of the September 11 attacks, geopolitical tensions and what he sees as efforts to undermine President Trump.

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Billionaire John Catsimatidis warns foreign adversaries are trying to weaken President Donald Trump. (Kevin Dietsch / Getty Images)

“The evil empire, whether it’s Russia, North Korea, China, Iran, the evil empire will do anything to make sure that they cripple Trump in the November 3rd election,” Catsimatidis said.

The Red Apple Group chairman and CEO singled out Canada, saying he was disappointed in Carney despite describing the prime minister as someone he likes and considers smart.

“I think he [Carney] feels the same way, that they’re gonna be able to take a bigger advantage of the United States if Trump was crippled,” Catsimatidis said.

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Catsimatidis framed his concerns around Trump’s approach to business and international negotiations, arguing that the president’s dealmaking makes him a target for countries seeking an advantage over the United States.

CANADA’S 20% TARIFFS ON US GOODS LIKE MILK, STEEL AND GOLF CLUBS TAKE EFFECT

“He’s not only a president, he is a businessman,” Catsimatidis said.

Catsimatidis also reflected on the September 11 attacks, saying he lost four personal friends and a cousin that day. He warned that younger Americans have no personal memory of the attacks and argued that the country must remain vigilant.

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“I believe that our country is under attack and that if we don’t keep our eyes open, there’ll be another 9/11. New York is the target, Washington is the target, and we have to be extra careful,” he said.

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Catsimatidis closed with another warning about threats facing the country.

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“November 3, help save America, because we’re under attack in so many directions,” Catsimatidis warned.

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India-UK CETA takes effect: First zero-duty Indian coffee, jewellery consignments reach UK shores

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India-UK CETA takes effect: First zero-duty Indian coffee, jewellery consignments reach UK shores
London: The first zero-duty consignments of Indian jewellery and coffee have landed in the UK following the implementation of the landmark India-UK Comprehensive Economic and Trade Agreement (CETA).

The pact came into force on July 15.

The India-UK CETA was celebrated at the High Commission of India in London with a display of some of the key products already reaping the benefits of the low or no-tariff regime under the India-UK free trade agreement (FTA).

“A few consignments have already arrived under the CETA, which basically covers about 99 per cent of all the tariff lines under which India exports to the UK, and therefore we expect that the benefits will be significant,” said P Kumaran, the Indian High Commissioner to the UK.

Nysa Creations, a London-based importer of jewellery, and Odisha’s Kruti Coffee, which is set to launch its first UK cafe soon, were among the businesses proudly displaying their products that are set to benefit from CETA.

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“We expect to double India-UK trade in goods and services, which is currently about 65 billion dollars, up to 100 billion dollars in the next four years by 2030; and CETA is expected to play a huge role in promoting greater awareness of the opportunities and also to help our businesses compete more effectively in each other’s markets.
“We think that this will help promote the strength of industries, manufacturing ecosystems on both sides, the ability for both to generate more employment and therefore provide larger benefits to societies in both countries,” he said. The agreement’s entry into force (EIF) was marked with a special “CETA EIF” cake-cutting ceremony alongside officials from the UK’s Department for Business and Trade (DBT).

It also witnessed the formal launch of a new Indian High Commission LinkedIn social media facilitation forum, which will serve as a dedicated platform to help businesses, exporters, importers and investors leverage its full benefits.

“It is a milestone moment for Kruti Retail Ventures as our coffee consignment is the first Indian coffee consignment to the UK under CETA, despatched from Kolkata for the opening of our first international cafe in London on August 1,” said co-founder Jeeta Mona, who presented a symbolic Kruti Coffee tin to officials at India House.

According to DBT estimates, CETA is forecast to increase bilateral trade by 25.5 billion pounds annually in the long run, while boosting India’s GDP by 5.1 billion pounds and the UK’s GDP by 4.8 billion pounds by strengthening supply chains, supporting jobs and opening new opportunities for businesses across both countries.

The event also spotlighted a toolkit collated by the Federation of Indian Chambers of Commerce and Industry (FICCI) as a guide for Indian businesses navigating the post-CETA trading regime in the UK.

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‘India-UK CETA: A Guide to UK Import Requirements for Indian Exporters’ consolidates information on key UK standards and regulatory requirements to support India’s small and medium enterprises (SMEs) with their expansion plans in Britain.

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Precision Drilling: U.S. Margin Recovery Could Drive A Rerating

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Bonterra Energy: Charlie Lake Is The New Core Area

Precision Drilling: U.S. Margin Recovery Could Drive A Rerating

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BRICS finance chiefs urge reform of global development financial institutions

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BRICS finance chiefs urge reform of global development financial institutions

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