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How to Protect your Wealth by Investing in AI Tech Stocks

WESTERN DIGITAL WDC Stock Trend Analysis - CHIA! - Risk 1

Companies / Investing 2021 Jun 23, 2021 - 03:04 PM GMT

By: Nadeem_Walayat

Companies

The first on my list is a tech stock that I mentioned in passing in my last analysis Western Digital (WDC). founded in 1970 with it's core business being hard drives and memory chips where WD has made a brand name for itself in manufacturing reliable hard drives both internal and increasingly external high capacity drives, in fact I own more than a dozen WD drives with my latest addition being a 28tb My book Duo that was busily being filled with Chia plots that I will probably delete in the not too distant future when they fail to yield any Chia coins. So if the existing fundamentals of manufacturing quality hardware for the PC market was not enough then the CHIA crypto mania of farming Chia plots on ones hard drives that has resulted in an ongoing mad rush to buy up the worlds supply of external drives so that crypto maniacs can waste time, energy and resources trying to win a couple of CHIA coins by plotting farms that span tens of terabytes of storage per individual Chia farmer.


I too initially fell for the CHIA mania hype, though thankfully was never foolish enough to actually deploy fresh resources to this pointless exercise where the number of CHIA one plots will never be enough to keep up with the ever expanding network space, which is why I ceased plotting CHIA a week after i first started. In fact of all the crypto's I have looked at CHIA is probably the WORST of the lot! Anyway if one is contemplating plotting CHIA then do check out my video first that explains why it will be a total waste of time and resources with virtually a zero chance of winning any CHIA coins, which are largely in the domain of the giant Chia pools located in China..

CHIA Coins After 1st Week of Plotting 140 Plot 14tb Farm. Crunching the Numbers How to Win

Western Digital currently has a market cap of $20.1 billion, which I consider to be in the sweet spot for a smaller cap stock i.e. not too small so that it's at a low risk of going bust, whilst not too large that it becomes difficult to do X10. .WDC trades on an PE of 64 which is a little on the high side but the EC resolves to just 38 which means the stock is not expensive which is unlike a much of the over valued stocks that the likes of ARK funds are invested in such SQUARE on a PE of 300. This is the problem with funds, they are mostly hype which most investors rarely get past to actually look at what the funds are actually invested in. So in fundamental terms WDC is fairly priced.

The stock price clearly been stuck in a trading range pending a breakout higher, $85 is the top of the range with $35 at the bottom of the range. We can all hope for the price to collapse towards $35 for the perfect buying opportunity. However I really want to gain some exposure to this good higher risk stock thus I am setting the 1st buying level at an achievable $65, with the second buying level at $55 for a long-term position that is banking an an eventual breakout out of its trading range. Remember ALL of the stocks that soared into the stratosphere earlier this year were all once upon a time stuck in their own multi-year trading ranges before they went X10.

The bottom line is WDC is one of the steady as she goes high risk stocks i.e. it is actually not that high of a risk, but conversely this also means prospective performance is unlikely to see a X10 gain over the next 5 years, maybe X4 or X5 at best. That's the price one pays for LESS risk i.e. less potential upside. So WDC is definitely a stock I will personally be investing in especially given ridiculous demand for its hard drives from the CHIA crypto maniacs!

The rest of this extensive analysis that concludes in my latest biotech stocks with the potential to X10 over the coming years Five More Small Cap Bio and Tech Stocks to Invest for 2021 and Beyond! has first been made available to Patrons who support my work.

Topics Include:

  • Invest and Forget
  • Stock Market Early Summer Correction Review
  • AI Stocks Strength vs Weakness
  • RAMPANT MONEY PRINTING INFLATION BIG PICTURE!
  • HIGH RISK STOCK BUYING LEVELS
  • RISK RATINGS
  • WESTERN DIGITAL - WDC $71 - CHIA! - Risk 1
  • Life Sciences Biotech Smaller Cap High Risk Stocks Investing Binge
  • Biotech stock 1 - Cheap Low Risk Pharma - Risk 1
  • Biotech stock 2 - HIGH RISK GENE EDITING - Risk 9
  • Biotech stock 3 - Low Risk 2
  • Biotech stock 4 - X10 for Max Risk 10
  • High Risk Stocks Portfolio Buying Levels
  • Covid India Black Mold Epidemic
  • Bitcoin and Raven Coin Buying Levels

So for immediate first access to ALL of my analysis and trend forecasts then do consider becoming a Patron by supporting my work for just $3 per month. https://www.patreon.com/Nadeem_Walayat.

Inlcuding access to my latest analysis -

Bitcoin Bear Market Trend Forecast 2021 and Model Crypto Portfolio Buying Levels

  • Investing in the Tulip Crypto Mania
  • Bitcoin Price Trend Forecast Review
  • Lessons Learned
  • Cathy Crypto Wood's View on Bitcoin
  • BITCOIN HALVINGS TREND TRAJECTORY
  • Stock to Flow Infinity and Beyond!
  • Bitcoin, Crypto's and the Inflation Mega-trend
  • Black Swan 1 - Will Crypto's Get Banned?
  • Black Swan 2 - GOOGLE
  • Black Swan 3 - USDT Tether Un-Stable Coin Ponzi Schemes!
  • BLACK SWAN 4 - Bitcoin 51% Network Attack by China?
  • Black Swan 5 - Bitcoin is Already Obsolete
  • US Trending Towards Hyperinflation
  • BITCOIN TREND ANALYSIS
  • Bitcoin Bear markets analysis - How low could she blow?
  • Bitcoin Trend Forecast
  • Bitcoin Long-term probable Next bull market price target
  • Alternative Scenarios
  • My Crypto Bear Market Investing Strategy
  • Crypto 1 - Ethereum (ETH) $2600
  • Crypto 2 - Bitcoin $40,375
  • Crypto 3 - Ravencoin $0.078
  • Crypto 4 - Cardano $1.59
  • Crypto 5 - Pokadot $25
  • Crypto 6 - ChainLink $26
  • Crypto's 7 to 10
  • Creating The Perfect Crypto
  • How to Invest in Crypto Without Getting SCAMMED
  • CHIA SCAM COIN
  • Binance vs Coinbase
  • Have ARK Invest Funds Bottomed?

My analysis schedule includes:

  • More X10 Biotech Tech Stocks - 50% done
  • UK House Prices Trend Analysis - 10% done
  • How to Get Rich! - 70% done
  • US Dollar and British Pound analysis
  • Gold and SIlver Price Analysis

Again for immediate access to all my work do consider becoming a Patron by supporting my work for just $3 per month. https://www.patreon.com/Nadeem_Walayat.\

And ensure you are subscribed to my ALWAYS FREE newsletter for my next in-depth analysis.

Your analyst investing in biotech stocks.

Nadeem Walayat

http://www.marketoracle.co.uk

Copyright © 2005-2021 Marketoracle.co.uk (Market Oracle Ltd). All rights reserved.

Nadeem Walayat has over 30 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of five ebook's in the The Inflation Mega-Trend and Stocks Stealth Bull Market series that can be downloaded for Free.

Housing Markets Forecast 2014-2018The Stocks Stealth Bull Market 2013 and Beyond EbookThe Stocks Stealth Bull Market Update 2011 EbookThe Interest Rate Mega-Trend EbookThe Inflation Mega-trend Ebook

Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication that presents in-depth analysis from over 1000 experienced analysts on a range of views of the probable direction of the financial markets, thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Nadeem Walayat Archive

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


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