Brean Murray Carret's Computer Hardware Update (WDC, STX)

Brean Murray Carret is out with its "Computer Hardware" update highlighting Western Digital Corp. (NYSE: WDC) and Seagate (NASDAQ: STX).

In its note to clients, BMC writes, "For investors looking to invest for the shorter term (perhaps using the Mar Q as a catalyst), we would suggest buying on pull-backs. We believe we've seen WDC and STX guide to 'bottom earnings' should current conditions hold – and traditionally when investors can feel comfortable with bottom earnings, the stocks will tend to rally back after pull-backs and get higher multiples thanks to more limited earnings risk and the likelihood of earnings growth/potential upside surprises."

BMC maintains a $40 PT on WDC, and an $18 PT on STX.

At the time of posting:

Shares of STX were trading at $13.61, down 1.37% from Friday's close.

Shares of WDC were trading at $33.41, down 1.56% from Friday's close.