I've been using my squier bullet strat for a good 3 years now. However, off late i havent been too pleased with the tone it gives, specially with heavier distortion.

Not that something's wrong, just that i noticed how the sound sucks compared to other guitars of similar range. Also, sometimes when i play two or more of the lower strings together it gives a sharp distorted buzzing sound that is plain annoying.

I have considered buying a new guitar altogether, but this one has too many memories attached to it. So i thought maybe i could try modding it a little before giving up on it.

Currently, it bears the standard chrome hardware and single coil pickups.

Please suggest any wiring / pickup alterations i could make to crank it up a little. Also, i think the action of my guitar is higher than most others. Is it recommended to bring it down a bit?
action is all based on opinion, and if you want a nicer distortion put a Duncan JB Jr or Duncan Hot Rails for Strat (SHR-1) in the bridge position.
Take it to a luthier or good tech and have them level the frets. There is a good chance on a guitar of lower grade that the fretwork is subpar. It can probably be leveled/crowned/polished and get rid of the buzz and help you get a lower action.
you need a humbucker if you want it to sound good with distortion
“More metal than your gran’s left hip.” - Paul Allender on his PRS signature guitar
Thanks for the advice all of you!
At the risk of sounding very newby, is it any good to change only the bridge position pickup?