CDW Co. (NASDAQ:CDW) Receives $235.50 Consensus PT from Analysts

CDW Co. (NASDAQ:CDW) has earned an average rating of “Moderate Buy” from the eight research firms that are covering the firm, MarketBeat.com reports. Four equities research analysts have rated the stock with a hold rating and four have issued a buy rating on the company. The average 1 year price objective among brokers that have issued a report on the stock in the last year is $235.50.

CDW has been the topic of several analyst reports. Barclays increased their target price on CDW from $201.00 to $223.00 and gave the company an “equal weight” rating in a research note on Thursday, February 6th. UBS Group reduced their price objective on shares of CDW from $233.00 to $220.00 and set a “buy” rating on the stock in a research note on Tuesday, January 7th. Finally, Morgan Stanley upped their target price on shares of CDW from $193.00 to $201.00 and gave the company an “equal weight” rating in a research note on Thursday, February 6th.

CDW Stock Performance

NASDAQ:CDW opened at $161.51 on Thursday. The stock has a market capitalization of $21.40 billion, a P/E ratio of 20.26, a price-to-earnings-growth ratio of 3.21 and a beta of 1.01. CDW has a 1 year low of $160.96 and a 1 year high of $263.37. The firm has a 50 day moving average of $182.40 and a 200-day moving average of $191.51. The company has a current ratio of 1.35, a quick ratio of 1.24 and a debt-to-equity ratio of 2.38.

CDW (NASDAQ:CDW) last released its quarterly earnings results on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.33 by $0.07. CDW had a return on equity of 55.42% and a net margin of 5.13%. As a group, sell-side analysts anticipate that CDW will post 9.41 EPS for the current fiscal year.

CDW announced that its board has initiated a share buyback plan on Wednesday, February 5th that allows the company to repurchase $750.00 million in shares. This repurchase authorization allows the information technology services provider to repurchase up to 2.7% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s leadership believes its stock is undervalued.

CDW Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, March 11th. Stockholders of record on Tuesday, February 25th were issued a $0.625 dividend. The ex-dividend date of this dividend was Tuesday, February 25th. This represents a $2.50 dividend on an annualized basis and a dividend yield of 1.55%. CDW’s payout ratio is 31.37%.

Institutional Investors Weigh In On CDW

Several hedge funds have recently added to or reduced their stakes in CDW. Orion Capital Management LLC acquired a new position in CDW in the 4th quarter valued at about $30,000. Allworth Financial LP boosted its holdings in shares of CDW by 39.7% during the fourth quarter. Allworth Financial LP now owns 183 shares of the information technology services provider’s stock worth $32,000 after acquiring an additional 52 shares during the period. OFI Invest Asset Management acquired a new position in shares of CDW in the fourth quarter valued at approximately $32,000. Parkside Financial Bank & Trust increased its stake in shares of CDW by 38.9% during the fourth quarter. Parkside Financial Bank & Trust now owns 207 shares of the information technology services provider’s stock worth $36,000 after purchasing an additional 58 shares during the period. Finally, Optiver Holding B.V. lifted its holdings in CDW by 107.2% during the 4th quarter. Optiver Holding B.V. now owns 230 shares of the information technology services provider’s stock worth $40,000 after purchasing an additional 119 shares during the last quarter. Institutional investors and hedge funds own 93.15% of the company’s stock.

CDW Company Profile

CDW Corporation provides information technology (IT) solutions in the United States, the United Kingdom, and Canada. It operates through three segments: Corporate, Small Business, and Public. The company offers discrete hardware and software products and services, as well as integrated IT solutions, including on-premise and cloud capabilities across hybrid infrastructure, digital experience, and security.