CDW Co. (NASDAQ:CDW) Receives Average Rating of “Moderate Buy” from Analysts

Shares of CDW Co. (NASDAQ:CDW) have been given a consensus recommendation of “Moderate Buy” by the eight brokerages that are currently covering the firm, Marketbeat reports. Four analysts have rated the stock with a hold recommendation and four have given a buy recommendation to the company. The average twelve-month price target among brokerages that have issued ratings on the stock in the last year is $216.38.

Several research firms have recently issued reports on CDW. UBS Group lowered their price target on shares of CDW from $236.00 to $210.00 and set a “buy” rating on the stock in a research report on Thursday, May 8th. Citigroup boosted their price target on shares of CDW from $160.00 to $180.00 and gave the company a “neutral” rating in a research report on Thursday, May 8th. JPMorgan Chase & Co. lowered their price target on shares of CDW from $222.00 to $175.00 and set a “neutral” rating on the stock in a research report on Thursday, April 17th. Barclays lowered their price target on shares of CDW from $223.00 to $205.00 and set an “equal weight” rating on the stock in a research report on Thursday, May 8th. Finally, Morgan Stanley boosted their price target on shares of CDW from $193.00 to $201.00 and gave the company an “equal weight” rating in a research report on Thursday, February 6th.

Insider Buying and Selling

In related news, insider Frederick J. Kulevich sold 28,159 shares of the company’s stock in a transaction that occurred on Tuesday, May 13th. The shares were sold at an average price of $190.90, for a total transaction of $5,375,553.10. Following the sale, the insider now owns 36,077 shares of the company’s stock, valued at approximately $6,887,099.30. This represents a 43.84% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Christine A. Leahy sold 40,917 shares of the stock in a transaction on Thursday, May 8th. The stock was sold at an average price of $181.42, for a total transaction of $7,423,162.14. Following the completion of the transaction, the insider now directly owns 144,931 shares in the company, valued at $26,293,382.02. The trade was a 22.02% decrease in their position. The disclosure for this sale can be found here. 0.84% of the stock is currently owned by insiders.

Hedge Funds Weigh In On CDW

A number of institutional investors have recently made changes to their positions in the stock. Bayforest Capital Ltd bought a new position in shares of CDW in the 1st quarter worth $31,000. SCS Capital Management LLC purchased a new stake in shares of CDW in the 1st quarter valued at $490,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in shares of CDW by 1.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 954,482 shares of the information technology services provider’s stock valued at $152,965,000 after purchasing an additional 17,895 shares in the last quarter. Woodline Partners LP purchased a new stake in shares of CDW in the 1st quarter valued at $42,332,000. Finally, Empowered Funds LLC boosted its stake in shares of CDW by 1.2% in the 1st quarter. Empowered Funds LLC now owns 18,076 shares of the information technology services provider’s stock valued at $2,897,000 after purchasing an additional 216 shares in the last quarter. Institutional investors own 93.15% of the company’s stock.

CDW Stock Up 0.0%

CDW opened at $188.10 on Friday. The company has a quick ratio of 1.24, a current ratio of 1.35 and a debt-to-equity ratio of 2.38. The stock has a market cap of $24.77 billion, a price-to-earnings ratio of 23.60, a PEG ratio of 3.21 and a beta of 0.91. CDW has a twelve month low of $137.31 and a twelve month high of $241.26. The company’s 50-day moving average price is $164.10 and its two-hundred day moving average price is $176.56.

CDW (NASDAQ:CDW) last released its earnings results on Wednesday, May 7th. The information technology services provider reported $2.15 earnings per share for the quarter, beating analysts’ consensus estimates of $1.96 by $0.19. The firm had revenue of $5.20 billion for the quarter, compared to analysts’ expectations of $4.93 billion. CDW had a net margin of 5.13% and a return on equity of 55.42%. The company’s quarterly revenue was up 6.7% on a year-over-year basis. During the same period in the previous year, the company earned $1.92 earnings per share. As a group, equities analysts expect that CDW will post 9.41 earnings per share for the current year.

CDW Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 10th. Investors of record on Monday, May 26th will be issued a dividend of $0.625 per share. This represents a $2.50 dividend on an annualized basis and a yield of 1.33%. The ex-dividend date of this dividend is Friday, May 23rd. CDW’s dividend payout ratio (DPR) is presently 30.98%.

CDW announced that its board has authorized a share buyback program on Wednesday, February 5th that permits the company to buyback $750.00 million in outstanding shares. This buyback authorization permits the information technology services provider to reacquire up to 2.7% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its stock is undervalued.

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.