CDW Corporation (NASDAQ:CDW) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• CDW has an average analyst rating of "Moderate Buy" from nine research firms, with a consensus 1-year price target of $146.88.
• Recent analyst moves were mostly positive, including upgrades from JPMorgan Chase and Morgan Stanley, while UBS trimmed its target and Weiss Ratings raised the stock to hold.
• CDW reported solid quarterly results, with EPS of $2.28 matching estimates and revenue of $5.68 billion beating expectations, and it also paid a quarterly dividend of $0.63 per share.

Shares of CDW Corporation (NASDAQ:CDW - Get Free Report) have been assigned an average rating of "Moderate Buy" from the nine research firms that are currently covering the firm, MarketBeat.com reports. Three analysts have rated the stock with a hold rating, five have issued a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokers that have issued ratings on the stock in the last year is $146.8750.

A number of analysts have recently issued reports on the company. JPMorgan Chase & Co. upgraded CDW from a "neutral" rating to an "overweight" rating and set a $130.00 target price for the company in a report on Wednesday, May 27th. Morgan Stanley upgraded shares of CDW from an "equal weight" rating to an "overweight" rating and raised their price target for the company from $142.00 to $170.00 in a report on Tuesday, June 23rd. UBS Group reduced their price target on shares of CDW from $162.00 to $147.00 and set a "buy" rating on the stock in a research report on Thursday, May 7th. Raymond James Financial set a $150.00 price objective on shares of CDW in a research note on Wednesday, May 6th. Finally, Weiss Ratings raised shares of CDW from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Thursday, June 11th.

Insider Transactions at CDW

In related news, Director David W. Nelms purchased 18,000 shares of the stock in a transaction that occurred on Wednesday, May 27th. The stock was purchased at an average cost of $111.43 per share, for a total transaction of $2,005,740.00. Following the acquisition, the director owned 51,025 shares in the company, valued at approximately $5,685,715.75. This trade represents a 54.50% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 0.82% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Fenimore Asset Management Inc grew its stake in shares of CDW by 0.8% in the fourth quarter. Fenimore Asset Management Inc now owns 1,150,567 shares of the information technology services provider's stock valued at $156,707,000 after buying an additional 9,485 shares in the last quarter. Marshall Wace LLP raised its holdings in shares of CDW by 255.7% during the 3rd quarter. Marshall Wace LLP now owns 599,248 shares of the information technology services provider's stock valued at $95,448,000 after buying an additional 430,796 shares during the period. Pacer Advisors Inc. lifted its position in CDW by 5,081.1% during the 1st quarter. Pacer Advisors Inc. now owns 549,247 shares of the information technology services provider's stock worth $66,470,000 after acquiring an additional 538,646 shares in the last quarter. BNP Paribas Financial Markets lifted its position in CDW by 20.5% during the 4th quarter. BNP Paribas Financial Markets now owns 284,965 shares of the information technology services provider's stock worth $38,812,000 after acquiring an additional 48,547 shares in the last quarter. Finally, Local Pensions Partnership Investment Ltd boosted its holdings in CDW by 7.8% in the 4th quarter. Local Pensions Partnership Investment Ltd now owns 249,176 shares of the information technology services provider's stock worth $33,940,000 after acquiring an additional 18,000 shares during the period. Institutional investors and hedge funds own 93.15% of the company's stock.

CDW Price Performance

Shares of CDW stock opened at $139.38 on Wednesday. The business's fifty day moving average price is $124.85 and its 200 day moving average price is $127.15. CDW has a twelve month low of $97.12 and a twelve month high of $183.66. The company has a current ratio of 1.16, a quick ratio of 1.06 and a debt-to-equity ratio of 1.81. The stock has a market capitalization of $17.81 billion, a P/E ratio of 16.96, a PEG ratio of 1.91 and a beta of 0.97.

CDW (NASDAQ:CDW - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The information technology services provider reported $2.28 EPS for the quarter, hitting the consensus estimate of $2.28. The company had revenue of $5.68 billion during the quarter, compared to analyst estimates of $5.48 billion. CDW had a return on equity of 49.67% and a net margin of 4.70%.The firm's revenue was up 9.2% on a year-over-year basis. During the same period in the prior year, the firm posted $2.15 earnings per share. As a group, research analysts anticipate that CDW will post 10.21 earnings per share for the current year.

CDW Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, June 10th. Investors of record on Monday, May 25th were given a dividend of $0.63 per share. This represents a $2.52 dividend on an annualized basis and a yield of 1.8%. The ex-dividend date of this dividend was Friday, May 22nd. CDW's dividend payout ratio is 30.66%.

About CDW

CDW NASDAQ: CDW is a leading provider of information technology products and integrated solutions for business, government, education and healthcare customers. The company sources and resells hardware and software from major technology vendors and packages those products with professional services, managed services and lifecycle support. Its offerings span IT infrastructure, cloud and data center solutions, cybersecurity, networking, unified communications, endpoint devices, and software licensing and procurement services designed to simplify IT operations for customers.

CDW combines a broad product portfolio with consultative sales, implementation and technical support capabilities.

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