CDW Corporation (NASDAQ:CDW) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Analysts assign CDW a “Moderate Buy” consensus rating: five analysts rate it a buy, one a strong buy and three a hold, with an average 12-month price target of $147.
• CDW reported quarterly earnings of $2.91 per share, exceeding the $2.80 consensus estimate, while revenue rose 10% year over year to $6.57 billion.
• The company declared a quarterly dividend of $0.63 per share, equal to an annualized $2.52 payout and a 1.9% yield; institutional investors own 93.15% of the stock.

CDW Corporation (NASDAQ:CDW - Get Free Report) has been assigned an average rating of "Moderate Buy" from the nine research firms that are currently covering the company, MarketBeat reports. Three equities research analysts have rated the stock with a hold rating, five have assigned a buy rating and one has assigned a strong buy rating to the company. The average 12-month price objective among brokers that have covered the stock in the last year is $147.00.

CDW has been the topic of several research analyst reports. JPMorgan Chase & Co. raised CDW from a "neutral" rating to an "overweight" rating and set a $130.00 price objective on the stock in a research note on Wednesday, May 27th. Royal Bank Of Canada raised CDW to an "outperform" rating and set a $130.00 target price for the company in a research report on Wednesday, May 27th. Morgan Stanley upped their target price on CDW from $170.00 to $171.00 and gave the stock an "overweight" rating in a report on Thursday. Raymond James Financial set a $150.00 price target on CDW in a research report on Wednesday, May 6th. Finally, Citigroup raised their price target on CDW from $123.00 to $145.00 and gave the company a "neutral" rating in a research note on Monday, July 13th.

CDW Price Performance

CDW stock opened at $135.81 on Friday. The company has a debt-to-equity ratio of 1.97, a current ratio of 1.17 and a quick ratio of 1.06. The stock has a market cap of $17.35 billion, a price-to-earnings ratio of 16.32, a price-to-earnings-growth ratio of 1.80 and a beta of 0.96. The firm has a 50-day moving average of $135.99 and a two-hundred day moving average of $127.70. CDW has a 1 year low of $97.12 and a 1 year high of $171.55.

CDW (NASDAQ:CDW - Get Free Report) last issued its earnings results on Wednesday, August 5th. The information technology services provider reported $2.91 EPS for the quarter, topping analysts' consensus estimates of $2.80 by $0.11. CDW had a net margin of 4.60% and a return on equity of 50.61%. The business had revenue of $6.57 billion for the quarter, compared to analyst estimates of $6.21 billion. During the same period last year, the company posted $2.60 earnings per share. The company's quarterly revenue was up 10.0% compared to the same quarter last year. On average, research analysts forecast that CDW will post 10.21 earnings per share for the current year.

CDW Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Tuesday, August 25th will be paid a $0.63 dividend. The ex-dividend date of this dividend is Tuesday, August 25th. This represents a $2.52 dividend on an annualized basis and a yield of 1.9%. CDW's dividend payout ratio is 30.29%.

Insider Transactions at CDW

In other CDW news, Director David W. Nelms bought 18,000 shares of the company's stock in a transaction on Wednesday, May 27th. The shares were bought at an average cost of $111.43 per share, for a total transaction of $2,005,740.00. Following the acquisition, the director directly owned 51,025 shares in the company, valued at approximately $5,685,715.75. The trade was a 54.50% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 0.82% of the stock is currently owned by insiders.

Institutional Investors Weigh In On CDW

Several large investors have recently modified their holdings of the business. Jones Financial Companies Lllp raised its stake in CDW by 316.0% in the first quarter. Jones Financial Companies Lllp now owns 4,896 shares of the information technology services provider's stock worth $785,000 after buying an additional 3,719 shares in the last quarter. Empowered Funds LLC boosted its position in CDW by 1.2% during 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 acquiring an additional 216 shares in the last quarter. California State Teachers Retirement System boosted its position in CDW by 0.6% during the 2nd quarter. California State Teachers Retirement System now owns 225,709 shares of the information technology services provider's stock valued at $40,309,000 after acquiring an additional 1,242 shares in the last quarter. BI Asset Management Fondsmaeglerselskab A S boosted its position in CDW by 1,339.7% during the 2nd quarter. BI Asset Management Fondsmaeglerselskab A S now owns 49,380 shares of the information technology services provider's stock valued at $8,819,000 after acquiring an additional 45,950 shares in the last quarter. Finally, State of Tennessee Department of Treasury increased its holdings in shares of CDW by 17.7% in the 2nd quarter. State of Tennessee Department of Treasury now owns 40,927 shares of the information technology services provider's stock valued at $7,309,000 after acquiring an additional 6,143 shares during the period. Institutional investors own 93.15% of the company's stock.

CDW Company Profile

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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