CDW (NASDAQ:CDW) Releases Quarterly Earnings Results, Beats Expectations By $0.11 EPS

Key Points

• CDW reported a quarterly EPS of $2.60, exceeding analyst estimates by $0.11, with a revenue of $5.98 billion, also surpassing expectations.
• A quarterly dividend of $0.625 per share has been announced, resulting in an annualized dividend yield of 1.5%.
• Analysts have varied opinions on CDW's stock, with target prices ranging from $176.00 to $205.00, leading to a consensus rating of "Hold."

CDW (NASDAQ:CDW - Get Free Report) announced its quarterly earnings results on Wednesday. The information technology services provider reported $2.60 EPS for the quarter, beating the consensus estimate of $2.49 by $0.11, RTT News reports. The business had revenue of $5.98 billion for the quarter, compared to analyst estimates of $5.51 billion. CDW had a return on equity of 53.63% and a net margin of 4.92%. CDW's quarterly revenue was up 10.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.50 EPS.

CDW Stock Up 2.5%

CDW stock traded up $3.94 during midday trading on Tuesday, reaching $164.09. The stock had a trading volume of 484,954 shares, compared to its average volume of 1,329,685. The company has a current ratio of 1.35, a quick ratio of 1.22 and a debt-to-equity ratio of 2.28. The company has a fifty day moving average price of $175.87 and a two-hundred day moving average price of $174.41. The company has a market capitalization of $21.51 billion, a P/E ratio of 20.39, a PEG ratio of 2.74 and a beta of 0.95. CDW has a 12 month low of $137.31 and a 12 month high of $231.38.

CDW Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 10th. Investors of record on Monday, August 25th will be given a $0.625 dividend. This represents a $2.50 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend is Monday, August 25th. CDW's payout ratio is presently 31.06%.

Wall Street Analyst Weigh In

CDW has been the subject of a number of research reports. UBS Group decreased their price objective on CDW from $210.00 to $200.00 and set a "buy" rating for the company in a report on Thursday, August 7th. JPMorgan Chase & Co. increased their price target on CDW from $185.00 to $205.00 and gave the company a "neutral" rating in a research report on Thursday, July 17th. Barclays reduced their price target on CDW from $205.00 to $176.00 and set an "equal weight" rating for the company in a research report on Thursday, August 7th. Finally, Citigroup increased their price target on CDW from $180.00 to $200.00 and gave the company a "neutral" rating in a research report on Friday, July 11th. Four equities research analysts have rated the stock with a hold rating and two have assigned a buy rating to the company. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $202.00.

Institutional Trading of CDW

An institutional investor recently raised its position in CDW stock. Empowered Funds LLC boosted its position in CDW Corporation (NASDAQ:CDW - Free Report) by 1.2% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 18,076 shares of the information technology services provider's stock after purchasing an additional 216 shares during the period. Empowered Funds LLC's holdings in CDW were worth $2,897,000 as of its most recent SEC filing. 93.15% of the stock is owned by institutional investors and hedge funds.

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.