CDW (NASDAQ:CDW) Shares Down 3.6% - Time to Sell?

Key Points

• CDW Corporation's share price fell 3.6%, trading at $164.65, with a significant decrease in volume, down 59% from the average daily trading volume.
• Barclays and UBS Group have recently reduced their price targets for CDW, while JPMorgan and Citigroup have raised theirs, reflecting mixed analyst sentiments with an average rating of "Hold".
• CDW reported $2.60 EPS for the last quarter, exceeding estimates, and announced a quarterly dividend of $0.625, yielding 1.5% annually.

CDW Corporation (NASDAQ:CDW - Get Free Report)'s share price dropped 3.6% during mid-day trading on Thursday . The stock traded as low as $165.41 and last traded at $164.65. Approximately 532,045 shares traded hands during mid-day trading, a decline of 59% from the average daily volume of 1,312,732 shares. The stock had previously closed at $170.77.

Analyst Ratings Changes

CDW has been the topic of several recent research reports. Barclays decreased their price target on shares of CDW from $205.00 to $176.00 and set an "equal weight" rating on the stock in a research report on Thursday, August 7th. JPMorgan Chase & Co. lifted their price target on shares of CDW from $185.00 to $205.00 and gave the stock a "neutral" rating in a research report on Thursday, July 17th. Citigroup raised their price objective on shares of CDW from $180.00 to $200.00 and gave the stock a "neutral" rating in a research note on Friday, July 11th. Finally, UBS Group decreased their price objective on shares of CDW from $210.00 to $200.00 and set a "buy" rating for the company in a research note on Thursday, August 7th. Two equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of $202.00.

CDW Stock Down 1.8%

The company has a debt-to-equity ratio of 2.28, a quick ratio of 1.22 and a current ratio of 1.35. The business's 50 day simple moving average is $171.54 and its 200-day simple moving average is $170.42. The company has a market cap of $21.98 billion, a price-to-earnings ratio of 20.84, a price-to-earnings-growth ratio of 2.81 and a beta of 0.98.

CDW (NASDAQ:CDW - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The information technology services provider reported $2.60 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.49 by $0.11. CDW had a net margin of 4.92% and a return on equity of 53.63%. The business had revenue of $5.98 billion during the quarter, compared to analyst estimates of $5.51 billion. During the same quarter in the previous year, the business earned $2.50 EPS. CDW's quarterly revenue was up 10.2% compared to the same quarter last year. Sell-side analysts expect that CDW Corporation will post 9.41 earnings per share for the current year.

CDW Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 10th. Investors of record on Monday, August 25th were paid a $0.625 dividend. This represents a $2.50 annualized dividend and a dividend yield of 1.5%. The ex-dividend date of this dividend was Monday, August 25th. CDW's payout ratio is presently 31.06%.

Institutional Investors Weigh In On CDW

Institutional investors and hedge funds have recently modified their holdings of the business. Price T Rowe Associates Inc. MD raised its holdings in CDW by 444.6% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 1,632,119 shares of the information technology services provider's stock worth $261,564,000 after acquiring an additional 1,332,454 shares during the period. Voloridge Investment Management LLC bought a new position in CDW in the 4th quarter worth $105,705,000. Manning & Napier Advisors LLC bought a new position in CDW in the 1st quarter worth $74,908,000. Contour Asset Management LLC bought a new position in CDW in the 1st quarter worth $64,505,000. Finally, Massachusetts Financial Services Co. MA raised its holdings in CDW by 15.7% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 2,792,934 shares of the information technology services provider's stock worth $447,596,000 after acquiring an additional 378,841 shares during the period. Institutional investors and hedge funds own 93.15% of the company's stock.

About CDW

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.