CDW (NASDAQ:CDW) Trading Up 5.6% After Dividend Announcement

CDW Co. (NASDAQ:CDW - Get Free Report) was up 5.6% during trading on Wednesday after the company announced a dividend. The stock traded as high as $171.52 and last traded at $173.03. Approximately 536,288 shares were traded during mid-day trading, a decline of 55% from the average daily volume of 1,182,218 shares. The stock had previously closed at $163.93.The newly announced dividend which will be paid on Tuesday, June 10th. Shareholders of record on Monday, May 26th will be given a dividend of $0.625 per share. This represents a $2.50 annualized dividend and a yield of 1.45%. CDW's dividend payout ratio is presently 31.37%.

Analysts Set New Price Targets

CDW has been the topic of a number of research reports. Barclays increased their price objective on CDW from $201.00 to $223.00 and gave the company an "equal weight" rating in a report on Thursday, February 6th. UBS Group cut their price target on shares of CDW from $233.00 to $220.00 and set a "buy" rating on the stock in a report on Tuesday, January 7th. JPMorgan Chase & Co. decreased their price objective on shares of CDW from $222.00 to $175.00 and set a "neutral" rating for the company in a research note on Thursday, April 17th. Morgan Stanley raised their target price on shares of CDW from $193.00 to $201.00 and gave the stock an "equal weight" rating in a report on Thursday, February 6th. Finally, Citigroup lowered their price target on shares of CDW from $220.00 to $160.00 and set a "neutral" rating on the stock in a report on Monday, April 14th. Four equities research analysts have rated the stock with a hold rating and four have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $217.38.

CDW Trading Up 5.1 %

The stock has a market cap of $22.71 billion, a price-to-earnings ratio of 21.66, a P/E/G ratio of 3.21 and a beta of 0.91. The business's 50 day moving average is $160.88 and its 200 day moving average is $178.26. The company has a debt-to-equity ratio of 2.38, a current ratio of 1.35 and a quick ratio of 1.24.

CDW (NASDAQ:CDW - Get Free Report) last released its quarterly earnings data on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share for the quarter, topping analysts' consensus estimates of $2.33 by $0.07. CDW had a net margin of 5.13% and a return on equity of 55.42%. As a group, equities analysts expect that CDW Co. will post 9.41 earnings per share for the current fiscal year.

CDW announced that its Board of Directors has approved a stock buyback program on Wednesday, February 5th that authorizes the company to buyback $750.00 million in outstanding shares. This buyback authorization authorizes the information technology services provider to purchase up to 2.7% of its stock through open market purchases. Stock buyback programs are often a sign that the company's board of directors believes its shares are undervalued.

Hedge Funds Weigh In On CDW

Several hedge funds have recently made changes to their positions in CDW. GW&K Investment Management LLC grew its stake in CDW by 78.9% during the 1st quarter. GW&K Investment Management LLC now owns 170 shares of the information technology services provider's stock worth $27,000 after buying an additional 75 shares during the last quarter. Orion Capital Management LLC purchased a new position in shares of CDW during the fourth quarter worth approximately $30,000. Allworth Financial LP increased its holdings in shares of CDW by 39.7% in the 4th quarter. Allworth Financial LP now owns 183 shares of the information technology services provider's stock valued at $32,000 after acquiring an additional 52 shares during the period. OFI Invest Asset Management purchased a new stake in CDW in the 4th quarter valued at $32,000. Finally, Parkside Financial Bank & Trust boosted its stake in CDW by 38.9% during the 4th quarter. Parkside Financial Bank & Trust now owns 207 shares of the information technology services provider's stock worth $36,000 after purchasing an additional 58 shares during the period. Hedge funds and other institutional investors 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.

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