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

Key Points

• Analysts rate CDW a “Moderate Buy.” Of nine analysts, five recommend buying, three advise holding, and one gives a strong-buy rating; the average 12-month price target is $147.
• CDW exceeded quarterly expectations, reporting $2.91 in adjusted earnings per share and $6.57 billion in revenue, while revenue increased 10% year over year.
• The company declared a quarterly dividend of $0.63 per share, equivalent to an annualized $2.52 payout and a 1.7% yield; institutional investors own 93.15% of the stock.

Shares of CDW Corporation (NASDAQ:CDW - Get Free Report) have received a consensus rating of "Moderate Buy" from the nine analysts that are presently covering the stock, MarketBeat.com reports. Three research analysts have rated the stock with a hold rating, five have given a buy rating and one has assigned a strong buy rating to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $147.00.

CDW has been the subject of a number of research analyst reports. Royal Bank Of Canada raised shares of CDW to an "outperform" rating and set a $130.00 price target for the company in a research note on Wednesday, May 27th. Barclays dropped their target price on CDW from $144.00 to $123.00 and set an "equal weight" rating on the stock in a report on Thursday, May 7th. UBS Group cut their target price on CDW from $162.00 to $147.00 and set a "buy" rating for the company in a research report on Thursday, May 7th. JPMorgan Chase & Co. raised CDW from a "neutral" rating to an "overweight" rating and set a $130.00 price target for the company in a research note on Wednesday, May 27th. Finally, Citigroup lifted their price target on CDW from $123.00 to $145.00 and gave the company a "neutral" rating in a research report on Monday, July 13th.

CDW Price Performance

Shares of CDW opened at $148.67 on Thursday. CDW has a one year low of $97.12 and a one year high of $171.55. The stock's fifty day moving average is $139.06 and its 200-day moving average is $128.88. The company has a debt-to-equity ratio of 1.97, a quick ratio of 1.05 and a current ratio of 1.17. The firm has a market capitalization of $18.59 billion, a price-to-earnings ratio of 17.87, a price-to-earnings-growth ratio of 1.97 and a beta of 0.95.

CDW (NASDAQ:CDW - Get Free Report) last posted its quarterly earnings data on Wednesday, August 5th. The information technology services provider reported $2.91 earnings per share for the quarter, topping the consensus estimate of $2.80 by $0.11. The business had revenue of $6.57 billion during the quarter, compared to the consensus estimate of $6.21 billion. CDW had a net margin of 4.60% and a return on equity of 50.61%. The company's quarterly revenue was up 10.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $2.60 earnings per share. Equities analysts anticipate that CDW will post 10.33 EPS for the current year.

CDW Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Tuesday, August 25th will be issued a dividend of $0.63 per share. This represents a $2.52 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date of this dividend is Tuesday, August 25th. CDW's payout ratio is presently 30.29%.

Insider Buying and Selling

In other CDW news, insider Elizabeth H. Connelly sold 26,695 shares of the company's stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $137.62, for a total value of $3,673,765.90. Following the completion of the sale, the insider directly owned 34,215 shares of the company's stock, valued at approximately $4,708,668.30. This represents a 43.83% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 0.82% of the company's stock.

Institutional Trading of CDW

A number of hedge funds and other institutional investors have recently made changes to their positions in CDW. Allied Private Wealth LLC bought a new stake in CDW during the second quarter worth approximately $28,000. Keating Financial Advisory Services Inc. bought a new position in shares of CDW in the second quarter valued at $28,000. Hollencrest Capital Management increased its holdings in shares of CDW by 909.1% in the first quarter. Hollencrest Capital Management now owns 222 shares of the information technology services provider's stock valued at $27,000 after buying an additional 200 shares in the last quarter. Root Financial Partners LLC lifted its position in shares of CDW by 54.7% during the 1st quarter. Root Financial Partners LLC now owns 263 shares of the information technology services provider's stock valued at $32,000 after acquiring an additional 93 shares during the last quarter. Finally, Continuum Advisory LLC bought a new stake in shares of CDW during the 2nd quarter worth $43,000. 93.15% of the stock is currently owned by institutional investors.

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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