CDW Corporation $CDW Stock Acquired by Inscription Capital LLC

Key Points

• Inscription Capital increased its CDW stake by 679.5% in the third quarter, adding 12,754 shares to own 14,631 shares valued at about $1.875 million.
• CDW reported quarterly earnings of $3.26 per share and revenue of $6.75 billion, beating analyst estimates; revenue rose 17.7% year over year.
• The company raised its quarterly dividend from $0.63 to $0.68 per share. Analysts’ consensus rating was “Moderate Buy,” with an average price target of $167.38.

Inscription Capital LLC increased its stake in shares of CDW Corporation (NASDAQ:CDW - Free Report) by 679.5% in the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 14,631 shares of the information technology services provider's stock after buying an additional 12,754 shares during the quarter. Inscription Capital LLC's holdings in CDW were worth $1,875,000 at the end of the most recent reporting period.

Other institutional investors have also bought and sold shares of the company. BlackRock Inc. bought a new position in CDW during the 2nd quarter valued at about $2,143,082,000. Pzena Investment Management LLC grew its stake in CDW by 27.1% during the third quarter. Pzena Investment Management LLC now owns 3,353,465 shares of the information technology services provider's stock worth $429,780,000 after buying an additional 714,565 shares during the last quarter. Jupiter Topco LLC bought a new stake in CDW during the second quarter worth about $300,073,000. Alyeska Investment Group L.P. grew its stake in CDW by 197.1% during the second quarter. Alyeska Investment Group L.P. now owns 1,854,952 shares of the information technology services provider's stock worth $260,880,000 after buying an additional 1,230,517 shares during the last quarter. Finally, Bank of America Corp DE acquired a new stake in shares of CDW during the second quarter worth approximately $255,058,000. Institutional investors and hedge funds own 93.15% of the company's stock.

CDW Trading Down 6.1%

NASDAQ:CDW opened at $158.39 on Friday. The company has a current ratio of 1.26, a quick ratio of 1.05 and a debt-to-equity ratio of 2.32. CDW Corporation has a 1-year low of $97.12 and a 1-year high of $172.47. The firm has a market capitalization of $19.80 billion, a price-to-earnings ratio of 18.48, a PEG ratio of 2.21 and a beta of 0.92. The business's 50-day moving average price is $148.57 and its two-hundred day moving average price is $133.60.

CDW (NASDAQ:CDW - Get Free Report) last posted its earnings results on Wednesday, November 4th. The information technology services provider reported $3.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.98 by $0.28. The company had revenue of $6.75 billion during the quarter, compared to analyst estimates of $6.19 billion. CDW had a return on equity of 52.23% and a net margin of 4.48%. The company's revenue for the quarter was up 17.7% compared to the same quarter last year. During the same period in the previous year, the company earned $2.71 EPS. On average, equities analysts expect that CDW Corporation will post 10.33 earnings per share for the current year.

CDW Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Wednesday, November 25th will be paid a dividend of $0.68 per share. This represents a $2.72 annualized dividend and a yield of 1.7%. The ex-dividend date of this dividend is Wednesday, November 25th. This is a positive change from CDW's previous quarterly dividend of $0.63. CDW's payout ratio is 30.29%.

Analyst Ratings Changes

CDW has been the subject of a number of research analyst reports. Weiss Ratings upgraded shares of CDW from a "hold (c-)" rating to a "hold (c)" rating in a research note on Tuesday, August 25th. Citigroup boosted their target price on CDW from $150.00 to $170.00 and gave the stock a "neutral" rating in a report on Thursday. Barclays decreased their price target on CDW from $150.00 to $148.00 and set an "equal weight" rating on the stock in a research report on Monday, September 21st. Morgan Stanley raised their price target on CDW from $170.00 to $171.00 and gave the company an "overweight" rating in a report on Thursday, August 6th. Finally, UBS Group increased their target price on CDW from $159.00 to $195.00 and gave the stock a "buy" rating in a report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $167.38.

Trending Headlines about CDW

Here are the key news stories impacting CDW this week:

• Positive Sentiment: CDW reported third-quarter adjusted earnings of $3.26 per share and revenue of $6.75 billion, topping analyst estimates; revenue grew 17.7% year over year. Reports attributed strength to AI infrastructure demand and broader customer demand. Article: CDW Stock Jumps as AI Infrastructure Demand Drives Q3 Beat
• Positive Sentiment: Management’s outlook pointed to low-double-digit 2026 non-GAAP EPS growth and mid- to high-single-digit gross-profit growth, supporting expectations for continued earnings momentum. Article: CDW Signals 2026 EPS Growth and Raises Gross Profit Outlook
• Positive Sentiment: UBS and JPMorgan raised their price targets to $195, with buy and overweight ratings, respectively. Northcoast lifted its target to $204, adding to the favorable analyst sentiment. Article: Northcoast Raises CDW Price Target
• Positive Sentiment: CDW increased its quarterly dividend 7.9% to $0.68 per share, signaling a higher cash return to shareholders. Article: CDW Raises Quarterly Dividend
• Neutral Sentiment: Citigroup raised its target to $170 but maintained a neutral rating, suggesting more measured expectations than the bullish analyst calls. Article: Citi Raises CDW Price Target
• Negative Sentiment: Coverage flagged margin compression and rising expenses despite the sales growth; another report also cautioned that rising debt and shrinking margins complicate the dividend-growth story. These concerns may have weighed on shares after the post-earnings surge. Article: CDW Q3 Earnings Beat Despite Margin Compression

CDW Profile

CDW Corporation NASDAQ: CDW is a provider of technology products and services for business, government, education and healthcare organizations. The company helps customers plan, procure, implement and manage information technology solutions from leading hardware, software and cloud vendors.

Its offerings include computers, servers, networking equipment, data-storage systems, cybersecurity products, collaboration tools, software licensing and cloud solutions. CDW also provides professional and managed services, including technology consulting, infrastructure deployment, cloud management, security support and lifecycle services.

Founded in 1984 as Computer Discount Warehouse, CDW serves customers primarily in the United States, Canada and the United Kingdom through sales teams, digital channels and technology partnerships.

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