CDW Co. (NASDAQ:CDW) Declares $0.62 Quarterly Dividend

CDW Co. (NASDAQ:CDW - Get Free Report) declared a quarterly dividend on Wednesday, May 1st, RTT News reports. Stockholders of record on Friday, May 24th will be given a dividend of 0.62 per share by the information technology services provider on Tuesday, June 11th. This represents a $2.48 dividend on an annualized basis and a dividend yield of 1.16%.

CDW has increased its dividend payment by an average of 15.8% annually over the last three years and has increased its dividend annually for the last 10 consecutive years. CDW has a dividend payout ratio of 21.5% indicating that its dividend is sufficiently covered by earnings. Research analysts expect CDW to earn $10.75 per share next year, which means the company should continue to be able to cover its $2.48 annual dividend with an expected future payout ratio of 23.1%.

CDW Price Performance

Shares of NASDAQ:CDW traded down $27.25 during trading on Wednesday, reaching $214.61. The stock had a trading volume of 2,421,992 shares, compared to its average volume of 714,849. CDW has a 52 week low of $162.59 and a 52 week high of $263.37. The business's 50-day moving average price is $247.34 and its 200 day moving average price is $229.26. The company has a debt-to-equity ratio of 2.46, a current ratio of 1.23 and a quick ratio of 1.11. The stock has a market capitalization of $28.84 billion, a PE ratio of 27.17, a P/E/G ratio of 2.78 and a beta of 1.09.

CDW (NASDAQ:CDW - Get Free Report) last posted its earnings results on Wednesday, February 7th. The information technology services provider reported $2.57 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.56 by $0.01. CDW had a net margin of 5.17% and a return on equity of 73.93%. The company had revenue of $5.02 billion during the quarter, compared to analysts' expectations of $5.32 billion. During the same quarter in the previous year, the company posted $2.40 earnings per share. CDW's quarterly revenue was down 7.7% compared to the same quarter last year. As a group, equities analysts predict that CDW will post 9.89 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on the stock. Barclays raised their price target on shares of CDW from $219.00 to $261.00 and gave the company an "equal weight" rating in a report on Thursday, February 8th. Evercore ISI lifted their target price on shares of CDW from $250.00 to $300.00 and gave the stock an "outperform" rating in a report on Friday, March 22nd. Citigroup lifted their target price on shares of CDW from $255.00 to $295.00 and gave the stock a "buy" rating in a report on Thursday, April 4th. Finally, JPMorgan Chase & Co. lifted their target price on shares of CDW from $267.00 to $280.00 and gave the stock an "overweight" rating in a report on Thursday, April 11th. Three equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to MarketBeat.com, CDW currently has an average rating of "Moderate Buy" and an average price target of $242.67.

CDW announced that its Board of Directors has authorized a share repurchase plan on Wednesday, February 7th that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the information technology services provider to buy up to 2.4% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's board of directors believes its stock is undervalued.

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.