CDW Co. (NASDAQ:CDW) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of CDW Co. (NASDAQ:CDW) have been assigned an average rating of “Moderate Buy” from the nine ratings firms that are currently covering the stock, MarketBeat reports. Four research analysts have rated the stock with a hold recommendation and five have issued a buy recommendation on the company. The average 12-month price target among brokers that have updated their coverage on the stock in the last year is $242.67.

Several research analysts have commented on CDW shares. UBS Group cut their price target on shares of CDW from $233.00 to $220.00 and set a “buy” rating for the company in a report on Tuesday, January 7th. Redburn Atlantic started coverage on shares of CDW in a report on Friday, November 15th. They issued a “buy” rating and a $230.00 price target for the company. Morgan Stanley raised their price target on shares of CDW from $193.00 to $201.00 and gave the company an “equal weight” rating in a report on Thursday, February 6th. Finally, Barclays lifted their price objective on shares of CDW from $201.00 to $223.00 and gave the stock an “equal weight” rating in a report on Thursday, February 6th.

Institutional Trading of CDW

Several hedge funds have recently added to or reduced their stakes in the business. Universal Beteiligungs und Servicegesellschaft mbH bought a new stake in CDW in the fourth quarter worth $23,999,000. Azzad Asset Management Inc. ADV increased its position in shares of CDW by 41.7% in the fourth quarter. Azzad Asset Management Inc. ADV now owns 7,903 shares of the information technology services provider’s stock valued at $1,375,000 after acquiring an additional 2,325 shares during the period. Jefferies Financial Group Inc. purchased a new position in shares of CDW in the fourth quarter valued at about $3,874,000. Pullen Investment Management LLC purchased a new position in shares of CDW in the fourth quarter valued at about $1,068,000. Finally, Mackenzie Financial Corp increased its position in shares of CDW by 19.6% in the fourth quarter. Mackenzie Financial Corp now owns 23,693 shares of the information technology services provider’s stock valued at $4,124,000 after acquiring an additional 3,883 shares during the period. 93.15% of the stock is owned by institutional investors.

CDW Stock Down 0.4 %

CDW stock opened at $178.20 on Friday. The firm has a 50 day simple moving average of $186.80 and a 200 day simple moving average of $198.94. The company has a current ratio of 1.35, a quick ratio of 1.24 and a debt-to-equity ratio of 2.38. CDW has a 1-year low of $168.43 and a 1-year high of $263.37. The firm has a market capitalization of $23.61 billion, a price-to-earnings ratio of 22.36, a P/E/G ratio of 3.21 and a beta of 1.01.

CDW (NASDAQ:CDW) last announced its quarterly earnings results on Wednesday, February 5th. The information technology services provider reported $2.40 EPS for the quarter, beating the consensus estimate of $2.33 by $0.07. CDW had a net margin of 5.13% and a return on equity of 55.42%. On average, analysts predict that CDW will post 9.41 earnings per share for the current year.

CDW Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 11th. Shareholders of record on Tuesday, February 25th will be paid a $0.625 dividend. This represents a $2.50 annualized dividend and a yield of 1.40%. The ex-dividend date of this dividend is Tuesday, February 25th. CDW’s dividend payout ratio is presently 31.37%.

CDW announced that its board has authorized a stock repurchase program on Wednesday, February 5th that allows the company to repurchase $750.00 million in shares. This repurchase authorization allows the information technology services provider to repurchase up to 2.7% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s leadership 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.