Retirement Systems of Alabama Reduces Stock Position in CDW Co. (NASDAQ:CDW)

Retirement Systems of Alabama decreased its position in CDW Co. (NASDAQ:CDW) by 2.6% during the fourth quarter, Holdings Channel.com reports. The fund owned 29,523 shares of the information technology services provider’s stock after selling 787 shares during the quarter. Retirement Systems of Alabama’s holdings in CDW were worth $6,711,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently modified their holdings of the company. Raymond James Financial Services Advisors Inc. grew its stake in shares of CDW by 3.4% in the 3rd quarter. Raymond James Financial Services Advisors Inc. now owns 42,212 shares of the information technology services provider’s stock worth $8,517,000 after buying an additional 1,406 shares during the last quarter. Verdence Capital Advisors LLC grew its stake in shares of CDW by 3.5% in the third quarter. Verdence Capital Advisors LLC now owns 16,127 shares of the information technology services provider’s stock worth $3,254,000 after acquiring an additional 547 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank increased its holdings in shares of CDW by 9.4% during the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 23,825 shares of the information technology services provider’s stock valued at $4,807,000 after acquiring an additional 2,044 shares in the last quarter. Oak Asset Management LLC purchased a new position in shares of CDW in the 3rd quarter worth about $203,000. Finally, Strs Ohio boosted its stake in CDW by 4.9% in the 3rd quarter. Strs Ohio now owns 7,804 shares of the information technology services provider’s stock worth $1,574,000 after purchasing an additional 361 shares in the last quarter. 93.15% of the stock is owned by institutional investors.

CDW Stock Performance

Shares of NASDAQ:CDW opened at $219.56 on Friday. The company has a current ratio of 1.26, a quick ratio of 1.11 and a debt-to-equity ratio of 2.35. CDW Co. has a 12 month low of $162.59 and a 12 month high of $263.37. The company has a market capitalization of $29.51 billion, a price-to-earnings ratio of 27.41, a PEG ratio of 2.47 and a beta of 1.09. The firm’s 50-day moving average is $245.67 and its 200 day moving average is $229.30.

CDW (NASDAQ:CDW) last issued 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 5.16% and a return on equity of 67.56%. The firm had revenue of $5.02 billion during the quarter, compared to analyst estimates of $5.32 billion. During the same period in the previous year, the firm earned $2.40 earnings per share. The business’s revenue was down 7.7% on a year-over-year basis. Research analysts predict that CDW Co. will post 9.89 EPS for the current year.

CDW Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, June 11th. Shareholders of record on Friday, May 24th will be issued a dividend of $0.62 per share. This represents a $2.48 annualized dividend and a yield of 1.13%. The ex-dividend date is Thursday, May 23rd. CDW’s payout ratio is 30.96%.

CDW announced that its board has authorized a share repurchase program on Wednesday, February 7th that authorizes the company to buyback $750.00 million in shares. This buyback authorization authorizes the information technology services provider to reacquire up to 2.4% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

A number of equities analysts recently weighed in on CDW shares. JPMorgan Chase & Co. decreased their price objective on shares of CDW from $280.00 to $265.00 and set an “overweight” rating for the company in a report on Thursday. Citigroup lowered their price target on CDW from $295.00 to $260.00 and set a “buy” rating on the stock in a report on Thursday. Evercore ISI increased their price objective on CDW from $250.00 to $300.00 and gave the company an “outperform” rating in a research report on Friday, March 22nd. Stifel Nicolaus decreased their target price on CDW from $265.00 to $250.00 and set a “buy” rating for the company in a research report on Thursday. Finally, Barclays dropped their price target on shares of CDW from $261.00 to $232.00 and set an “equal weight” rating on the stock in a report on Thursday. Three analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. Based on data from MarketBeat.com, CDW has an average rating of “Moderate Buy” and an average target price of $247.50.

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.