CDW Corporation (NASDAQ:CDW) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

CDW Corporation (NASDAQ:CDW) has earned an average recommendation of “Moderate Buy” from the eight brokerages that are currently covering the stock, Marketbeat reports. Five investment analysts have rated the stock with a hold rating, two have given a buy rating and one has given a strong buy rating to the company. The average 12-month target price among brokerages that have issued a report on the stock in the last year is $171.00.

A number of brokerages have commented on CDW. Evercore ISI reaffirmed an “outperform” rating and set a $180.00 target price on shares of CDW in a report on Tuesday. Morgan Stanley downgraded shares of CDW from an “overweight” rating to an “equal weight” rating and cut their price objective for the company from $177.00 to $141.00 in a research report on Tuesday. UBS Group decreased their target price on CDW from $200.00 to $190.00 and set a “buy” rating on the stock in a report on Wednesday, November 5th. Raymond James Financial upgraded CDW from an “outperform” rating to a “strong-buy” rating and set a $185.00 target price on the stock in a research report on Tuesday, November 25th. Finally, Citigroup reduced their price target on CDW from $160.00 to $148.00 and set a “neutral” rating for the company in a research report on Tuesday.

CDW Stock Down 5.3%

CDW stock opened at $124.76 on Wednesday. The company has a market cap of $16.24 billion, a price-to-earnings ratio of 15.75, a P/E/G ratio of 1.72 and a beta of 1.08. The company has a debt-to-equity ratio of 2.21, a quick ratio of 1.30 and a current ratio of 1.39. The business’s 50-day moving average is $139.84 and its two-hundred day moving average is $155.41. CDW has a fifty-two week low of $124.08 and a fifty-two week high of $222.92.

CDW (NASDAQ:CDW) last released its quarterly earnings results on Tuesday, November 4th. The information technology services provider reported $2.71 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.62 by $0.09. CDW had a return on equity of 51.89% and a net margin of 4.76%.The business had revenue of $5.74 billion during the quarter, compared to the consensus estimate of $5.75 billion. As a group, analysts forecast that CDW will post 9.41 earnings per share for the current year.

CDW Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, December 10th. Investors of record on Tuesday, November 25th were issued a $0.63 dividend. The ex-dividend date of this dividend was Tuesday, November 25th. This represents a $2.52 annualized dividend and a yield of 2.0%. This is a positive change from CDW’s previous quarterly dividend of $0.63. CDW’s payout ratio is currently 31.82%.

Insider Buying and Selling

In other CDW news, insider Sona Chawla sold 7,400 shares of CDW stock in a transaction that occurred on Monday, December 8th. The shares were sold at an average price of $146.17, for a total transaction of $1,081,658.00. Following the transaction, the insider owned 28,110 shares of the company’s stock, valued at $4,108,838.70. The trade was a 20.84% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.90% of the company’s stock.

Institutional Trading of CDW

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Root Financial Partners LLC bought a new stake in shares of CDW during the 3rd quarter valued at $26,000. Quent Capital LLC bought a new stake in CDW during the third quarter valued at about $57,000. eCIO Inc. bought a new stake in CDW during the fourth quarter valued at about $61,000. Covestor Ltd lifted its position in shares of CDW by 87.9% in the third quarter. Covestor Ltd now owns 483 shares of the information technology services provider’s stock valued at $77,000 after acquiring an additional 226 shares in the last quarter. Finally, American National Bank & Trust bought a new position in shares of CDW in the fourth quarter worth about $110,000. 93.15% of the stock is owned by hedge funds and other 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.