CDW - CDW Corporation | StockAlert.pro

Stock Details

CDW Corporation (CDW), a prominent company in the trade & services sector within the retail-catalog & mail-order houses industry, is based in USA and primarily trades on the NASDAQ.Currently, the stock is trading at $181.14. Over the past 52 weeks, it has ranged between $136.84 and $234.42. This places the current price at 77.3% of its 52-week high and 32.4% above its 52-week low. Recent trading volume was recorded at 631,840. The International Securities Identification Number (ISIN) for this stock is US12514G1085.

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

21.98

Near market average

Forward P/E

18.52

Earnings expected to grow

PEG Ratio

1.53

Reasonably valued

Price to Book

10.06

EV/EBITDA

14.58

EPS (TTM)

$8.07

Price to Sales

1.09

Beta

0.94

Less volatile than market

How is CDW valued relative to its earnings and growth?

CDW Corporation trades at a P/E ratio of 21.98, which is near the market average of approximately 20, suggesting the market views it as fairly valued relative to its earnings. Looking ahead, the forward P/E of 18.52 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 1.53 indicates reasonable value when growth is considered.

What is CDW's risk profile compared to the market?

With a beta of 0.94, CDW Corporation is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 10.06 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Performance & Growth

Profit Margin

5.10%

Operating Margin

6.95%

Return on Equity

48.70%

Return on Assets

7.55%

Revenue Growth (YoY)

6.70%

Earnings Growth (YoY)

6.30%

How profitable and efficient is CDW's business model?

CDW Corporation achieves a profit margin of 5.10%, meaning it retains $5.10 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 6.95% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 48.70% and ROA at 7.55%, the company generates strong returns on invested capital.

What are CDW's recent growth trends?

CDW Corporation's revenue grew by 6.70% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings increased by 6.30% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against RETAIL-CATALOG & MAIL-ORDER HOUSES industry averages for proper context.

Dividend Information

Dividend Per Share

$2.49

Dividend Yield

1.41%

Ex-Dividend Date

5/23/2025

Dividend Date

6/10/2025

What dividend income can investors expect from CDW?

CDW Corporation offers a dividend yield of 1.41%, paying $2.49 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of 5/23/2025.

How reliable is CDW's dividend for long-term investors?

The dividend sustainability can be assessed through the payout ratio - CDW Corporation pays $2.49 per share in dividends against earnings of $8.07 per share, resulting in a payout ratio of 30.86%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 6/10/2025.

Company Size & Market

Shares Outstanding

131.69M

Book Value/Share

$17.64

Asset Type

Common Stock

What is CDW's market capitalization and position?

CDW Corporation has a market capitalization of $23.36B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 131.69M shares outstanding, the company's ownership is relatively concentrated. As a participant in the RETAIL-CATALOG & MAIL-ORDER HOUSES industry, it competes with other firms in this sector.

How does CDW's price compare to its book value?

CDW Corporation's book value per share is $17.64, while the current stock price is $181.14, resulting in a price-to-book (P/B) ratio of 10.27. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

Analyst Ratings

Analyst Target Price

$208.83

15.29% upside potential

Analyst Recommendations

Strong Buy

Buy

Hold

Sell

Strong Sell

How reliable are analyst predictions for CDW?

12 analysts cover CDW with 67% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $208.83 implies 15.3% upside, but targets are often adjusted to follow price moves rather than predict them.

What is the Wall Street consensus on CDW?

Current analyst recommendations:3 Strong Buy, 5 Buy, 4 Hold, 00The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Jul 1, 2025, 02:18 AM

CDW Corporation (CDW) Stock