CDW (NASDAQ:CDW) Trading Down 9.9% – Should You Sell?

by · The Cerbat Gem

CDW Corporation (NASDAQ:CDW – Get Free Report)’s share price dropped 9.9% on Tuesday . The company traded as low as $140.26 and last traded at $139.55. Approximately 1,696,542 shares were traded during trading, an increase of 27% from the average daily volume of 1,339,269 shares. The stock had previously closed at $154.83.

Analyst Ratings Changes

A number of research analysts recently issued reports on the company. Citigroup boosted their price target on CDW from $180.00 to $200.00 and gave the company a “neutral” rating in a report on Friday, July 11th. Weiss Ratings restated a “hold (c-)” rating on shares of CDW in a report on Thursday, October 30th. UBS Group dropped their price target on CDW from $210.00 to $200.00 and set a “buy” rating for the company in a research note on Thursday, August 7th. Barclays reduced their price objective on shares of CDW from $205.00 to $176.00 and set an “equal weight” rating on the stock in a research report on Thursday, August 7th. Finally, Evercore ISI cut their target price on shares of CDW from $215.00 to $200.00 and set an “outperform” rating on the stock in a research note on Monday, October 20th. Three equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $201.71.

Read Our Latest Research Report on CDW

CDW Price Performance

The company has a current ratio of 1.35, a quick ratio of 1.22 and a debt-to-equity ratio of 2.28. The company has a market cap of $18.56 billion, a PE ratio of 17.59, a P/E/G ratio of 2.65 and a beta of 1.03. The firm has a 50 day moving average of $159.98 and a two-hundred day moving average of $169.06.

CDW (NASDAQ:CDW – Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The information technology services provider reported $2.60 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.49 by $0.11. CDW had a return on equity of 53.63% and a net margin of 4.92%.The firm had revenue of $5.98 billion during the quarter, compared to analyst estimates of $5.51 billion. During the same quarter in the previous year, the firm earned $2.50 EPS. CDW’s quarterly revenue was up 10.2% compared to the same quarter last year. Research analysts predict that CDW Corporation will post 9.41 earnings per share for the current fiscal year.

CDW Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 10th. Investors of record on Monday, August 25th were given a dividend of $0.625 per share. The ex-dividend date of this dividend was Monday, August 25th. This represents a $2.50 annualized dividend and a dividend yield of 1.8%. CDW’s dividend payout ratio (DPR) is 31.06%.

Institutional Trading of CDW

Institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. increased its holdings in shares of CDW by 0.4% in the 1st quarter. Vanguard Group Inc. now owns 16,746,334 shares of the information technology services provider’s stock worth $2,683,767,000 after purchasing an additional 72,550 shares in the last quarter. Select Equity Group L.P. increased its holdings in CDW by 5.6% in the 1st quarter. Select Equity Group L.P. now owns 3,695,937 shares of the information technology services provider’s stock worth $592,311,000 after buying an additional 195,511 shares in the last quarter. Massachusetts Financial Services Co. MA raised its position in CDW by 15.7% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 2,792,934 shares of the information technology services provider’s stock worth $447,596,000 after buying an additional 378,841 shares during the last quarter. Invesco Ltd. lifted its stake in CDW by 1.9% during the 1st quarter. Invesco Ltd. now owns 2,471,963 shares of the information technology services provider’s stock valued at $396,157,000 after acquiring an additional 45,217 shares during the period. Finally, Price T Rowe Associates Inc. MD boosted its holdings in shares of CDW by 444.6% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 1,632,119 shares of the information technology services provider’s stock valued at $261,564,000 after acquiring an additional 1,332,454 shares during the last quarter. 93.15% of the stock is currently owned by hedge funds and other institutional investors.

About CDW

(Get Free Report)

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.

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