CDW (NASDAQ:CDW) Issues Earnings Results

CDW (NASDAQ:CDW) announced its quarterly earnings results on Wednesday. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.33 by $0.07, Zacks reports. CDW had a return on equity of 58.31% and a net margin of 5.33%.

CDW Trading Down 3.3 %

Shares of CDW stock traded down $6.79 on Thursday, reaching $199.35. 131,411 shares of the stock were exchanged, compared to its average volume of 1,397,158. The stock has a market cap of $26.56 billion, a PE ratio of 24.45, a P/E/G ratio of 5.39 and a beta of 1.01. CDW has a one year low of $168.43 and a one year high of $263.37. The company has a debt-to-equity ratio of 2.39, a current ratio of 1.40 and a quick ratio of 1.28. The stock has a 50 day moving average price of $183.08 and a 200 day moving average price of $202.65.

CDW Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 11th. Shareholders of record on Tuesday, February 25th will be given a $0.625 dividend. This represents a $2.50 annualized dividend and a yield of 1.25%. CDW’s payout ratio is 30.56%.

Analyst Ratings Changes

Several analysts have recently weighed in on CDW shares. UBS Group cut their price objective on CDW from $233.00 to $220.00 and set a “buy” rating for the company in a report on Tuesday, January 7th. Barclays increased their price target on CDW from $201.00 to $223.00 and gave the company an “equal weight” rating in a research report on Thursday. Redburn Atlantic initiated coverage on CDW in a research report on Friday, November 15th. They issued a “buy” rating and a $230.00 price target for the company. Morgan Stanley raised their price objective on CDW from $193.00 to $201.00 and gave the stock an “equal weight” rating in a research report on Thursday. Finally, JPMorgan Chase & Co. lowered CDW from an “overweight” rating to a “neutral” rating and decreased their price objective for the stock from $260.00 to $235.00 in a research report on Monday, October 28th. Four research analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $242.67.

CDW declared that its Board of Directors has initiated a stock buyback plan 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 buy up to 2.7% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board 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.