StockNews.com Initiates Coverage on CDW (NASDAQ:CDW)

StockNews.com assumed coverage on shares of CDW (NASDAQ:CDW – Get Rating) in a research note published on Thursday morning. The firm issued a hold rating on the information technology services provider’s stock.

A number of other brokerages have also weighed in on CDW. Citigroup increased their target price on CDW from $210.00 to $230.00 and gave the stock a buy rating in a research note on Thursday, February 9th. Raymond James increased their target price on CDW from $200.00 to $220.00 and gave the stock an outperform rating in a research note on Thursday, February 9th. Credit Suisse Group increased their target price on CDW from $220.00 to $230.00 and gave the stock an outperform rating in a research note on Thursday, February 9th. JPMorgan Chase & Co. increased their target price on CDW from $215.00 to $225.00 and gave the stock an overweight rating in a research note on Tuesday, December 20th. Finally, Morgan Stanley increased their target price on CDW from $217.00 to $228.00 and gave the stock an overweight rating in a research note on Thursday, February 9th. One research analyst has rated the stock with a hold rating and eight have issued a buy rating to the stock. According to MarketBeat, the company has a consensus rating of Moderate Buy and an average price target of $221.86.

CDW Price Performance

NASDAQ:CDW opened at $188.05 on Thursday. The company has a quick ratio of 1.17, a current ratio of 1.33 and a debt-to-equity ratio of 3.66. The stock’s 50 day moving average price is $199.07 and its two-hundred day moving average price is $182.86. The firm has a market capitalization of $25.50 billion, a price-to-earnings ratio of 23.13, a P/E/G ratio of 1.50 and a beta of 1.13. CDW has a 12-month low of $147.91 and a 12-month high of $215.00.

CDW (NASDAQ:CDW – Get Rating) last released its quarterly earnings data on Wednesday, February 8th. The information technology services provider reported $2.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.48 by $0.02. The firm had revenue of $5.44 billion for the quarter, compared to analyst estimates of $6.19 billion. CDW had a return on equity of 103.95% and a net margin of 4.69%. The business’s revenue for the quarter was down 1.8% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.98 earnings per share. On average, analysts anticipate that CDW will post 9.87 earnings per share for the current year.

CDW Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, March 10th. Shareholders of record on Friday, February 24th were issued a $0.59 dividend. This represents a $2.36 dividend on an annualized basis and a dividend yield of 1.25%. The ex-dividend date was Thursday, February 23rd. CDW’s dividend payout ratio is presently 29.03%.

CDW announced that its Board of Directors has authorized a share buyback plan on Wednesday, February 8th that allows the company to repurchase $750.00 million in outstanding shares. This repurchase authorization allows the information technology services provider to buy up to 2.8% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board believes its stock is undervalued.

Insider Buying and Selling at CDW

In other CDW news, Director Donna F. Zarcone sold 4,703 shares of the firm’s stock in a transaction on Thursday, February 9th. The stock was sold at an average price of $203.23, for a total value of $955,790.69. Following the sale, the director now owns 18,058 shares of the company’s stock, valued at approximately $3,669,927.34. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Company insiders own 0.67% of the company’s stock.

Institutional Investors Weigh In On CDW

A number of large investors have recently modified their holdings of the business. Vanguard Group Inc. boosted its holdings in shares of CDW by 0.8% during the 3rd quarter. Vanguard Group Inc. now owns 16,072,467 shares of the information technology services provider’s stock valued at $2,508,590,000 after acquiring an additional 120,738 shares in the last quarter. State Street Corp boosted its holdings in shares of CDW by 0.5% during the 3rd quarter. State Street Corp now owns 5,128,543 shares of the information technology services provider’s stock valued at $800,463,000 after acquiring an additional 26,442 shares in the last quarter. FMR LLC boosted its holdings in shares of CDW by 89.8% during the 2nd quarter. FMR LLC now owns 4,868,526 shares of the information technology services provider’s stock valued at $767,086,000 after acquiring an additional 2,303,669 shares in the last quarter. Geode Capital Management LLC boosted its holdings in shares of CDW by 2.8% during the 4th quarter. Geode Capital Management LLC now owns 2,817,597 shares of the information technology services provider’s stock valued at $502,267,000 after acquiring an additional 77,555 shares in the last quarter. Finally, Morgan Stanley boosted its holdings in shares of CDW by 130.7% during the 4th quarter. Morgan Stanley now owns 2,442,301 shares of the information technology services provider’s stock valued at $436,146,000 after acquiring an additional 1,383,869 shares in the last quarter. Institutional investors and hedge funds own 92.78% of the company’s stock.

CDW Company Profile

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CDW Corp. engages in the provision of information technology solutions to small, medium, and large business, government, education, and healthcare customers. It operates through the following segments: Corporate, Small Business, Public, and Other. The Public segment includes government agencies and education and healthcare institutions.