CDW (NASDAQ:CDW) Hits New 52-Week High – Here’s Why

CDW Corporation (NASDAQ:CDW)’s stock price hit a new 52-week high during mid-day trading on Thursday. The stock traded as high as $163.03 and last traded at $164.55, with a volume of 838,896 shares. The stock had previously closed at $158.28.

Analyst Upgrades and Downgrades

Several research firms have recently commented on CDW. Morgan Stanley upped their price objective on shares of CDW from $170.00 to $171.00 and gave the company an “overweight” rating in a report on Thursday, August 6th. Barclays cut their target price on shares of CDW from $150.00 to $148.00 and set an “equal weight” rating for the company in a report on Monday, September 21st. Citigroup increased their target price on shares of CDW from $123.00 to $145.00 and gave the stock a “neutral” rating in a research note on Monday, July 13th. Finally, Weiss Ratings raised CDW from a “hold (c-)” rating to a “hold (c)” rating in a report on Tuesday, August 25th. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $150.12.

CDW Price Performance

The stock’s 50-day moving average is $144.83 and its two-hundred day moving average is $135.12. The stock has a market cap of $20.64 billion, a PE ratio of 19.84, a PEG ratio of 2.16 and a beta of 0.95. The company has a debt-to-equity ratio of 1.97, a quick ratio of 1.05 and a current ratio of 1.17.

CDW (NASDAQ:CDW) last announced its earnings results on Wednesday, August 5th. The information technology services provider reported $2.91 earnings per share for the quarter, topping the consensus estimate of $2.80 by $0.11. The firm had revenue of $6.57 billion for the quarter, compared to the consensus estimate of $6.21 billion. CDW had a net margin of 4.60% and a return on equity of 50.61%. The firm’s revenue for the quarter was up 10.0% on a year-over-year basis. During the same period in the prior year, the firm earned $2.60 EPS. On average, equities analysts predict that CDW Corporation will post 10.33 earnings per share for the current year.

CDW Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Investors of record on Tuesday, August 25th were issued a $0.63 dividend. This represents a $2.52 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend was Tuesday, August 25th. CDW’s dividend payout ratio is 30.29%.

Insiders Place Their Bets

In related news, insider Elizabeth Connelly sold 26,695 shares of the stock in a transaction on Friday, August 7th. The shares were sold at an average price of $137.62, for a total value of $3,673,765.90. Following the transaction, the insider directly owned 34,215 shares of the company’s stock, valued at $4,708,668.30. This trade represents a 43.83% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 0.82% of the company’s stock.

Hedge Funds Weigh In On CDW

A number of hedge funds have recently modified their holdings of the business. Kendall Capital Management bought a new stake in shares of CDW in the 2nd quarter worth approximately $3,584,000. Man Group plc bought a new stake in CDW during the 2nd quarter valued at $1,262,000. Pzena Investment Management LLC bought a new position in CDW in the 2nd quarter valued at about $371,135,000. Raiffeisen Bank International AG lifted its stake in shares of CDW by 17,453.5% in the 2nd quarter. Raiffeisen Bank International AG now owns 15,096 shares of the information technology services provider’s stock worth $2,111,000 after acquiring an additional 15,010 shares during the period. Finally, Jupiter Topco LLC bought a new position in CDW during the 2nd quarter valued at $300,073,000. 93.15% of the stock is currently owned by hedge funds and other institutional investors.

About CDW

CDW Corporation (NASDAQ: CDW) is a provider of technology products and services for business, government, education and healthcare organizations. The company helps customers plan, procure, implement and manage information technology solutions from leading hardware, software and cloud vendors.

Its offerings include computers, servers, networking equipment, data-storage systems, cybersecurity products, collaboration tools, software licensing and cloud solutions. CDW also provides professional and managed services, including technology consulting, infrastructure deployment, cloud management, security support and lifecycle services.

Founded in 1984 as Computer Discount Warehouse, CDW serves customers primarily in the United States, Canada and the United Kingdom through sales teams, digital channels and technology partnerships.