CDW (NASDAQ:CDW) Shares Gap Down – What’s Next?

CDW Co. (NASDAQ:CDW) shares gapped down prior to trading on Wednesday . The stock had previously closed at $219.90, but opened at $200.21. CDW shares last traded at $203.47, with a volume of 198,719 shares traded.

Wall Street Analysts Forecast Growth

Several research analysts have commented on CDW shares. JPMorgan Chase & Co. lowered shares of CDW from an “overweight” rating to a “neutral” rating and dropped their price objective for the stock from $260.00 to $235.00 in a research note on Monday. Citigroup downgraded CDW from a “buy” rating to a “neutral” rating and decreased their target price for the stock from $250.00 to $245.00 in a research report on Tuesday, October 1st. Stifel Nicolaus upped their price target on shares of CDW from $250.00 to $260.00 and gave the stock a “buy” rating in a report on Wednesday, July 17th. Finally, Barclays decreased their price objective on shares of CDW from $232.00 to $229.00 and set an “equal weight” rating for the company in a report on Thursday, August 1st. Four equities research analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $250.71.

CDW Stock Down 8.8 %

The company has a current ratio of 1.13, a quick ratio of 1.02 and a debt-to-equity ratio of 2.03. The business has a 50-day moving average price of $221.46 and a 200-day moving average price of $224.17. The firm has a market cap of $26.96 billion, a P/E ratio of 25.51, a P/E/G ratio of 3.42 and a beta of 1.03.

CDW (NASDAQ:CDW) last issued its earnings results on Wednesday, July 31st. The information technology services provider reported $2.34 EPS for the quarter, missing analysts’ consensus estimates of $2.39 by ($0.05). CDW had a net margin of 5.29% and a return on equity of 62.22%. The firm had revenue of $5.42 billion during the quarter, compared to analysts’ expectations of $5.43 billion. During the same quarter in the prior year, the company earned $2.43 EPS. CDW’s quarterly revenue was down 3.6% on a year-over-year basis. On average, equities analysts forecast that CDW Co. will post 9.4 EPS for the current fiscal year.

CDW Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, December 10th. Shareholders of record on Monday, November 25th will be issued a $0.625 dividend. This is an increase from CDW’s previous quarterly dividend of $0.62. This represents a $2.50 dividend on an annualized basis and a yield of 1.25%. CDW’s payout ratio is presently 30.96%.

Insiders Place Their Bets

In other CDW news, insider Christine A. Leahy acquired 1,200 shares of the business’s stock in a transaction dated Thursday, August 1st. The stock was acquired at an average cost of $216.15 per share, for a total transaction of $259,380.00. Following the completion of the transaction, the insider now directly owns 102,200 shares of the company’s stock, valued at $22,090,530. This represents a 0.00 % increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.90% of the company’s stock.

Institutional Investors Weigh In On CDW

Several large investors have recently bought and sold shares of the company. ORG Partners LLC purchased a new position in shares of CDW in the second quarter worth about $34,000. Quest Partners LLC purchased a new stake in CDW in the 2nd quarter valued at $35,000. Canoe Financial LP purchased a new position in CDW during the third quarter worth about $37,000. Fortitude Family Office LLC grew its position in CDW by 350.0% in the third quarter. Fortitude Family Office LLC now owns 171 shares of the information technology services provider’s stock worth $39,000 after acquiring an additional 133 shares during the period. Finally, Summit Securities Group LLC purchased a new stake in CDW in the 2nd quarter valued at about $40,000. 93.15% of the stock is currently owned by hedge funds and other institutional investors.

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.