CDW (NASDAQ:CDW) Reaches New 12-Month Low – Here’s What Happened

CDW Co. (NASDAQ:CDW)’s stock price reached a new 52-week low on Tuesday . The stock traded as low as $174.41 and last traded at $174.95, with a volume of 261391 shares changing hands. The stock had previously closed at $178.07.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. Citigroup lowered shares of CDW from a “buy” rating to a “neutral” rating and dropped their price target for the stock from $250.00 to $245.00 in a research report on Tuesday, October 1st. Barclays cut their target price on shares of CDW from $229.00 to $201.00 and set an “equal weight” rating for the company in a research note on Thursday, October 31st. JPMorgan Chase & Co. lowered CDW from an “overweight” rating to a “neutral” rating and dropped their price objective for the company from $260.00 to $235.00 in a research note on Monday, October 28th. Finally, Redburn Atlantic began coverage on CDW in a research note on Friday, November 15th. They set a “buy” rating and a $230.00 target price for the company. Four analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $244.63.

CDW Price Performance

The company has a current ratio of 1.40, a quick ratio of 1.28 and a debt-to-equity ratio of 2.39. The company has a 50 day moving average of $211.13 and a 200-day moving average of $219.03. The firm has a market capitalization of $23.45 billion, a P/E ratio of 21.51, a P/E/G ratio of 4.96 and a beta of 1.05.

CDW (NASDAQ:CDW) last announced its earnings results on Wednesday, October 30th. The information technology services provider reported $2.63 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.68 by ($0.05). CDW had a net margin of 5.33% and a return on equity of 58.31%. The business had revenue of $5.52 billion during the quarter, compared to the consensus estimate of $5.72 billion. During the same period in the previous year, the firm posted $2.60 EPS. The company’s revenue was down 2.0% compared to the same quarter last year. On average, sell-side analysts predict that CDW Co. will post 9.05 EPS for the current year.

CDW Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 10th. Stockholders of record on Monday, November 25th will be issued a $0.625 dividend. The ex-dividend date is Monday, November 25th. This represents a $2.50 dividend on an annualized basis and a dividend yield of 1.42%. This is a boost from CDW’s previous quarterly dividend of $0.62. CDW’s dividend payout ratio is 30.56%.

Institutional Trading of CDW

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Massachusetts Financial Services Co. MA acquired a new position in shares of CDW in the third quarter valued at approximately $416,111,000. Janus Henderson Group PLC increased its position in CDW by 7,029.1% in the 3rd quarter. Janus Henderson Group PLC now owns 1,466,597 shares of the information technology services provider’s stock valued at $331,891,000 after acquiring an additional 1,446,025 shares during the period. Holocene Advisors LP acquired a new position in shares of CDW during the third quarter worth $172,217,000. Perpetual Ltd bought a new stake in shares of CDW in the third quarter worth $158,300,000. Finally, Lazard Asset Management LLC increased its holdings in CDW by 225.9% in the first quarter. Lazard Asset Management LLC now owns 881,586 shares of the information technology services provider’s stock valued at $225,491,000 after purchasing an additional 611,054 shares during the period. Institutional investors own 93.15% of the company’s stock.

About CDW

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.