CDW (NASDAQ:CDW) Lowered to “Neutral” at Citigroup

by · The Cerbat Gem

Citigroup cut shares of CDW (NASDAQ:CDW – Free Report) from a buy rating to a neutral rating in a report issued on Tuesday, Marketbeat.com reports. Citigroup currently has $245.00 price objective on the information technology services provider’s stock, down from their previous price objective of $250.00.

CDW has been the subject of several other reports. Stifel Nicolaus lifted their price target on CDW from $250.00 to $260.00 and gave the stock a buy rating in a report on Wednesday, July 17th. Northcoast Research upgraded shares of CDW from a neutral rating to a buy rating and set a $270.00 target price on the stock in a research report on Friday, June 7th. Finally, Barclays reduced their price target on CDW from $232.00 to $229.00 and set an equal weight rating on the stock in a research report on Thursday, August 1st. Four equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, CDW presently has an average rating of Moderate Buy and a consensus target price of $255.00.

Get Our Latest Report on CDW

CDW Stock Performance

CDW opened at $221.69 on Tuesday. The company has a quick ratio of 1.02, a current ratio of 1.13 and a debt-to-equity ratio of 2.03. The stock has a market cap of $29.79 billion, a price-to-earnings ratio of 27.63, a PEG ratio of 3.40 and a beta of 1.03. CDW has a 12-month low of $185.04 and a 12-month high of $263.37. The business has a 50 day moving average of $220.40 and a 200-day moving average of $228.55.

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

CDW Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 10th. Shareholders of record on Monday, August 26th were paid a $0.62 dividend. This represents a $2.48 annualized dividend and a yield of 1.12%. The ex-dividend date was Monday, August 26th. CDW’s dividend payout ratio (DPR) is currently 30.96%.

Insider Activity

In other news, insider Christine A. Leahy purchased 1,200 shares of the company’s stock in a transaction that occurred on Thursday, August 1st. The shares were acquired at an average cost of $216.15 per share, with a total value of $259,380.00. Following the purchase, the insider now owns 102,200 shares in the company, valued at $22,090,530. This represents a 0.00 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. In related news, insider Sona Chawla sold 18,437 shares of CDW stock in a transaction that occurred on Tuesday, July 16th. The stock was sold at an average price of $240.45, for a total transaction of $4,433,176.65. Following the transaction, the insider now owns 22,428 shares of the company’s stock, valued at $5,392,812.60. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Christine A. Leahy purchased 1,200 shares of the company’s stock in a transaction that occurred on Thursday, August 1st. The shares were purchased 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 disclosure for this purchase can be found here. Company insiders own 0.90% of the company’s stock.

Institutional Trading of CDW

Hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. grew its stake in CDW by 4.6% in the 1st quarter. Vanguard Group Inc. now owns 16,407,542 shares of the information technology services provider’s stock valued at $4,196,721,000 after buying an additional 714,393 shares in the last quarter. Wellington Management Group LLP boosted its holdings in shares of CDW by 29.1% in the fourth quarter. Wellington Management Group LLP now owns 3,464,886 shares of the information technology services provider’s stock worth $787,638,000 after acquiring an additional 781,421 shares during the period. Mawer Investment Management Ltd. grew its position in shares of CDW by 0.9% in the first quarter. Mawer Investment Management Ltd. now owns 3,101,924 shares of the information technology services provider’s stock valued at $793,410,000 after purchasing an additional 27,753 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. raised its stake in shares of CDW by 3.7% during the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 1,431,573 shares of the information technology services provider’s stock valued at $366,168,000 after purchasing an additional 51,450 shares during the period. Finally, Dimensional Fund Advisors LP raised its stake in shares of CDW by 11.0% during the 2nd quarter. Dimensional Fund Advisors LP now owns 1,292,674 shares of the information technology services provider’s stock valued at $289,357,000 after purchasing an additional 128,263 shares during the period. 93.15% of the stock is currently owned by institutional investors.

CDW Company Profile

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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.

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