Zacks Research Estimates CDW’s Q2 Earnings (NASDAQ:CDW)

CDW Co. (NASDAQ:CDW) – Equities research analysts at Zacks Research reduced their Q2 2025 earnings per share estimates for shares of CDW in a report issued on Wednesday, February 26th. Zacks Research analyst R. Department now expects that the information technology services provider will earn $2.43 per share for the quarter, down from their previous estimate of $2.53. The consensus estimate for CDW’s current full-year earnings is $9.41 per share.

CDW (NASDAQ:CDW) last issued its quarterly earnings data on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.33 by $0.07. CDW had a return on equity of 55.42% and a net margin of 5.13%.

CDW has been the topic of a number of other research reports. UBS Group dropped their price objective on CDW from $233.00 to $220.00 and set a “buy” rating on the stock in a report on Tuesday, January 7th. Redburn Atlantic started coverage on CDW in a report on Friday, November 15th. They set a “buy” rating and a $230.00 price objective on the stock. Barclays increased their price objective on CDW from $201.00 to $223.00 and gave the stock an “equal weight” rating in a report on Thursday, February 6th. Finally, Morgan Stanley raised their price target on CDW from $193.00 to $201.00 and gave the company an “equal weight” rating in a report on Thursday, February 6th. Four investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $242.67.

CDW Stock Performance

Shares of CDW opened at $172.50 on Monday. The stock’s 50-day simple moving average is $186.80 and its 200 day simple moving average is $198.81. The stock has a market capitalization of $22.85 billion, a price-to-earnings ratio of 21.64, a price-to-earnings-growth ratio of 3.21 and a beta of 1.01. The company has a debt-to-equity ratio of 2.38, a quick ratio of 1.24 and a current ratio of 1.35. CDW has a 52-week low of $168.43 and a 52-week high of $263.37.

Hedge Funds Weigh In On CDW

A number of large investors have recently modified their holdings of the company. Vanguard Group Inc. raised its holdings in shares of CDW by 0.6% during the 4th quarter. Vanguard Group Inc. now owns 16,673,784 shares of the information technology services provider’s stock valued at $2,901,905,000 after buying an additional 99,947 shares in the last quarter. State Street Corp raised its holdings in shares of CDW by 1.1% during the 3rd quarter. State Street Corp now owns 5,719,348 shares of the information technology services provider’s stock valued at $1,294,288,000 after buying an additional 64,702 shares in the last quarter. Geode Capital Management LLC raised its holdings in shares of CDW by 1.6% during the 4th quarter. Geode Capital Management LLC now owns 3,535,405 shares of the information technology services provider’s stock valued at $614,220,000 after buying an additional 54,341 shares in the last quarter. Wellington Management Group LLP raised its holdings in shares of CDW by 29.2% during the 4th quarter. Wellington Management Group LLP now owns 2,538,775 shares of the information technology services provider’s stock valued at $441,848,000 after buying an additional 574,444 shares in the last quarter. Finally, Invesco Ltd. raised its holdings in shares of CDW by 27.6% during the 4th quarter. Invesco Ltd. now owns 2,426,746 shares of the information technology services provider’s stock valued at $422,351,000 after buying an additional 524,559 shares in the last quarter. 93.15% of the stock is owned by hedge funds and other institutional investors.

CDW Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 11th. Shareholders of record on Tuesday, February 25th will be issued a $0.625 dividend. The ex-dividend date of this dividend is Tuesday, February 25th. This represents a $2.50 annualized dividend and a dividend yield of 1.45%. CDW’s payout ratio is currently 31.37%.

CDW declared that its Board of Directors has authorized a share buyback plan on Wednesday, February 5th that permits the company to buyback $750.00 million in outstanding shares. This buyback authorization permits the information technology services provider to repurchase up to 2.7% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s management believes its stock is undervalued.

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.