CDW Corporation

Valuation Analysis

About the Company

CDW Corporation provides information technology (IT) solutions in the United States, the United Kingdom, and Canada. It operates through three segments: Commercial, Government, and Education. 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. It also provides hardware products comprising notebooks/mobile devices, tablets, network communications, collaboration hardware, data storage and servers, desktop computers, and other hardware; and software products, such as cloud solutions, software assurance, application suites, security, virtualization, collaboration and productivity applications, operating systems, and network managem

CDW Corporation Stock at a Glance

CDW Corporation (CDW) is currently trading at $132.19 with a market capitalization of $16.9B. The trailing P/E ratio stands at 16.1x, with a forward P/E of 11.36x. The 52-week range spans from $97.12 to $183.91; the current price is 28.1% below the yearly high. Year-over-year revenue growth stands at +9.2%. The net profit margin stands at 4.7%.

💰 Dividend

CDW Corporation pays an annual dividend of $2.52 per share, representing a yield of 1.91%. The payout ratio stands at 30.57%.

📊 Analyst Rating

10 analysts rate CDW Corporation (CDW) on consensus: Buy. The average price target is $147.30, implying +11.43% from the current price. Analyst price targets range from $123.00 to $195.00.

CDW Corporation: The Investment Case in Detail

CDW Corporation (CDW) operates in the Technology — specifically Information Technology Services — and is headquartered in United States. Below is a structured read of the investment case built directly from the latest fundamentals, valuation multiples, analyst positioning and smart-money flows. Each section translates raw numbers into the investment logic they imply, so you can decide whether the risk/reward fits your portfolio.

The Bull Case

Return on equity of 44.16% places management among the most capital-efficient operators in the public market — every euro of shareholder capital is working hard. Our valuation screen flags the stock as undervalued relative to its fundamentals — multiples are running below where the cash flow profile would normally justify.

The Bear Case

With a net margin of just 4.7%, the business has little room to absorb cost shocks or pricing pressure — a single bad quarter can swing the company to a loss. The debt-to-equity ratio of 240.52% is elevated, meaning the company relies heavily on creditors — refinancing terms will become more important than operational performance in the next economic downturn.

Valuation in Context

The PEG ratio at 1.33 sits in the reasonable zone — the price tag is roughly aligned with the company's growth profile, neither punishing nor euphoric.

What to Watch Next

• The forward P/E of 11.36x is meaningfully below the trailing 16.1x — analysts expect earnings to step up; the next earnings release is the test.

Investment Thesis: Strengths & Weaknesses

Technical Snapshot

The price is in a transition zone relative to the moving averages — no clear signal.

Risk Profile

The data points to relatively defensive market behavior, elevated short interest (8.01%), higher leverage relative to equity.

Trading Data

💵 Dividend Info

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