Short Interest in CDW Co. (NASDAQ:CDW) Rises By 10.0%

CDW Co. (NASDAQ:CDWGet Free Report) saw a large increase in short interest in the month of March. As of March 15th, there was short interest totalling 2,650,000 shares, an increase of 10.0% from the February 29th total of 2,410,000 shares. Based on an average daily volume of 702,100 shares, the days-to-cover ratio is presently 3.8 days. Currently, 2.0% of the shares of the company are sold short.

CDW Price Performance

Shares of CDW stock traded up $2.87 during trading hours on Wednesday, reaching $254.50. 73,783 shares of the company were exchanged, compared to its average volume of 701,111. CDW has a fifty-two week low of $160.66 and a fifty-two week high of $259.38. The stock’s fifty day moving average is $243.66 and its two-hundred day moving average is $223.78. The company has a market cap of $34.16 billion, a price-to-earnings ratio of 31.07, a P/E/G ratio of 2.87 and a beta of 1.09. The company has a debt-to-equity ratio of 2.46, a current ratio of 1.23 and a quick ratio of 1.11.

CDW (NASDAQ:CDWGet Free Report) last announced its quarterly earnings data on Wednesday, February 7th. The information technology services provider reported $2.57 earnings per share for the quarter, beating the consensus estimate of $2.56 by $0.01. CDW had a net margin of 5.17% and a return on equity of 73.93%. The business had revenue of $5.02 billion for the quarter, compared to analyst estimates of $5.32 billion. During the same period in the prior year, the business posted $2.40 earnings per share. CDW’s revenue was down 7.7% compared to the same quarter last year. Sell-side analysts forecast that CDW will post 9.88 earnings per share for the current fiscal year.

CDW declared that its Board of Directors has authorized a stock buyback plan on Wednesday, February 7th that allows the company to repurchase $750.00 million in outstanding shares. This repurchase authorization allows the information technology services provider to purchase up to 2.4% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

CDW Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 12th. Investors of record on Monday, February 26th were issued a $0.62 dividend. The ex-dividend date was Friday, February 23rd. This represents a $2.48 annualized dividend and a yield of 0.97%. CDW’s dividend payout ratio is currently 30.62%.

Hedge Funds Weigh In On CDW

Large investors have recently bought and sold shares of the business. Kapitalo Investimentos Ltda acquired a new stake in CDW in the fourth quarter worth $515,000. Nomura Holdings Inc. acquired a new stake in CDW in the fourth quarter worth $611,000. HighPoint Advisor Group LLC acquired a new stake in CDW in the fourth quarter worth $592,000. Grayhawk Investment Strategies Inc. acquired a new stake in CDW in the fourth quarter worth $854,000. Finally, Walden Wealth Partners LLC acquired a new stake in CDW in the fourth quarter worth $449,000. 93.15% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several brokerages have weighed in on CDW. Barclays upped their price objective on shares of CDW from $219.00 to $261.00 and gave the stock an “equal weight” rating in a research note on Thursday, February 8th. Morgan Stanley cut shares of CDW from an “overweight” rating to an “equal weight” rating and set a $216.00 price objective on the stock. in a research note on Tuesday, December 12th. Evercore ISI upped their price objective on shares of CDW from $250.00 to $300.00 and gave the stock an “outperform” rating in a research note on Friday, March 22nd. Finally, JPMorgan Chase & Co. upped their price objective on shares of CDW from $253.00 to $267.00 and gave the stock an “overweight” rating in a research note on Thursday, February 8th. Four research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company’s stock. According to MarketBeat.com, CDW has an average rating of “Moderate Buy” and an average price target of $228.60.

Check Out Our Latest Analysis on CDW

About CDW

(Get Free Report)

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.

Featured Stories

Receive News & Ratings for CDW Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for CDW and related companies with MarketBeat.com's FREE daily email newsletter.