Van ECK Associates Corp Sells 3,929 Shares of CDW Corporation $CDW

Van ECK Associates Corp lessened its stake in shares of CDW Corporation (NASDAQ:CDW) by 13.7% during the 2nd quarter, HoldingsChannel.com reports. The institutional investor owned 24,706 shares of the information technology services provider’s stock after selling 3,929 shares during the quarter. Van ECK Associates Corp’s holdings in CDW were worth $3,475,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently bought and sold shares of the company. BNP Paribas Financial Markets raised its stake in shares of CDW by 20.5% in the fourth quarter. BNP Paribas Financial Markets now owns 284,965 shares of the information technology services provider’s stock valued at $38,812,000 after acquiring an additional 48,547 shares during the period. Kendall Capital Management purchased a new position in shares of CDW during the 2nd quarter worth about $3,584,000. Pzena Investment Management LLC bought a new position in CDW during the 2nd quarter valued at about $371,135,000. Man Group plc bought a new position in CDW during the 2nd quarter valued at about $1,262,000. Finally, Canada Pension Plan Investment Board purchased a new stake in CDW in the 2nd quarter worth about $1,295,000. 93.15% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting CDW

Here are the key news stories impacting CDW this week:

• Positive Sentiment: AI and data-services expansion: Lovelytics specializes in helping organizations turn data into business value, adding consulting and implementation expertise to CDW’s technology-solutions portfolio. The acquisition supports CDW’s strategy of expanding beyond hardware and traditional IT distribution into faster-growing AI services. CDW Agrees to Acquire Lovelytics
• Positive Sentiment: Potential cross-selling opportunity: CDW can combine Lovelytics’ data and AI capabilities with its broad customer relationships and technology ecosystem, potentially increasing the value of its services engagements with businesses and public-sector clients. CDW To Acquire Lovelytics For Approximately $525 Million to Expand Data and AI Services
• Positive Sentiment: Analyst sentiment remains supportive: CDW received a consensus “Moderate Buy” rating, providing an additional favorable backdrop for the stock. CDW Corporation Receives Consensus Rating of Moderate Buy
• Neutral Sentiment: Coverage from technology and legal publications confirms the acquisition and highlights CDW’s growing AI focus. However, the articles provide limited detail on Lovelytics’ financial contribution, integration plans, or the deal’s effect on near-term earnings. CDW Expands AI Expertise
• Negative Sentiment: Execution and valuation risks: The roughly $525 million purchase price creates integration and return-on-investment risks. Investors will likely watch the funding structure, closing conditions, and whether Lovelytics produces enough growth and profit to justify the investment.

CDW Price Performance

Shares of CDW stock opened at $153.92 on Friday. The company has a debt-to-equity ratio of 1.97, a current ratio of 1.17 and a quick ratio of 1.05. The company has a market capitalization of $19.24 billion, a P/E ratio of 18.50, a P/E/G ratio of 1.95 and a beta of 0.95. The company’s 50-day simple moving average is $139.58 and its two-hundred day simple moving average is $129.07. CDW Corporation has a one year low of $97.12 and a one year high of $171.55.

CDW (NASDAQ:CDW) last posted its quarterly earnings results on Wednesday, August 5th. The information technology services provider reported $2.91 earnings per share for the quarter, beating the consensus estimate of $2.80 by $0.11. CDW had a net margin of 4.60% and a return on equity of 50.61%. The firm had revenue of $6.57 billion during the quarter, compared to the consensus estimate of $6.21 billion. During the same quarter in the previous year, the firm posted $2.60 earnings per share. The company’s revenue was up 10.0% on a year-over-year basis. As a group, equities analysts anticipate that CDW Corporation will post 10.33 EPS for the current year.

CDW Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Tuesday, August 25th will be paid a $0.63 dividend. The ex-dividend date of this dividend is Tuesday, August 25th. This represents a $2.52 dividend on an annualized basis and a yield of 1.6%. CDW’s dividend payout ratio is 30.29%.

Insider Activity

In other news, insider Elizabeth Connelly sold 26,695 shares of the stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $137.62, for a total transaction of $3,673,765.90. Following the transaction, the insider directly owned 34,215 shares in the company, valued at approximately $4,708,668.30. This trade represents a 43.83% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 0.82% of the company’s stock.

Analysts Set New Price Targets

Several brokerages have issued reports on CDW. Barclays decreased their price objective on shares of CDW from $144.00 to $123.00 and set an “equal weight” rating for the company in a research note on Thursday, May 7th. JPMorgan Chase & Co. upgraded CDW from a “neutral” rating to an “overweight” rating and set a $130.00 price target on the stock in a report on Wednesday, May 27th. Citigroup raised their price target on CDW from $123.00 to $145.00 and gave the stock a “neutral” rating in a research note on Monday, July 13th. Morgan Stanley boosted their price objective on CDW from $170.00 to $171.00 and gave the company an “overweight” rating in a report on Thursday, August 6th. Finally, Weiss Ratings raised CDW from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, August 25th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have given a Hold rating to the company. According to MarketBeat, CDW currently has an average rating of “Moderate Buy” and an average target price of $147.00.

CDW Profile

CDW (NASDAQ: CDW) is a leading provider of information technology products and integrated solutions for business, government, education and healthcare customers. The company sources and resells hardware and software from major technology vendors and packages those products with professional services, managed services and lifecycle support. Its offerings span IT infrastructure, cloud and data center solutions, cybersecurity, networking, unified communications, endpoint devices, and software licensing and procurement services designed to simplify IT operations for customers.

CDW combines a broad product portfolio with consultative sales, implementation and technical support capabilities.