UBS Group Forecasts Strong Price Appreciation for CDW (NASDAQ:CDW) Stock

CDW (NASDAQ:CDW – Get Free Report) had its price objective raised by stock analysts at UBS Group from $159.00 to $195.00 in a report released on Thursday, Benzinga reports. The firm presently has a “buy” rating on the information technology services provider’s stock. UBS Group‘s price objective points to a potential upside of 24.20% from the company’s previous close.

A number of other equities research analysts also recently weighed in on the stock. Morgan Stanley raised their target price on shares of CDW from $170.00 to $171.00 and gave the company an “overweight” rating in a research note on Thursday, August 6th. Citigroup increased their price target on shares of CDW from $150.00 to $170.00 and gave the stock a “neutral” rating in a report on Thursday. JPMorgan Chase & Co. raised their price objective on shares of CDW from $170.00 to $195.00 and gave the company an “overweight” rating in a research report on Thursday. Barclays dropped their price objective on shares of CDW from $150.00 to $148.00 and set an “equal weight” rating for the company in a report on Monday, September 21st. Finally, Weiss Ratings upgraded shares of CDW from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, August 25th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat, CDW currently has a consensus rating of “Moderate Buy” and a consensus target price of $167.38.

Check Out Our Latest Analysis on CDW

CDW Price Performance

CDW stock traded down $1.39 during midday trading on Thursday, hitting $157.00. 1,507,555 shares of the company’s stock were exchanged, compared to its average volume of 1,536,841. The company has a market cap of $19.63 billion, a P/E ratio of 18.32, a PEG ratio of 1.97 and a beta of 0.92. The company has a debt-to-equity ratio of 1.97, a quick ratio of 1.05 and a current ratio of 1.17. The stock has a 50-day moving average price of $148.73 and a two-hundred day moving average price of $133.76. CDW has a 52-week low of $97.12 and a 52-week high of $172.47.

CDW (NASDAQ:CDW – Get Free Report) last issued its quarterly earnings results on Wednesday, November 4th. The information technology services provider reported $3.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.98 by $0.28. CDW had a return on equity of 50.61% and a net margin of 4.60%. The firm had revenue of $6.75 billion during the quarter, compared to the consensus estimate of $6.19 billion. During the same quarter last year, the company posted $2.71 EPS. The company’s revenue for the quarter was up 17.7% on a year-over-year basis. On average, equities research analysts forecast that CDW will post 10.33 earnings per share for the current year.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Aberdeen Group plc lifted its stake in CDW by 69.9% in the third quarter. Aberdeen Group plc now owns 229,912 shares of the information technology services provider’s stock worth $29,466,000 after purchasing an additional 94,618 shares during the last quarter. Allworth Financial LP grew its stake in shares of CDW by 1,902.0% during the third quarter. Allworth Financial LP now owns 23,584 shares of the information technology services provider’s stock valued at $3,023,000 after buying an additional 22,406 shares during the last quarter. Russell Investments Group Ltd. grew its stake in shares of CDW by 324.4% during the third quarter. Russell Investments Group Ltd. now owns 235,940 shares of the information technology services provider’s stock valued at $30,255,000 after buying an additional 180,344 shares during the last quarter. Eurizon Capital SGR S.p.A. increased its holdings in shares of CDW by 1,257.7% in the third quarter. Eurizon Capital SGR S.p.A. now owns 183,264 shares of the information technology services provider’s stock worth $23,487,000 after buying an additional 169,766 shares during the period. Finally, CENTRAL TRUST Co increased its holdings in shares of CDW by 100.4% in the third quarter. CENTRAL TRUST Co now owns 958 shares of the information technology services provider’s stock worth $123,000 after buying an additional 480 shares during the period. 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: Q3 results beat expectations. CDW reported adjusted EPS of $3.26 versus the $2.98 consensus and revenue of $6.75 billion versus $6.19 billion, with sales up 17.7% year over year. The company also raised its gross-profit outlook and signaled low-double-digit 2026 adjusted EPS growth. CDW sees double-digit growth in third quarter
  • Positive Sentiment: Analysts raised price targets. JPMorgan and UBS moved their targets to $195, while Citigroup raised its target to $170 and maintained a neutral rating. Northcoast Research also raised its target, to $204. The upgrades reinforce optimism following the results. Citigroup target change
  • Positive Sentiment: CDW increased its dividend. The quarterly payout rose 7.9% to $0.68 per share, signaling stronger shareholder returns. CDW dividend increase and risks
  • Neutral Sentiment: Lovelytics acquisition adds a growth opportunity and investment cost. CDW acquired the data and analytics firm for $525 million; the deal may broaden its capabilities, but investors will assess integration and returns. Lovelytics sale to CDW
  • Negative Sentiment: Financial and valuation risks remain. Commentary has flagged rising debt and shrinking margins, while questions about whether the shares already reflect strong results could limit upside. Evercore ISI also removed CDW from its TAP Outperform list. CDW valuation, results and Lovelytics deal

CDW Company Profile

(Get Free Report)

CDW Corporation (NASDAQ: CDW) is a provider of technology products and services for business, government, education and healthcare organizations. The company helps customers plan, procure, implement and manage information technology solutions from leading hardware, software and cloud vendors.

Its offerings include computers, servers, networking equipment, data-storage systems, cybersecurity products, collaboration tools, software licensing and cloud solutions. CDW also provides professional and managed services, including technology consulting, infrastructure deployment, cloud management, security support and lifecycle services.

Founded in 1984 as Computer Discount Warehouse, CDW serves customers primarily in the United States, Canada and the United Kingdom through sales teams, digital channels and technology partnerships.

Further Reading

Analyst Recommendations for CDW (NASDAQ:CDW)

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