Short Interest in CDW Co. (NASDAQ:CDW) Drops By 13.0%

CDW Co. (NASDAQ:CDW) was the recipient of a significant decline in short interest during the month of March. As of March 15th, there was short interest totalling 3,010,000 shares, a decline of 13.0% from the February 28th total of 3,460,000 shares. Based on an average daily volume of 1,330,000 shares, the days-to-cover ratio is currently 2.3 days. Currently, 2.3% of the company’s shares are short sold.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on the stock. UBS Group cut their target price on shares of CDW from $233.00 to $220.00 and set a “buy” rating on the stock in a report on Tuesday, January 7th. Morgan Stanley raised their price target on shares of CDW from $193.00 to $201.00 and gave the stock an “equal weight” rating in a report on Thursday, February 6th. Finally, Barclays upped their price objective on shares of CDW from $201.00 to $223.00 and gave the company an “equal weight” rating in a research note on Thursday, February 6th. Four research analysts have rated the stock with a hold rating and four have issued a buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $235.50.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of CDW. Vanguard Group Inc. increased its stake in shares of CDW by 0.6% during the fourth 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 purchasing an additional 99,947 shares in the last quarter. State Street Corp grew its stake in shares of CDW by 1.1% in the 3rd quarter. State Street Corp now owns 5,719,348 shares of the information technology services provider’s stock worth $1,294,288,000 after buying an additional 64,702 shares during the last quarter. Geode Capital Management LLC increased its position in 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 stake in CDW by 29.2% during the fourth 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 during the last quarter. Finally, Invesco Ltd. boosted its holdings in CDW by 27.6% in the fourth quarter. Invesco Ltd. now owns 2,426,746 shares of the information technology services provider’s stock worth $422,351,000 after acquiring an additional 524,559 shares in the last quarter. 93.15% of the stock is owned by hedge funds and other institutional investors.

CDW Price Performance

Shares of NASDAQ CDW opened at $162.08 on Wednesday. CDW has a 1 year low of $158.76 and a 1 year high of $263.37. The stock has a market capitalization of $21.47 billion, a P/E ratio of 20.34, a P/E/G ratio of 3.21 and a beta of 1.01. The company’s 50-day moving average is $181.24 and its 200 day moving average is $190.52. The company has a debt-to-equity ratio of 2.38, a current ratio of 1.35 and a quick ratio of 1.24.

CDW (NASDAQ:CDW) last announced its earnings results on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.33 by $0.07. CDW had a return on equity of 55.42% and a net margin of 5.13%. On average, sell-side analysts expect that CDW will post 9.41 earnings per share for the current year.

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

CDW Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 11th. Stockholders of record on Tuesday, February 25th were issued a dividend of $0.625 per share. This represents a $2.50 dividend on an annualized basis and a dividend yield of 1.54%. The ex-dividend date was Tuesday, February 25th. CDW’s dividend payout ratio (DPR) is presently 31.37%.

CDW Company Profile

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.