CDW Co. (NASDAQ:CDW) Declares Dividend Increase – $0.63 Per Share

CDW Co. (NASDAQ:CDW) declared a quarterly dividend on Thursday, November 21st,RTT News reports. Stockholders of record on Monday, November 25th will be paid a dividend of 0.625 per share by the information technology services provider on Tuesday, December 10th. This represents a $2.50 annualized dividend and a dividend yield of 1.40%. The ex-dividend date is Monday, November 25th. This is a positive change from CDW’s previous quarterly dividend of $0.62.

CDW has raised its dividend by an average of 15.8% annually over the last three years. CDW has a payout ratio of 24.6% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect CDW to earn $9.61 per share next year, which means the company should continue to be able to cover its $2.50 annual dividend with an expected future payout ratio of 26.0%.

CDW Stock Performance

CDW stock opened at $178.96 on Friday. The firm has a 50-day simple moving average of $210.32 and a two-hundred day simple moving average of $218.74. The company has a debt-to-equity ratio of 2.39, a quick ratio of 1.28 and a current ratio of 1.40. CDW has a one year low of $172.95 and a one year high of $263.37. The firm has a market cap of $23.85 billion, a price-to-earnings ratio of 21.88, a PEG ratio of 4.97 and a beta of 1.05.

CDW (NASDAQ:CDW) last issued its earnings results on Wednesday, October 30th. The information technology services provider reported $2.63 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.68 by ($0.05). The firm had revenue of $5.52 billion during the quarter, compared to analysts’ expectations of $5.72 billion. CDW had a return on equity of 58.31% and a net margin of 5.33%. The business’s revenue was down 2.0% on a year-over-year basis. During the same quarter last year, the business earned $2.60 EPS. On average, equities analysts forecast that CDW will post 9.05 EPS for the current fiscal year.

Wall Street Analyst Weigh In

CDW has been the topic of several research analyst reports. JPMorgan Chase & Co. lowered CDW from an “overweight” rating to a “neutral” rating and dropped their price objective for the company from $260.00 to $235.00 in a report on Monday, October 28th. Barclays dropped their price objective on CDW from $229.00 to $201.00 and set an “equal weight” rating for the company in a research note on Thursday, October 31st. Redburn Atlantic started coverage on CDW in a report on Friday, November 15th. They set a “buy” rating and a $230.00 price target on the stock. Finally, Citigroup lowered CDW from a “buy” rating to a “neutral” rating and cut their target price for the stock from $250.00 to $245.00 in a research report on Tuesday, October 1st. Four investment analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $244.63.

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.