CDW (NASDAQ:CDW) to Repurchase $750.00 million in Outstanding Stock

CDW (NASDAQ:CDW) declared that its board has authorized a stock buyback program on Wednesday, February 5th, RTT News reports. The company plans to buyback $750.00 million in outstanding shares. This buyback authorization authorizes the information technology services provider to reacquire up to 2.7% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s leadership believes its shares are undervalued.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on the stock. Barclays lowered their target price on shares of CDW from $229.00 to $201.00 and set an “equal weight” rating on the stock in a report on Thursday, October 31st. Morgan Stanley upped their target price on shares of CDW from $190.00 to $193.00 and gave the company an “equal weight” rating in a report on Monday, December 16th. Redburn Atlantic started coverage on CDW in a research report on Friday, November 15th. They set a “buy” rating and a $230.00 price target on the stock. JPMorgan Chase & Co. cut CDW from an “overweight” rating to a “neutral” rating and cut their price objective for the company from $260.00 to $235.00 in a research report on Monday, October 28th. Finally, UBS Group dropped their price target on CDW from $233.00 to $220.00 and set a “buy” rating on the stock in a research note on Tuesday, January 7th. Four analysts have rated the stock with a hold rating and five have given a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $239.33.

CDW Price Performance

CDW stock traded up $6.79 during trading hours on Wednesday, reaching $206.13. 3,808,763 shares of the stock were exchanged, compared to its average volume of 1,454,172. The stock has a 50 day moving average of $183.08 and a two-hundred day moving average of $202.65. The company has a market cap of $27.47 billion, a P/E ratio of 25.20, a price-to-earnings-growth ratio of 5.39 and a beta of 1.01. The company has a current ratio of 1.40, a quick ratio of 1.28 and a debt-to-equity ratio of 2.39. CDW has a twelve month low of $168.43 and a twelve month high of $263.37.

CDW (NASDAQ:CDW) last announced its quarterly earnings data on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.33 by $0.07. CDW had a net margin of 5.33% and a return on equity of 58.31%. Equities analysts expect that CDW will post 8.99 EPS for the current fiscal year.

CDW Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, March 11th. Investors of record on Tuesday, February 25th will be issued a dividend of $0.625 per share. This represents a $2.50 annualized dividend and a dividend yield of 1.21%. CDW’s dividend payout ratio (DPR) is presently 30.56%.

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.