CDW Co. (NASDAQ:CDW) Raises Dividend to $0.63 Per Share

CDW Co. (NASDAQ:CDW) declared a quarterly dividend on Saturday, November 23rd,RTT News reports. Shareholders of record on Monday, November 25th will be given 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 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 increased its dividend by an average of 15.8% per year over the last three years. CDW has a dividend payout ratio of 24.6% meaning 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 Up 0.4 %

CDW opened at $178.96 on Friday. 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. The company has a debt-to-equity ratio of 2.39, a quick ratio of 1.28 and a current ratio of 1.40. The firm’s 50-day simple moving average is $209.49 and its 200-day simple moving average is $218.45. CDW has a twelve month low of $172.95 and a twelve month high of $263.37.

CDW (NASDAQ:CDW) last issued its quarterly earnings data on Wednesday, October 30th. The information technology services provider reported $2.63 earnings per share for the quarter, missing the consensus estimate of $2.68 by ($0.05). CDW had a return on equity of 58.31% and a net margin of 5.33%. The firm had revenue of $5.52 billion for the quarter, compared to the consensus estimate of $5.72 billion. During the same period in the prior year, the company posted $2.60 earnings per share. CDW’s quarterly revenue was down 2.0% compared to the same quarter last year. Equities research analysts anticipate that CDW will post 9.05 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of analysts have recently weighed in on the company. Barclays lowered their target price 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. Citigroup lowered CDW from a “buy” rating to a “neutral” rating and decreased their price objective for the company from $250.00 to $245.00 in a research report on Tuesday, October 1st. Redburn Atlantic began coverage on CDW in a research report on Friday, November 15th. They set a “buy” rating and a $230.00 target price for the company. Finally, JPMorgan Chase & Co. cut CDW from an “overweight” rating to a “neutral” rating and decreased their price target for the company from $260.00 to $235.00 in a report on Monday, October 28th. Four research analysts have rated the stock with a hold rating and four have given a buy rating to the company. Based on data from MarketBeat.com, CDW presently has an average rating of “Moderate Buy” and a consensus target price of $244.63.

About CDW

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.