CDW
CDW Corporation
$123.57
▼ 3.7%Updated Today 7:15 PM ET
▼ Down 24.5% over the last 12 months
Market Cap
$16.40B
P/E
15.55x
Forward P/E (est.)
15.28x
ROE
42.4%
Revenue Growth
7.4%
EPS Growth
1.8%
Profit Margin
4.7%
FCF Yield
7.7%
Debt / Equity
2.16x
ROIC
18.0%
Interest Coverage
6.62x
Current Ratio
1.16x
Dividend Yield
1.9%
Implied Growth (rev. DCF)
2.2%
Rating Score
51/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what CDW's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. CDW trades near $123.57, below its 50-day average ($124.83) and 200-day average ($136.64). Price below both averages is a downtrend — momentum is against buyers for now.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 60 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.
Volatility — ATR. Average True Range is the typical daily move. CDW's is $6.24 (~5.0% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month CDW found buyers near $103.12 (support) and sellers near $141.46 (resistance); its 52-week range is $97.12–$183.91. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.8× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
CDW Corporation (CDW) is a large-cap company in the Technology Distributors industry, part of the Information Technology sector of the S&P 500, with a market value around $16.40B.
In its latest reported year it generated about $22.42B in revenue and $1.07B in net profit.
Our model rates CDW Neutral (51/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
1.9%
Revenue moved from $20.82B in 2021 to $22.42B in 2025, a 1.9% compound annual growth rate. The most recent year grew a steady 7.4% year over year. Slower, mature growth is common for established businesses.
Gross Margin
21.7%
Operating Margin
7.4%
Net Margin
4.8%
ROE
42.4%
CDW Corporation keeps about 4.7% of each sales dollar as net profit, with a 21.7% gross margin and 7.4% operating margin. Return on equity is 42.4% and return on invested capital about 18.0%. Thin margins leave less cushion if costs rise.
Total Debt
$5.64B
Net Debt
$5.06B
Net Debt / EBITDA
3.06x
Debt / Equity
2.16x
Leverage: debt-to-equity is 2.2x, and operating profit covers interest about 6.6x, with a current ratio of 1.2x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $5.64B of total debt against $578.60M of cash.
Operating CF
$1.21B
Free Cash Flow
$1.09B
FCF Margin
4.9%
In the latest year CDW Corporation produced about $1.21B of operating cash flow and $1.09B of free cash flow after capital spending. That is a free-cash-flow yield of about 7.7% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
P/E
15.55x
P/S
0.76x
P/B
6.71x
EV / EBITDA
10.6x
CDW trades at 15.5x trailing earnings (about 15.3x on estimated forward earnings), 0.8x sales, and 6.7x book value. Reverse-engineering today's price implies the market expects roughly 2.2% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How CDW stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.
In the Information Technology sector (72 S&P 500 companies), CDW ranks #51 of 72 by our overall rating. It trades at a discount versus the sector on earnings (15.5x P/E vs. 35.6x median) with a higher return on equity (42.4% vs. 25.6%) and slower revenue growth (7.4% vs. 17.4%).
P/E vs sector
15.5x
median 35.6x
ROE vs sector
42.4%
median 25.6%
Growth vs sector
7.4%
median 17.4%
Sector rank
#51
of 72 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$123.09 – $196.95
vs. $123.57 today · expected CAGR -0% – 10%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $23.99B | $25.67B | $27.47B | $29.39B | $31.45B |
| Net income | $1.20B | $1.28B | $1.37B | $1.47B | $1.57B |
| EPS | $9.39 | $10.05 | $10.75 | $11.50 | $12.31 |
| Share price (low) | $93.91 | $100.48 | $107.51 | $115.04 | $123.09 |
| Share price (high) | $150.25 | $160.77 | $172.02 | $184.06 | $196.95 |
| CAGR (low–high) | -24% / 22% | -10% / 14% | -5% / 12% | -2% / 10% | -0% / 10% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for CDW:
- Strong return on equity (42.4%) shows capital is put to work well.
- Healthy free-cash-flow yield (~7.7%) funds buybacks and dividends.
The case against CDW:
- Thin net margins (4.7%) leave little room for error.
- Elevated leverage (debt/equity 2.2x) adds financial risk.
Balance-sheet risk — debt/equity of 2.2x magnifies the impact of higher rates or weaker earnings.
Margin risk — thin profitability (4.7%) is vulnerable to cost or pricing pressure.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the picture is mixed: CDW Corporation is a large-cap information technology business growing at a mature pace, with modest profitability, and a heavier debt load to watch. It trades at 15.5x earnings, which our model scores Neutral (51/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.