129.25 USD
+1.63 (+1.28%)
Taking everything into account, CDW scores 6 out of 10 in our fundamental rating. CDW was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. While CDW belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on CDW. Finally CDW also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- CDW had positive earnings in the past year.
- CDW had a positive operating cash flow in the past year.
- CDW had positive earnings in each of the past 5 years.
- CDW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- CDW has a better Return On Assets (6.92%) than 84.68% of its industry peers.
- With an excellent Return On Equity value of 41.39%, CDW belongs to the best of the industry, outperforming 98.39% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 12.86%, CDW belongs to the top of the industry, outperforming 89.52% of the companies in the same industry.
- CDW had an Average Return On Invested Capital over the past 3 years of 15.27%. This is significantly above the industry average of 8.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.92% | ||
| ROE | 41.39% | ||
| ROIC | 12.86% |
ROA(3y)8.05%
ROA(5y)8.02%
ROE(3y)56.48%
ROE(5y)74.07%
ROIC(3y)15.27%
ROIC(5y)15.08%
1.3 Margins
- CDW's Profit Margin of 4.76% is fine compared to the rest of the industry. CDW outperforms 67.74% of its industry peers.
- CDW's Profit Margin has improved in the last couple of years.
- CDW has a Operating Margin of 7.39%. This is in the better half of the industry: CDW outperforms 71.77% of its industry peers.
- In the last couple of years the Operating Margin of CDW has grown nicely.
- With a Gross Margin value of 21.60%, CDW is not doing good in the industry: 63.71% of the companies in the same industry are doing better.
- In the last couple of years the Gross Margin of CDW has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.39% | ||
| PM (TTM) | 4.76% | ||
| GM | 21.6% |
OM growth 3Y4.89%
OM growth 5Y4.57%
PM growth 3Y2.62%
PM growth 5Y4.66%
GM growth 3Y8.54%
GM growth 5Y5.39%
2. Health
2.1 Basic Checks
- CDW has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for CDW has been reduced compared to 1 year ago.
- The number of shares outstanding for CDW has been reduced compared to 5 years ago.
- CDW has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.65 indicates that CDW is not a great score, but indicates only limited risk for bankruptcy at the moment.
- CDW's Altman-Z score of 2.65 is on the low side compared to the rest of the industry. CDW is outperformed by 62.90% of its industry peers.
- The Debt to FCF ratio of CDW is 5.58, which is a neutral value as it means it would take CDW, 5.58 years of fcf income to pay off all of its debts.
- CDW's Debt to FCF ratio of 5.58 is in line compared to the rest of the industry. CDW outperforms 59.68% of its industry peers.
- A Debt/Equity ratio of 2.21 is on the high side and indicates that CDW has dependencies on debt financing.
- CDW has a worse Debt to Equity ratio (2.21) than 92.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.21 | ||
| Debt/FCF | 5.58 | ||
| Altman-Z | 2.65 |
ROIC/WACC1.02
WACC12.55%
2.3 Liquidity
- CDW has a Current Ratio of 1.39. This is a normal value and indicates that CDW is financially healthy and should not expect problems in meeting its short term obligations.
- CDW has a worse Current ratio (1.39) than 78.23% of its industry peers.
- CDW has a Quick Ratio of 1.30. This is a normal value and indicates that CDW is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of CDW (1.30) is worse than 62.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 3.33% over the past year.
- Measured over the past years, CDW shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.30% on average per year.
- Looking at the last year, CDW shows a small growth in Revenue. The Revenue has grown by 6.09% in the last year.
- CDW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.09% yearly.
EPS 1Y (TTM)3.33%
EPS 3Y6.14%
EPS 5Y9.3%
EPS Q2Q%3.04%
Revenue 1Y (TTM)6.09%
Revenue growth 3Y0.28%
Revenue growth 5Y3.09%
Sales Q2Q%4%
3.2 Future
- CDW is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.47% yearly.
- CDW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.61% yearly.
EPS Next Y4.8%
EPS Next 2Y5.83%
EPS Next 3Y6.47%
EPS Next 5YN/A
Revenue Next Year6.59%
Revenue Next 2Y4.7%
Revenue Next 3Y4.61%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 13.00 indicates a correct valuation of CDW.
- 88.71% of the companies in the same industry are more expensive than CDW, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of CDW to the average of the S&P500 Index (27.32), we can say CDW is valued rather cheaply.
- The Price/Forward Earnings ratio is 12.11, which indicates a correct valuation of CDW.
- 89.52% of the companies in the same industry are more expensive than CDW, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.30. CDW is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13 | ||
| Fwd PE | 12.11 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CDW is valued cheaper than 84.68% of the companies in the same industry.
- 87.90% of the companies in the same industry are more expensive than CDW, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.68 | ||
| EV/EBITDA | 11.32 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CDW does not grow enough to justify the current Price/Earnings ratio.
- The excellent profitability rating of CDW may justify a higher PE ratio.
PEG (NY)2.71
PEG (5Y)1.4
EPS Next 2Y5.83%
EPS Next 3Y6.47%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.90%, CDW has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.46, CDW pays a better dividend. On top of this CDW pays more dividend than 94.35% of the companies listed in the same industry.
- CDW's Dividend Yield is comparable with the S&P500 average which is at 1.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
- The dividend of CDW is nicely growing with an annual growth rate of 14.59%!
- CDW has been paying a dividend for at least 10 years, so it has a reliable track record.
- CDW has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)14.59%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
- CDW pays out 31.39% of its income as dividend. This is a sustainable payout ratio.
- The dividend of CDW is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31.39%
EPS Next 2Y5.83%
EPS Next 3Y6.47%
NASDAQ:CDW (1/22/2026, 9:59:11 AM)
129.25
+1.63 (+1.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)11-04 2025-11-04/bmo
Earnings (Next)02-03 2026-02-03/bmo
Inst Owners98.29%
Inst Owner Change0.54%
Ins Owners0.19%
Ins Owner Change0.1%
Market Cap16.83B
Revenue(TTM)22.10B
Net Income(TTM)1.05B
Analysts77.65
Price Target186.02 (43.92%)
Short Float %3.08%
Short Ratio2.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
Yearly Dividend2.49
Dividend Growth(5Y)14.59%
DP31.39%
Div Incr Years11
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.86%
Min EPS beat(2)2.37%
Max EPS beat(2)3.35%
EPS beat(4)4
Avg EPS beat(4)4.97%
Min EPS beat(4)2.37%
Max EPS beat(4)8.48%
EPS beat(8)4
Avg EPS beat(8)-0.4%
EPS beat(12)7
Avg EPS beat(12)0.77%
EPS beat(16)11
Avg EPS beat(16)1.74%
Revenue beat(2)1
Avg Revenue beat(2)3.1%
Min Revenue beat(2)-1.16%
Max Revenue beat(2)7.36%
Revenue beat(4)3
Avg Revenue beat(4)3.55%
Min Revenue beat(4)-1.16%
Max Revenue beat(4)7.36%
Revenue beat(8)3
Avg Revenue beat(8)-0.19%
Revenue beat(12)4
Avg Revenue beat(12)-1.4%
Revenue beat(16)6
Avg Revenue beat(16)-0.67%
PT rev (1m)-0.69%
PT rev (3m)-11.9%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.34%
EPS NY rev (1m)0%
EPS NY rev (3m)0.32%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.17%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13 | ||
| Fwd PE | 12.11 | ||
| P/S | 0.76 | ||
| P/FCF | 16.68 | ||
| P/OCF | 15.07 | ||
| P/B | 6.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.32 |
EPS(TTM)9.94
EY7.69%
EPS(NY)10.67
Fwd EY8.26%
FCF(TTM)7.75
FCFY6%
OCF(TTM)8.58
OCFY6.64%
SpS169.74
BVpS19.51
TBVpS-25.56
PEG (NY)2.71
PEG (5Y)1.4
Graham Number66.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.92% | ||
| ROE | 41.39% | ||
| ROCE | 17.01% | ||
| ROIC | 12.86% | ||
| ROICexc | 13.5% | ||
| ROICexgc | 37.62% | ||
| OM | 7.39% | ||
| PM (TTM) | 4.76% | ||
| GM | 21.6% | ||
| FCFM | 4.57% |
ROA(3y)8.05%
ROA(5y)8.02%
ROE(3y)56.48%
ROE(5y)74.07%
ROIC(3y)15.27%
ROIC(5y)15.08%
ROICexc(3y)16.3%
ROICexc(5y)16.93%
ROICexgc(3y)66.87%
ROICexgc(5y)69.73%
ROCE(3y)20.19%
ROCE(5y)19.95%
ROICexgc growth 3Y-5.25%
ROICexgc growth 5Y-6.87%
ROICexc growth 3Y2.46%
ROICexc growth 5Y-5.66%
OM growth 3Y4.89%
OM growth 5Y4.57%
PM growth 3Y2.62%
PM growth 5Y4.66%
GM growth 3Y8.54%
GM growth 5Y5.39%
F-Score6
Asset Turnover1.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.21 | ||
| Debt/FCF | 5.58 | ||
| Debt/EBITDA | 2.92 | ||
| Cap/Depr | 37.04% | ||
| Cap/Sales | 0.49% | ||
| Interest Coverage | 6.7 | ||
| Cash Conversion | 58.03% | ||
| Profit Quality | 95.97% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 2.65 |
F-Score6
WACC12.55%
ROIC/WACC1.02
Cap/Depr(3y)47.75%
Cap/Depr(5y)46.54%
Cap/Sales(3y)0.61%
Cap/Sales(5y)0.63%
Profit Quality(3y)115.61%
Profit Quality(5y)112.52%
High Growth Momentum
Growth
EPS 1Y (TTM)3.33%
EPS 3Y6.14%
EPS 5Y9.3%
EPS Q2Q%3.04%
EPS Next Y4.8%
EPS Next 2Y5.83%
EPS Next 3Y6.47%
EPS Next 5YN/A
Revenue 1Y (TTM)6.09%
Revenue growth 3Y0.28%
Revenue growth 5Y3.09%
Sales Q2Q%4%
Revenue Next Year6.59%
Revenue Next 2Y4.7%
Revenue Next 3Y4.61%
Revenue Next 5YN/A
EBIT growth 1Y-2.63%
EBIT growth 3Y5.18%
EBIT growth 5Y7.81%
EBIT Next Year8.59%
EBIT Next 3Y6.45%
EBIT Next 5YN/A
FCF growth 1Y-12.94%
FCF growth 3Y19.04%
FCF growth 5Y7.86%
OCF growth 1Y-14.37%
OCF growth 3Y17.64%
OCF growth 5Y4.45%
CDW CORP/DE / CDW FAQ
Can you provide the ChartMill fundamental rating for CDW CORP/DE?
ChartMill assigns a fundamental rating of 6 / 10 to CDW.
What is the valuation status for CDW stock?
ChartMill assigns a valuation rating of 7 / 10 to CDW CORP/DE (CDW). This can be considered as Undervalued.
How profitable is CDW CORP/DE (CDW) stock?
CDW CORP/DE (CDW) has a profitability rating of 8 / 10.
What are the PE and PB ratios of CDW CORP/DE (CDW) stock?
The Price/Earnings (PE) ratio for CDW CORP/DE (CDW) is 13 and the Price/Book (PB) ratio is 6.63.
Is the dividend of CDW CORP/DE sustainable?
The dividend rating of CDW CORP/DE (CDW) is 7 / 10 and the dividend payout ratio is 31.39%.