131.75 USD
-0.54 (-0.41%)
131.75 USD
0 (0%)
Overall CDW gets a fundamental rating of 6 out of 10. We evaluated CDW against 124 industry peers in the Electronic Equipment, Instruments & Components industry. While CDW has a great profitability rating, there are some minor concerns on its financial health. CDW scores decently on growth, while it is valued quite cheap. This could make an interesting combination. Finally CDW also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year CDW was profitable.
- In the past year CDW had a positive cash flow from operations.
- In the past 5 years CDW has always been profitable.
- CDW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 6.92%, CDW belongs to the top of the industry, outperforming 84.68% of the companies in the same industry.
- CDW has a Return On Equity of 41.39%. This is amongst the best in the industry. CDW outperforms 98.39% of its industry peers.
- 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.
- Measured over the past 3 years, the Average Return On Invested Capital for CDW 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
- The Profit Margin of CDW (4.76%) is better than 67.74% of its industry peers.
- In the last couple of years the Profit Margin of CDW has grown nicely.
- CDW has a better Operating Margin (7.39%) than 71.77% of its industry peers.
- CDW's Operating Margin has improved in the last couple of years.
- CDW has a Gross Margin of 21.60%. This is in the lower half of the industry: CDW underperforms 63.71% of its industry peers.
- 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CDW is creating some value.
- CDW has less shares outstanding than it did 1 year ago.
- CDW has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for CDW has been reduced compared to a year ago.
2.2 Solvency
- CDW has an Altman-Z score of 2.67. This is not the best score and indicates that CDW is in the grey zone with still only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.67, CDW is not doing good in the industry: 62.90% of the companies in the same industry are doing better.
- CDW has a debt to FCF ratio of 5.58. This is a neutral value as CDW would need 5.58 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 5.58, CDW is in line with its industry, outperforming 59.68% of the companies in the same industry.
- A Debt/Equity ratio of 2.21 is on the high side and indicates that CDW has dependencies on debt financing.
- CDW has a Debt to Equity ratio of 2.21. This is amonst the worse of the industry: CDW underperforms 92.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.21 | ||
| Debt/FCF | 5.58 | ||
| Altman-Z | 2.67 |
ROIC/WACC1.02
WACC12.59%
2.3 Liquidity
- A Current Ratio of 1.39 indicates that CDW should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.39, CDW is doing worse than 78.23% of the companies in the same industry.
- 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
- Based on estimates for the next years, CDW will show a small growth in Earnings Per Share. The EPS will grow by 6.47% on average per year.
- 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
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 13.25, the valuation of CDW can be described as correct.
- CDW's Price/Earnings ratio is rather cheap when compared to the industry. CDW is cheaper than 88.71% of the companies in the same industry.
- When comparing the Price/Earnings ratio of CDW to the average of the S&P500 Index (27.38), we can say CDW is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 12.34, the valuation of CDW can be described as correct.
- CDW's Price/Forward Earnings ratio is rather cheap when compared to the industry. CDW is cheaper than 89.52% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. CDW is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.25 | ||
| Fwd PE | 12.34 |
4.2 Price Multiples
- CDW's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CDW is cheaper than 83.06% of the companies in the same industry.
- CDW's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CDW is cheaper than 87.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17 | ||
| EV/EBITDA | 11.6 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- CDW has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.76
PEG (5Y)1.43
EPS Next 2Y5.83%
EPS Next 3Y6.47%
5. Dividend
5.1 Amount
- CDW has a Yearly Dividend Yield of 1.90%.
- CDW's Dividend Yield is rather good when compared to the industry average which is at 0.46. CDW pays more dividend than 94.35% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.84, CDW has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
- On average, the dividend of CDW grows each year by 14.59%, which is quite nice.
- CDW has been paying a dividend for at least 10 years, so it has a reliable track record.
- CDW has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
- CDW's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.39%
EPS Next 2Y5.83%
EPS Next 3Y6.47%
131.75
-0.54 (-0.41%)
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 Cap17.15B
Revenue(TTM)22.10B
Net Income(TTM)1.05B
Analysts77.65
Price Target186.02 (41.19%)
Short Float %3.95%
Short Ratio2.98
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 | 13.25 | ||
| Fwd PE | 12.34 | ||
| P/S | 0.78 | ||
| P/FCF | 17 | ||
| P/OCF | 15.36 | ||
| P/B | 6.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.6 |
EPS(TTM)9.94
EY7.54%
EPS(NY)10.67
Fwd EY8.1%
FCF(TTM)7.75
FCFY5.88%
OCF(TTM)8.58
OCFY6.51%
SpS169.74
BVpS19.51
TBVpS-25.56
PEG (NY)2.76
PEG (5Y)1.43
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 | 2.67 |
F-Score6
WACC12.59%
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 13.25 and the Price/Book (PB) ratio is 6.75.
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%.