CDW
CDW Corporation provides integrated information technology (IT) solutions to business, government, education, and healthcare customers in the United States, the United Kingdom, and Canada. The last earnings update was 58 days ago. More info.
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CDW Share Price and Events
7 Day Returns
1 Year Returns
CDW Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| CDW (CDW) | -0.1% | 11.7% | 28.4% | 47% | 173.4% | 271.4% |
| US Electronic | 0.5% | 9.2% | 20.6% | 14.4% | 68.7% | 70.9% |
| US Market | 0.9% | 4.6% | 10.9% | 9.6% | 39% | 47.2% |
1 Year Return vs Industry and Market
- CDW outperformed the Electronic industry which returned 14.4% over the past year.
- CDW outperformed the Market in United States of America which returned 9.6% over the past year.
CDW Value
Is CDW undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
CDW
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for CDW.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 9 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9.8% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Electronic Unlevered Beta | Simply Wall St/ S&P Global | 1.07 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.07 (1 + (1- 21%) (23.63%)) |
1.181 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.18 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.181 * 5.96%) |
9.77% |
Discounted Cash Flow Calculation for NasdaqGS:CDW using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for CDW is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 9.77%) |
|
|---|---|---|---|
| 2019 | 772.00 | Analyst x2 | 703.30 |
| 2020 | 835.50 | Analyst x2 | 693.41 |
| 2021 | 828.00 | Analyst x1 | 626.03 |
| 2022 | 829.55 | Est @ 0.19% | 571.39 |
| 2023 | 837.43 | Est @ 0.95% | 525.48 |
| 2024 | 849.86 | Est @ 1.48% | 485.82 |
| 2025 | 865.65 | Est @ 1.86% | 450.81 |
| 2026 | 884.00 | Est @ 2.12% | 419.40 |
| 2027 | 904.35 | Est @ 2.3% | 390.87 |
| 2028 | 926.34 | Est @ 2.43% | 364.74 |
| Present value of next 10 years cash flows | $5,231.24 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $926.34 × (1 + 2.73%) ÷ (9.77% – 2.73%) |
$13,519.96 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $13,519.96 ÷ (1 + 9.77%)10 |
$5,323.42 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $5,231.24 + $5,323.42 |
$10,554.67 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $10,554.67 / 146.30 |
$72.14 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $72.14 |
| Current discount | Discount to share price of
$105.25
= -1 x ($105.25 - $72.14) / $72.14 |
-45.9% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of CDW is above its future cash flow value.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for CDW's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
CDW's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $4.26 |
| NasdaqGS:CDW Share Price ** | NasdaqGS (2019-04-25) in USD | $105.25 |
| United States of America Electronic Industry PE Ratio | Median Figure of 92 Publicly-Listed Electronic Companies | 21.87x |
| United States of America Market PE Ratio | Median Figure of 3,081 Publicly-Listed Companies | 18.28x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of CDW.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NasdaqGS:CDW Share Price ÷ EPS (both in USD) = 105.25 ÷ 4.26 |
24.7x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- CDW is overvalued based on earnings compared to the US Electronic industry average.
- CDW is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does
CDW's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 24.7x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts |
8%per year |
| United States of America Electronic Industry PEG Ratio | Median Figure of 58 Publicly-Listed Electronic Companies | 1.4x |
| United States of America Market PEG Ratio | Median Figure of 2,113 Publicly-Listed Companies | 1.57x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 24.7x ÷ 8% |
3.1x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- CDW is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
CDW's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $6.60 |
| NasdaqGS:CDW Share Price * | NasdaqGS (2019-04-25) in USD | $105.25 |
| United States of America Electronic Industry PB Ratio | Median Figure of 144 Publicly-Listed Electronic Companies | 2.15x |
| United States of America Market PB Ratio | Median Figure of 5,185 Publicly-Listed Companies | 1.92x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NasdaqGS:CDW Share Price ÷ Book Value per Share (both in USD) = 105.25 ÷ 6.60 |
15.94x |
* Primary Listing of CDW.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- CDW is overvalued based on assets compared to the US Electronic industry average.
Value checks
We assess CDW's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Electronic industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Electronic industry average (and greater than 0)? (1 check) CDW has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
CDW Future Performance
How is CDW expected to perform in the next 1 to 3 years based on estimates from 9 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- CDW's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- CDW's earnings growth is positive but not above the United States of America market average.
- CDW's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NasdaqGS:CDW Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts | 8% |
| NasdaqGS:CDW Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts | 5.6% |
| United States of America Electronic Industry Earnings Growth Rate | Market Cap Weighted Average | 15.7% |
| United States of America Electronic Industry Revenue Growth Rate | Market Cap Weighted Average | 5.6% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.5% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.1% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 9 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 19,222 | 958 | 846 | 2 |
| 2020-12-31 | 18,207 | 911 | 747 | 9 |
| 2019-12-31 | 17,254 | 852 | 689 | 9 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 16,241 | 906 | 643 |
| 2018-09-30 | 16,276 | 941 | 678 |
| 2018-06-30 | 15,836 | 734 | 624 |
| 2018-03-31 | 15,542 | 630 | 592 |
| 2017-12-31 | 14,833 | 778 | 523 |
| 2017-09-30 | 14,573 | 544 | 432 |
| 2017-06-30 | 14,348 | 667 | 428 |
| 2017-03-31 | 14,121 | 546 | 405 |
| 2016-12-31 | 13,673 | 604 | 425 |
| 2016-09-30 | 13,908 | 482 | 411 |
| 2016-06-30 | 13,701 | 492 | 436 |
| 2016-03-31 | 13,350 | 528 | 426 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 9 Analyst Estimates (S&P Global) | See Below |
All data from CDW Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 5.93 | 5.93 | 5.93 | 1.00 |
| 2020-12-31 | 5.14 | 5.30 | 4.90 | 6.00 |
| 2019-12-31 | 4.63 | 4.73 | 4.53 | 6.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | 4.26 |
| 2018-09-30 | 4.47 |
| 2018-06-30 | 4.09 |
| 2018-03-31 | 3.85 |
| 2017-12-31 | 3.37 |
| 2017-09-30 | 2.74 |
| 2017-06-30 | 2.69 |
| 2017-03-31 | 2.50 |
| 2016-12-31 | 2.60 |
| 2016-09-30 | 2.48 |
| 2016-06-30 | 2.60 |
| 2016-03-31 | 2.52 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess CDW's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
CDW has a total score of 2/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
CDW Past Performance
How has CDW performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- CDW has delivered over 20% year on year earnings growth in the past 5 years.
- CDW's 1-year earnings growth is less than its 5-year average (22.9% vs 25%)
- CDW's earnings growth has not exceeded the US Electronic industry average in the past year (22.9% vs 62.1%).
Earnings and Revenue History
All data from CDW Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 16,240.50 | 643.00 | 1,719.60 | |
| 2018-09-30 | 16,276.40 | 678.40 | 1,661.60 | |
| 2018-06-30 | 15,836.40 | 624.00 | 1,620.90 | |
| 2018-03-31 | 15,541.90 | 591.80 | 1,600.80 | |
| 2017-12-31 | 14,832.90 | 523.10 | 1,583.70 | |
| 2017-09-30 | 14,573.20 | 431.50 | 1,571.60 | |
| 2017-06-30 | 14,348.20 | 428.10 | 1,550.30 | |
| 2017-03-31 | 14,121.20 | 404.80 | 1,527.30 | |
| 2016-12-31 | 13,672.70 | 425.10 | 1,508.30 | |
| 2016-09-30 | 13,907.90 | 410.50 | 1,495.00 | |
| 2016-06-30 | 13,700.80 | 435.50 | 1,480.80 | |
| 2016-03-31 | 13,350.20 | 426.20 | 1,422.40 | |
| 2015-12-31 | 12,988.70 | 403.10 | 1,373.80 | |
| 2015-09-30 | 12,620.40 | 365.60 | 1,323.70 | |
| 2015-06-30 | 12,385.40 | 270.30 | 1,283.70 | |
| 2015-03-31 | 12,177.40 | 248.70 | 1,263.80 | |
| 2014-12-31 | 12,074.50 | 244.90 | 1,248.30 | |
| 2014-09-30 | 11,737.70 | 253.10 | 1,227.00 | |
| 2014-06-30 | 11,335.90 | 195.30 | 1,280.30 | |
| 2014-03-31 | 11,009.20 | 155.40 | 1,269.60 | |
| 2013-12-31 | 10,768.60 | 132.80 | 1,251.70 | |
| 2013-09-30 | 10,656.30 | 106.10 | 1,246.00 | |
| 2013-06-30 | 10,415.30 | 146.30 | 1,163.10 | |
| 2013-03-31 | 10,220.70 | 136.40 | 1,159.90 | |
| 2012-12-31 | 10,128.20 | 119.00 | 1,154.70 | |
| 2012-09-30 | 10,006.50 | 104.70 | 1,169.60 | |
| 2012-06-30 | 9,964.60 | 103.80 | 1,156.90 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Whilst CDW made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.
- CDW used its assets more efficiently than the US Electronic industry average last year based on Return on Assets.
- CDW has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess CDW's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Electronic industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
CDW has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
CDW Health
How is CDW's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up CDW's finances.
The net worth of a company is the difference between its assets and liabilities.
- CDW is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- CDW's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from CDW Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 975.20 | 3,637.90 | 205.80 |
| 2018-09-30 | 1,160.70 | 3,627.00 | 255.10 |
| 2018-06-30 | 1,068.90 | 3,627.90 | 100.70 |
| 2018-03-31 | 996.90 | 3,759.20 | 221.00 |
| 2017-12-31 | 985.60 | 3,733.50 | 144.20 |
| 2017-09-30 | 806.50 | 3,971.20 | 97.90 |
| 2017-06-30 | 849.10 | 3,792.70 | 79.00 |
| 2017-03-31 | 907.30 | 3,725.50 | 251.70 |
| 2016-12-31 | 1,045.50 | 3,816.80 | 263.70 |
| 2016-09-30 | 990.50 | 3,719.10 | 118.30 |
| 2016-06-30 | 1,013.40 | 3,750.30 | 129.40 |
| 2016-03-31 | 1,039.90 | 3,624.80 | 248.20 |
| 2015-12-31 | 1,095.90 | 3,702.30 | 37.60 |
| 2015-09-30 | 1,075.70 | 3,622.50 | 97.50 |
| 2015-06-30 | 995.80 | 3,542.90 | 335.70 |
| 2015-03-31 | 975.50 | 3,496.00 | 447.40 |
| 2014-12-31 | 936.50 | 3,498.20 | 344.50 |
| 2014-09-30 | 894.00 | 3,461.40 | 357.80 |
| 2014-06-30 | 844.80 | 3,437.80 | 227.60 |
| 2014-03-31 | 754.80 | 3,422.60 | 306.70 |
| 2013-12-31 | 711.70 | 3,507.80 | 188.10 |
| 2013-09-30 | 659.80 | 3,635.30 | 350.20 |
| 2013-06-30 | 209.00 | 4,006.90 | 179.30 |
| 2013-03-31 | 163.80 | 3,933.70 | 147.10 |
| 2012-12-31 | 136.50 | 4,020.20 | 37.90 |
| 2012-09-30 | 98.20 | 4,105.30 | 193.00 |
| 2012-06-30 | 51.10 | 4,124.60 | 158.70 |
- CDW's level of debt (373%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (492.4% vs 373% today).
- Debt is well covered by operating cash flow (24.9%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 6.6x coverage).
Financial health checks
We assess CDW's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) CDW has a total score of 5/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
CDW Dividends
What is CDW's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
CDW
shares you are expected to receive
$22
in your first year as a dividend.
Dividend Amount
- CDW's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.39%).
- CDW's dividend is below the markets top 25% of dividend payers in United States of America (3.61%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 9 Analyst Estimates (S&P Global) | See Below |
| United States of America Electronic Industry Average Dividend Yield | Market Cap Weighted Average of 38 Stocks | 1.5% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2008 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-12-31 | 1.64 | 2.00 |
| 2020-12-31 | 1.46 | 4.00 |
| 2019-12-31 | 1.24 | 4.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-02-07 | 1.180 | 1.209 |
| 2018-10-31 | 1.180 | 1.387 |
| 2018-08-02 | 0.840 | 0.978 |
| 2018-02-07 | 0.840 | 1.093 |
| 2017-11-01 | 0.840 | 1.192 |
| 2017-08-04 | 0.640 | 0.992 |
| 2017-08-03 | 0.640 | 1.003 |
| 2017-02-07 | 0.640 | 1.065 |
| 2016-11-03 | 0.640 | 1.245 |
| 2016-11-02 | 0.640 | 1.457 |
| 2016-08-03 | 0.430 | 0.957 |
| 2016-05-05 | 0.430 | 1.033 |
| 2016-05-04 | 0.430 | 1.060 |
| 2016-02-25 | 0.430 | 1.051 |
| 2016-02-09 | 0.430 | 1.168 |
| 2015-11-06 | 0.430 | 1.046 |
| 2015-11-04 | 0.430 | 0.950 |
| 2015-08-07 | 0.270 | 0.656 |
| 2015-08-03 | 0.270 | 0.690 |
| 2015-02-10 | 0.270 | 0.735 |
| 2014-11-12 | 0.270 | 0.779 |
| 2014-11-06 | 0.270 | 0.829 |
| 2014-07-31 | 0.170 | 0.549 |
| 2014-05-08 | 0.170 | 0.555 |
| 2014-02-13 | 0.170 | 0.638 |
| 2013-11-01 | 0.170 | 0.742 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Whilst dividend payments have been stable, CDW has been paying a dividend for less than 10 years.
- Dividend payments have increased, but CDW only paid a dividend in the past 5 years.
Income/ dividend checks
We assess CDW's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can CDW afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) CDW has a total score of 2/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
CDW Management
CEO
| COMPENSATION | $2,025,538 |
| AGE | 53 |
| TENURE AS CEO | 0.3 years |
CEO Bio
Ms. Christine A. Leahy, also known as Chris, has been Chief Executive Officer at CDW LLC since January, 2019. She has been President, Chief Executive Officer and Director of CDW Corporation since January 1, 2019. Ms. Leahy served as Chief Revenue Officer of CDW Corporation since July 20, 2017 until December 2018. Ms. Leahy served as Senior Vice President of International at CDW Corporation since May 2016 until July 20, 2017 and its Corporate Secretary and General Counsel from January 2007 until July 20, 2017. She is responsible for CDW’s international growth platform, including CDW Canada and Kelway, CDW’s U.K.-based technology solutions provider with locations in Europe, the Middle East, Africa and Asia. She leads all legal strategy and implementation. Ms. Leahy is responsible for CDW's legal, corporate governance and compliance functions. She is a Founder and sponsor of the Women-to-Women Network at CDW, which focuses on leadership development. She served as Vice President at CDW Corporation from January 2002 to January 2007. She served as a Corporate Partner in the Chicago office of Sidley Austin LLP (Sidley Austin Brown & Wood), where she specialized in corporate governance, securities law, mergers and acquisitions and strategic counseling. She joined CDW in 2002 as first in-house counsel. She is a member of the American, Chicago and Washington D.C. Bar Associations. She completed the Chief Executive Officer Perspective Program at Kellogg School of Management at Northwestern University as well as the Women's Director Development Program at Kellogg. She is a member of the Board of Trustees of Children’s Home + Aid. She is also a member of the Economic Club of Chicago and The Chicago Network. Ms. Leahy holds undergraduate degree from Brown University in 1986 and her J.D. from Boston College Law School in 1991.
CEO Compensation
- Chris's compensation has been consistent with company performance over the past year.
- Chris's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the CDW management team in years:
- The average tenure for the CDW management team is less than 2 years, this suggests a new team.
Management Team
Tom Richards
Executive Chairman
$7M
63
0.3 yrs
Chris Leahy
President
$2M
53
0.3 yrs
Chris Corley
Chief Operating Officer
$2M
50
0.3 yrs
Doug Eckrote
Senior Vice President of Small Business Sales & eCommerce
$1M
53
9.4 yrs
Collin Kebo
Senior VP & CFO
50
2.9 yrs
Neil Fairfield
Chief Accounting Officer
1.9 yrs
Jonathan Stevens
Senior VP of Operations & Chief Information Officer
$1M
48
17.3 yrs
Beth Coronelli
Vice President of Investor Relations
0.4 yrs
Rick Kulevich
Senior VP
52
1.5 yrs
Sara Granack
Vice President of Corporate Communications & Reputation
Board of Directors Tenure
Average tenure and age of the CDW board of directors in years:
- The tenure for the CDW board of directors is about average.
Board of Directors
Chris Leahy
President
$2M
53
0.3 yrs
Michael Krasny
Chairman Emeritus
$170K
64
Tom Richards
Executive Chairman
$7M
63
6.3 yrs
Steve Alesio
Independent Director
$240K
64
9.8 yrs
David Nelms
Lead Director
$225K
57
Virginia Addicott
Independent Director
$230K
54
3.1 yrs
Benjamin Chereskin
Independent Director
$225K
59
11.5 yrs
Barry Allen
Director
$235K
69
9.8 yrs
Donna Zarcone
Independent Director
$240K
60
7.9 yrs
Paul Finnegan
Independent Director
$225K
65
8.3 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 06. Mar 19 | Sell | Neil Fairfield | Individual | 04. Mar 19 | 04. Mar 19 | -600 | $95.01 | $-57,006 | ||
| 06. Mar 19 | Sell | Jill Billhorn | Individual | 04. Mar 19 | 04. Mar 19 | -1,468 | $95.00 | $-139,460 | ||
| 12. Feb 19 | Sell | Steven Alesio | Individual | 08. Feb 19 | 11. Feb 19 | -20,013 | $91.00 | $-1,794,418 | ||
| 11. May 18 | Sell | Paul Finnegan | Individual | 09. May 18 | 09. May 18 | -2,293 | $77.04 | $-176,653 | ||
Management checks
We assess CDW's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) CDW has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
CDW News
Simply Wall St News
Does CDW (NASDAQ:CDW) Deserve A Spot On Your Watchlist?
Careful consideration of revenue growth and earnings before interest and taxation (EBIT) margins can help inform a view on the sustainability of the recent profit growth. … CDW maintained stable EBIT margins over the last year, all while growing revenue 9.5% to US$16b. … In the chart below, you can see how the company has grown earnings, and revenue, over time.
Simply Wall St - – Full articleShould You Be Impressed By CDW Corporation's (NASDAQ:CDW) ROE?
Our data shows CDW has a return on equity of 66% for the last year. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.66 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleShareholders Are Thrilled That The CDW (NASDAQ:CDW) Share Price Increased 269%
By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … During five years of share price growth, CDW achieved compound earnings per share (EPS) growth of 38% per year. … The EPS growth is more impressive than the yearly share price gain of 30% over the same period.
Simply Wall St - – Full articleKnow This Before Buying CDW Corporation (NASDAQ:CDW) For Its Dividend
Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. … Historically, CDW Corporation (NASDAQ:CDW) has paid a dividend to shareholders. … 5 checks you should use to assess a dividend stock
Simply Wall St - – Full articleCDW Corporation (NASDAQ:CDW) Is Employing Capital Very Effectively
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … How Do You Calculate Return On Capital Employed
Simply Wall St - – Full articleHere's What CDW Corporation's (NASDAQ:CDW) P/E Ratio Is Telling Us
The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … How Do I Calculate CDW's Price To Earnings Ratio … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleAt US$79.24, Is It Time To Put CDW Corporation (NASDAQ:CDW) On Your Watch List?
saw significant share price movement during recent months on the NasdaqGS, rising to highs of $95.97 and falling to the lows of $75.33. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … Let’s take a look at CDW’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change
Simply Wall St - – Full articleThese Fundamentals Make CDW Corporation (NASDAQ:CDW) Truly Worth Looking At
CDW Corporation (NASDAQ:CDW) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … Below, I've touched on some key aspects you should know on a high level
Simply Wall St - – Full articleNeed To Know: CDW Corporation (NASDAQ:CDW) Insiders Have Been Selling Shares
So shareholders might well want to know whether insiders have been buying or selling shares in CDW Corporation (NASDAQ:CDW). … That means that even when the share price was below the current price of US$93.85, an insider wanted to cash in some shares. … We don't gain much confidence from insider selling near the recent share price of US$93.85
Simply Wall St - – Full articleHow Should Investors React To CDW Corporation's (NASDAQ:CDW) CEO Pay?
This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big companies. … How Does Tom Richards's Compensation Compare With Similar Sized Companies. … According to our data, CDW Corporation has a market capitalization of US$13b, and pays its CEO total annual compensation worth US$7.0m
Simply Wall St - – Full articleCDW Company Info
Description
CDW Corporation provides integrated information technology (IT) solutions to business, government, education, and healthcare customers 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, as well as integrated IT solutions, including mobility, security, data center optimization, cloud computing, virtualization, and collaboration. Its hardware products comprise notebooks/mobile devices, network communications, desktop computers, video monitors, enterprise and data storage products, printers, and servers; and software products include application suites, security, virtualization, operating systems, and network management. The company also provides warranties, managed services, and consulting design and implementation services. CDW Corporation was founded in 1984 and is based in Lincolnshire, Illinois.
Details
| Name: | CDW Corporation |
| CDW | |
| Exchange: | NasdaqGS |
| Founded: | 1984 |
| $15,398,314,233 | |
| 146,302,273 | |
| Website: | http://www.cdw.com |
| Address: |
CDW Corporation 75 Tri-State International, Lincolnshire, Illinois, 60069, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NasdaqGS | CDW | Common Shares | Nasdaq Global Select | US | USD | 27. Jun 2013 | |
| DB | CDW | Common Shares | Deutsche Boerse AG | DE | EUR | 27. Jun 2013 |
Number of employees
Current staff
Industry
| Technology Distributors | |
| Tech |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/26 02:57 |
| End of day share price update: | 2019/04/25 00:00 |
| Last estimates confirmation: | 2019/04/25 |
| Last earnings filing: | 2019/02/27 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
