Stock Analysis Report

Header cover image

Executive Summary

CDW Corporation provides integrated information technology (IT) solutions to business, government, education, and healthcare customers in the United States, the United Kingdom, and Canada.

Snowflake Analysis

Adequate balance sheet with proven track record.

Similar Companies

Share Price & News

How has CDW's share price performed over time and what events caused price changes?

Latest Share Price and Events

Stable Share Price: CDW's share price has been volatile over the past 3 months.

Market Performance

7 Day Return




US Electronic


US Market

1 Year Return




US Electronic


US Market

Return vs Industry: CDW exceeded the US Electronic industry which returned 2.6% over the past year.

Return vs Market: CDW matched the US Market which returned 4.1% over the past year.

Shareholder returns

7 Day-1.1%1.6%1.1%
30 Day1.6%9.2%5.5%
90 Day-7.0%-4.5%-4.9%
1 Year6.1%4.9%4.4%3.3%7.0%4.6%
3 Year85.8%79.5%14.4%11.3%28.6%20.1%
5 Year208.7%192.2%51.4%44.2%52.5%35.3%

Price Volatility Vs. Market

How volatile is CDW's share price compared to the market and industry in the last 5 years?

Simply Wall St News


Is CDW undervalued compared to its fair value and its price relative to the market?


Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: CDW ($108.01) is trading above our estimate of fair value ($77.98)

Significantly Below Fair Value: CDW is trading above our estimate of fair value.

Price To Earnings Ratio

PE vs Industry: CDW is poor value based on its PE Ratio (20.7x) compared to the Electronic industry average (19.2x).

PE vs Market: CDW is poor value based on its PE Ratio (20.7x) compared to the US market (15.1x).

Price to Earnings Growth Ratio

PEG Ratio: CDW is poor value based on its PEG Ratio (3x)

Price to Book Ratio

PB vs Industry: CDW is overvalued based on its PB Ratio (17.3x) compared to the US Electronic industry average (1.7x).

Next Steps

Future Growth

How is CDW forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: CDW's forecast earnings growth (6.9% per year) is above the savings rate (2.2%).

Earnings vs Market: CDW's earnings (6.9% per year) are forecast to grow slower than the US market (21.6% per year).

High Growth Earnings: CDW's earnings are forecast to grow, but not significantly.

Revenue vs Market: CDW's revenue (4.3% per year) is forecast to grow slower than the US market (8.9% per year).

High Growth Revenue: CDW's revenue (4.3% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: CDW's Return on Equity is forecast to be very high in 3 years time (61.7%).

Next Steps

Past Performance

How has CDW performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CDW has high quality earnings.

Growing Profit Margin: CDW's current net profit margins (4.1%) are higher than last year (4%).

Past Earnings Growth Analysis

Earnings Trend: CDW's earnings have grown by 18.7% per year over the past 5 years.

Accelerating Growth: CDW's earnings growth over the past year (12.4%) is below its 5-year average (18.7% per year).

Earnings vs Industry: CDW earnings growth over the past year (12.4%) exceeded the Electronic industry -9.4%.

Return on Equity

High ROE: Whilst CDW's Return on Equity (84.5%) is outstanding, this metric is skewed due to their high level of debt.

Next Steps

Financial Health

How is CDW's financial position?

Financial Position Analysis

Short Term Liabilities: CDW's short term assets ($4.7B) exceed its short term liabilities ($3.6B).

Long Term Liabilities: CDW's short term assets ($4.7B) exceed its long term liabilities ($3.7B).

Debt to Equity History and Analysis

Debt Level: CDW's debt to equity ratio (425.7%) is considered high.

Reducing Debt: CDW's debt to equity ratio has increased from 358.2% to 425.7% over the past 5 years.

Debt Coverage: CDW's debt is well covered by operating cash flow (26.3%).

Interest Coverage: CDW's interest payments on its debt are well covered by EBIT (7.2x coverage).

Balance Sheet

Next Steps


What is CDW's current dividend yield, its reliability and sustainability?


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CDW's dividend (1.41%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.75%).

High Dividend: CDW's dividend (1.41%) is low compared to the top 25% of dividend payers in the US market (4.73%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CDW has been paying a dividend for less than 10 years.

Growing Dividend: CDW's dividend payments have increased, but the company has only paid a dividend for 7 years.

Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (25.9%), CDW's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: CDW's dividends in 3 years are forecast to be well covered by earnings (27% payout ratio).

Next Steps

  • Explore strong dividend paying companies in the Tech industry.


How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Chris Leahy (54yo)





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 ...

CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD6.19M) is below average for companies of similar size in the US market ($USD11.86M).

Compensation vs Earnings: Chris's compensation has increased by more than 20% in the past year.

Leadership Team

Christine Leahy
President1.33yrsUS$6.19m0.057% $8.7m
Collin Kebo
Senior VP & CFO4yrsUS$2.68m0.027% $4.1m
Christina Corley
Chief Commercial & Operating Officer1.33yrsUS$3.39m0.036% $5.6m
Mark Chong
Senior Vice President of Strategy & Marketing3.5yrsUS$1.99m0.0084% $1.3m
Douglas Eckrote
Senior Vice President of Small Business Sales & eCommerce10.5yrsUS$1.97m0.099% $15.3m
Neil Fairfield
Chief Accounting Officer3yrsno data0.0046% $702.5k
Jonathan Stevens
Senior VP of Operations & Chief Information Officer18.33yrsUS$1.25m0.058% $8.9m
Beth Coronelli
Vice President of Investor Relations1.5yrsno datano data
Brittany Smith
Vice President of Investor Relationsno datano datano data
Frederick Kulevich
Senior VP2.58yrsno data0.014% $2.2m


Average Tenure


Average Age

Experienced Management: CDW's management team is considered experienced (3 years average tenure).

Board Members

Christine Leahy
President1.33yrsUS$6.19m0.057% $8.7m
Paul Finnegan
Independent Director9.33yrsUS$255.00k0.013% $2.0m
Benjamin Chereskin
Independent Director13.33yrsUS$255.00k0.14% $21.8m
David Nelms
Independent Non-Executive Chairman0.33yrUS$275.00kno data
Donna Zarcone
Independent Director9yrsUS$255.00k0.0049% $756.3k
Michael Krasny
Chairman Emeritusno dataUS$170.41kno data
Barry Allen
Independent Director10.83yrsUS$255.00k0.0088% $1.3m
Steven Alesio
Independent Director10.83yrsUS$270.00k0.0013% $204.4k
Joseph Swedish
Independent Director4.75yrsUS$255.00k0.0077% $1.2m
Virginia Addicott
Independent Director4.17yrsUS$275.00kno data


Average Tenure


Average Age

Experienced Board: CDW's board of directors are considered experienced (9 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Company Information

CDW Corporation's company bio, employee growth, exchange listings and data sources

Key Information

  • Name: CDW Corporation
  • Ticker: CDW
  • Exchange: NasdaqGS
  • Founded: 1984
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: US$15.372b
  • Shares outstanding: 142.32m
  • Website:

Number of Employees


  • CDW Corporation
  • 75 Tri-State International
  • Lincolnshire
  • Illinois
  • 60069
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CDWNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDJun 2013
CDWDB (Deutsche Boerse AG)YesCommon SharesDEEURJun 2013


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. 

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/27 02:16
End of Day Share Price2020/05/26 00:00
Annual Earnings2019/12/31

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.