CDW Co. (NASDAQ:CDW) Sees Large Growth in Short Interest

CDW Co. (NASDAQ:CDW) was the recipient of a significant growth in short interest in December. As of December 31st, there was short interest totalling 2,880,000 shares, a growth of 8.7% from the December 15th total of 2,650,000 shares. Currently, 2.2% of the shares of the stock are short sold. Based on an average trading volume of 1,320,000 shares, the days-to-cover ratio is presently 2.2 days.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Massachusetts Financial Services Co. MA purchased a new stake in shares of CDW during the third quarter worth about $416,111,000. Janus Henderson Group PLC raised its stake in shares of CDW by 7,029.1% in the third quarter. Janus Henderson Group PLC now owns 1,466,597 shares of the information technology services provider’s stock worth $331,891,000 after purchasing an additional 1,446,025 shares during the last quarter. Holocene Advisors LP acquired a new stake in shares of CDW during the third quarter worth about $172,217,000. Perpetual Ltd acquired a new stake in CDW during the 3rd quarter valued at approximately $158,300,000. Finally, Canada Pension Plan Investment Board boosted its holdings in shares of CDW by 2,045.4% in the 2nd quarter. Canada Pension Plan Investment Board now owns 294,302 shares of the information technology services provider’s stock valued at $65,877,000 after acquiring an additional 280,584 shares during the last quarter. 93.15% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts have commented on CDW shares. Citigroup lowered CDW from a “buy” rating to a “neutral” rating and lowered their price target for the company from $250.00 to $245.00 in a research report on Tuesday, October 1st. Redburn Atlantic initiated coverage on shares of CDW in a research note on Friday, November 15th. They set a “buy” rating and a $230.00 price objective on the stock. Morgan Stanley upped their price target on CDW from $190.00 to $193.00 and gave the stock an “equal weight” rating in a research note on Monday, December 16th. Barclays dropped their target price on shares of CDW from $229.00 to $201.00 and set an “equal weight” rating on the stock in a research note on Thursday, October 31st. Finally, UBS Group lowered their target price on CDW from $233.00 to $220.00 and set a “buy” rating on the stock in a research report on Tuesday, January 7th. Four investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $239.33.

CDW Stock Up 0.5 %

Shares of CDW traded up $0.91 during mid-day trading on Monday, hitting $188.70. The company’s stock had a trading volume of 963,441 shares, compared to its average volume of 1,002,276. The firm has a market capitalization of $25.15 billion, a price-to-earnings ratio of 23.07, a PEG ratio of 4.91 and a beta of 1.01. CDW has a 52-week low of $168.43 and a 52-week high of $263.37. The company has a current ratio of 1.40, a quick ratio of 1.28 and a debt-to-equity ratio of 2.39. The company’s 50-day moving average is $179.13 and its 200-day moving average is $205.18.

CDW (NASDAQ:CDW) last issued its quarterly earnings data on Wednesday, October 30th. The information technology services provider reported $2.63 earnings per share for the quarter, missing analysts’ consensus estimates of $2.68 by ($0.05). CDW had a return on equity of 58.31% and a net margin of 5.33%. The company had revenue of $5.52 billion for the quarter, compared to analysts’ expectations of $5.72 billion. During the same quarter last year, the company earned $2.60 earnings per share. The company’s revenue for the quarter was down 2.0% compared to the same quarter last year. On average, equities research analysts forecast that CDW will post 8.99 EPS for the current fiscal year.

CDW Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 10th. Stockholders of record on Monday, November 25th were given a dividend of $0.625 per share. The ex-dividend date of this dividend was Monday, November 25th. This is an increase from CDW’s previous quarterly dividend of $0.62. This represents a $2.50 dividend on an annualized basis and a dividend yield of 1.32%. CDW’s dividend payout ratio is presently 30.56%.

CDW Company Profile

CDW Corporation provides information technology (IT) solutions 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 and services, as well as integrated IT solutions, including on-premise and cloud capabilities across hybrid infrastructure, digital experience, and security.