CDW Corp (CDW) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
CDW Corp stock (CDW) is currently trading at $121.30. CDW Corp PE ratio is 14.88. CDW Corp PS ratio (Price-to-Sales) is 0.71. Analyst consensus price target for CDW is $167.40. WallStSmart rates CDW as Hold.
- CDW PE ratio analysis and historical PE chart
- CDW PS ratio (Price-to-Sales) history and trend
- CDW intrinsic value — DCF, Graham Number, EPV models
- CDW stock price prediction 2025 2026 2027 2028 2029 2030
- CDW fair value vs current price
- CDW insider transactions and insider buying
- Is CDW undervalued or overvalued?
- CDW Corp financial analysis — revenue, earnings, cash flow
- CDW Piotroski F-Score and Altman Z-Score
- CDW analyst price target and Smart Rating
CDW Corp
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CDW Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · CDW Corp (CDW)
CDW appears undervalued based on the Graham Formula, trading 21% below its estimated fair value of $171.01.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
CDW Corp (CDW) · 10 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in market cap, peg ratio, return on equity. Concerns around operating margin and price/book. Fundamentals are solid but monitor weak areas for improvement.
CDW Corp (CDW) Key Strengths (5)
Every $100 of shareholder equity generates $43 in profit
Paying less than $1 for every $1 of annual revenue
97.92% of shares held by major funds and institutions
Large-cap company with substantial market presence
Good growth relative to its price
Supporting Valuation Data
CDW Corp (CDW) Areas to Watch (5)
Very thin margins with limited operational efficiency
Very expensive at 6.0x book value
Very thin margins, barely profitable
Modest revenue growth at 6.30%
Modest earnings growth at 8.80%
CDW Corp (CDW) Detailed Analysis Report
Overall Assessment
This company scores 59/100 in our Smart Analysis, earning a C grade. Out of 10 metrics analyzed, 5 register as strengths (avg 9.4/10) while 5 fall into concern territory (avg 2.8/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on Return on Equity, Price/Sales, Institutional Own.. Valuation metrics including PEG Ratio (1.33), Price/Sales (0.71) suggest the stock is attractively priced. Profitability is solid with Return on Equity at 43.00%.
The Bear Case
The primary concerns are Operating Margin, Price/Book, Profit Margin. Some valuation metrics including Price/Book (5.96) suggest expensive pricing. Growth concerns include Revenue Growth at 6.30%, EPS Growth at 8.80%, which may limit upside. Profitability pressure is visible in Operating Margin at 7.31%, Profit Margin at 4.76%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether Operating Margin improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 43.00% currently healthy but needing to be sustained. Third, growth sustainability, with Revenue Growth at 6.30% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a moderate-to-high risk investment. Strengths and concerns are roughly balanced. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Mixed fundamentals with both positives (Return on Equity, Price/Sales) and negatives (Operating Margin, Price/Book). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
CDW Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
CDW's Price-to-Sales ratio of 0.71x trades 20% below its historical average of 0.88x (34th percentile). The current valuation is 57% below its historical high of 1.63x set in Mar 2024, and 136% above its historical low of 0.3x in Jul 2013. Over the past 12 months, the PS ratio has compressed from ~1.0x as trailing revenue scaled faster than the stock price.
WallStSmart Analysis Synopsis
Data-driven financial summary for CDW Corp (CDW) · TECHNOLOGY › INFORMATION TECHNOLOGY SERVICES
The Big Picture
CDW Corp operates as a stable business with moderate growth and solid fundamentals. Revenue reached 22.4B with 6% growth year-over-year. Profit margins are thin at 4.8%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
ROE of 43.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.
Generating 396M in free cash flow and 434M in operating cash flow. Earnings are translating into actual cash generation.
Debt-to-equity ratio of 2.42 is elevated. High leverage amplifies both gains and losses and increases financial risk.
What to Watch Next
Margin expansion: can CDW Corp push profit margins above 15% as the business scales?
Debt management: total debt of 6.3B is significantly higher than cash (619M). Monitor refinancing risk.
Sector dynamics: monitor INFORMATION TECHNOLOGY SERVICES industry trends, competitive moves, and regulatory changes that could impact CDW Corp.
Bottom Line
CDW Corp offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions(54 last 3 months)
| Insider | Type | Shares |
|---|---|---|
SANDERSON, KATHERINE ELIZABETH See Remarks | Sell | -2,204.59 |
Data sourced from SEC Form 4 filings
Last updated: 10:05:44 AM
About CDW Corp(CDW)
NASDAQ
TECHNOLOGY
INFORMATION TECHNOLOGY SERVICE...
USA
CDW Corporation, headquartered in Lincolnshire, Illinois, is a provider of technology products and services for business, government and education.