Share Buyback Program Declared by CDW (NASDAQ:CDW) Board

CDW (NASDAQ:CDW - Get Free Report) declared that its Board of Directors has initiated a stock buyback plan on Wednesday, February 5th, RTT News reports. The company plans to repurchase $750.00 million in shares. This repurchase authorization allows the information technology services provider to repurchase up to 2.7% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's board believes its shares are undervalued.

CDW Stock Performance

CDW stock traded down $7.84 during mid-day trading on Friday, hitting $192.02. 1,470,637 shares of the company were exchanged, compared to its average volume of 1,442,600. CDW has a 1-year low of $168.43 and a 1-year high of $263.37. The stock has a market capitalization of $25.59 billion, a PE ratio of 24.09, a price-to-earnings-growth ratio of 5.40 and a beta of 1.01. The business has a 50 day simple moving average of $183.86 and a 200-day simple moving average of $202.15. The company has a current ratio of 1.35, a quick ratio of 1.28 and a debt-to-equity ratio of 2.38.

CDW (NASDAQ:CDW - Get Free Report) last released its quarterly earnings results on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.33 by $0.07. CDW had a return on equity of 55.42% and a net margin of 5.13%. On average, equities analysts forecast that CDW will post 9.35 earnings per share for the current year.

CDW Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, March 11th. Stockholders of record on Tuesday, February 25th will be issued a dividend of $0.625 per share. The ex-dividend date is Tuesday, February 25th. This represents a $2.50 annualized dividend and a dividend yield of 1.30%. CDW's dividend payout ratio is presently 31.37%.

Analyst Upgrades and Downgrades

Several analysts have commented on CDW shares. Morgan Stanley raised their target price on shares of CDW from $193.00 to $201.00 and gave the stock an "equal weight" rating in a report on Thursday. JPMorgan Chase & Co. lowered shares of CDW from an "overweight" rating to a "neutral" rating and reduced their target price for the stock from $260.00 to $235.00 in a research note on Monday, October 28th. UBS Group dropped their price target on CDW from $233.00 to $220.00 and set a "buy" rating on the stock in a research note on Tuesday, January 7th. Barclays increased their price objective on CDW from $201.00 to $223.00 and gave the stock an "equal weight" rating in a report on Thursday. Finally, Redburn Atlantic initiated coverage on CDW in a research note on Friday, November 15th. They issued a "buy" rating and a $230.00 target price on the stock. Four 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, CDW presently has a consensus rating of "Moderate Buy" and an average price target of $242.67.

About CDW

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.