# CDW Corporation (CDW) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Technology / IT Services. Price $152.38, market value $19.1 billion.

## Valuation
- **P/E (trailing): 18.3×** (5-yr avg 22.7×, 3-yr avg 21.7×). CDW Corporation trades at 18.3× trailing earnings, close to its own five-year average of 22.7×. The Technology median in the September 2026 study was 32.1×. Forward P/E is 12.8×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 9.25**. A PEG of 9.25 means the P/E is high relative to expected earnings growth; the price already assumes a lot.
- **Price / sales: 0.8×**. Each dollar of revenue is priced at 0.8×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 7.8×**. The shares trade at 7.8× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 12.2×**. Enterprise value is 12.2× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 4.5%** (5-yr avg 4.7%). Free cash flow equals 4.5% of the market value, in line with its five-year average of 4.7%.
- **Earnings yield: 5.5%**. The inverse of the P/E: 5.5% of the price is earned each year.

## Profitability
- **Gross margin: 21.4%**. CDW Corporation keeps 21.4% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 7.1%**. 7.1% of revenue is left after running the business.
- **Net margin: 4.8%**. 4.8% of each dollar of sales reaches the bottom line.
- **Return on equity: 40.9%**. 40.9% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 17.4%**. Return on all capital, debt included, is 17.4%: comfortably above what that capital costs.
- **Return on assets: 6.7%**. Each dollar of assets produces 6.7% of profit.

## Growth
- **Revenue growth (1 yr): 6.8%** (3-yr -1.9%/yr, 5-yr 4.0%/yr). Revenue grew 6.8% over the last year, against 4.0% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 1.4%** (3-yr -0.2%/yr, 5-yr 8.2%/yr). Earnings per share rose 1.4%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -3.4%/yr**. Free cash flow has compounded at -3.4% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 2.16**. Debt is 2.16 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 2.5×**. It would take 2.5 years of operating earnings to repay net borrowings, within the comfortable range.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 1.65%** ($2.52 per share, trailing). CDW Corporation yields 1.65%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 31%** (38% of free cash flow). 31% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 13**. 13 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 10.2%/yr** (1-yr 0.8%). The dividend has compounded at 10.2% a year over five years, doubling roughly every 7 years at that pace.

## Analyst view
- **Analyst consensus: buy** (9 analysts). 9 analysts cover CDW Corporation; the consensus is buy, with an average price target of $155.89 (+2% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -6.9%** (YTD 13.1%, 3-mo 14.5%). The shares are down 6.9% over twelve months including dividends.
- **From 52-week high: -11.2%** (56.9% above the low). Trading 11% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 61**. An RSI of 61 is neutral.
- **Beta (1 yr): 0.78** (volatility 45%). Beta of 0.78 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=CDW · Page: https://foliofundamentals.com/stocks/cdw

Not investment advice.