CDW Corporation
- Open
- 148.36
- Day high
- 152.63
- Day low
- 147.40
- Prev close
- 147.69
- Volume
- 2.2M
- Mkt cap
- $19.0B
- P/E (TTM)
- 18.2
- EPS (TTM)
- $8.35
- P/B
- 7.8
- P/S
- 0.8
- Yield
- 1.66%
- Per share
- $2.52
- ▼Insiders net selling -$3.7M over the last 3 months (0 open-market buys, 1 sale)
- 🏛Institutions mixed (13F)
CDW Corporation (CDW) is a Technology company listed on NASDAQ. The stock is down 7% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 1 sale (SEC Form 4). Drillr has 1 published research article covering CDW.
CDW Corporation (CDW) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 2 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
CDW earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Aug 5, 2026 | $2.80 | $2.91 | +4.0% | $6.6B | +5.7% |
| May 6, 2026 | $2.28 | $2.28 | +0.0% | $5.7B | +3.6% |
| Feb 4, 2026 | $2.44 | $2.57 | +5.2% | $5.5B | +0.9% |
| Nov 4, 2025 | $2.62 | $2.71 | +3.4% | $5.7B | -0.2% |
| Aug 6, 2025 | $2.49 | $2.60 | +4.4% | $6.0B | +8.5% |
| May 7, 2025 | $1.96 | $2.15 | +9.8% | $5.2B | +5.5% |
| Feb 5, 2025 | $2.33 | $2.48 | +6.3% | $5.2B | +4.7% |
| Oct 30, 2024 | $2.86 | $2.63 | -7.9% | $5.5B | -3.2% |
| Jul 31, 2024 | $2.53 | $2.50 | -1.2% | $5.4B | +0.2% |
| May 1, 2024 | $2.15 | $1.92 | -10.6% | $4.9B | -2.2% |
| Feb 7, 2024 | $2.56 | $2.57 | +0.4% | $5.0B | -5.4% |
| Nov 1, 2023 | $2.60 | $2.72 | +4.4% | $5.6B | -4.2% |
CDW insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Aug 19, 2026 | Kumar Mukeshofficer: See Remarks | Tax | 1,147 | $139.42 |
| Aug 11, 2026 | CONNELLY ELIZABETH H.officer: See Remarks | Option | 14,900 | $98.21 |
| Aug 11, 2026 | CONNELLY ELIZABETH H.officer: See Remarks | Option | 11,795 | $95.57 |
| Aug 11, 2026 | CONNELLY ELIZABETH H.officer: See Remarks | Sell | 26,695 | $137.62 |
| Jul 6, 2026 | Swedish Josephdirector | Grant | 208 | — |
| Jul 6, 2026 | NELMS DAVID Wdirector | Grant | 229 | — |
| Jun 12, 2026 | Foxx Anthony Rdirector | Grant | 33 | $129.30 |
| Jun 12, 2026 | CONNELLY ELIZABETH H.officer: See Remarks | Grant | 88 | $129.30 |
| Jun 12, 2026 | Swedish Josephdirector | Grant | 31 | $129.30 |
| Jun 12, 2026 | LEAHY CHRISTINE Adirector, officer: See Remarks | Grant | 298 | $129.30 |
| Jun 12, 2026 | BELL JAMES Adirector | Grant | 105 | $129.30 |
| Jun 12, 2026 | ADDICOTT VIRGINIA C.director | Grant | 90 | $129.30 |
| Jun 12, 2026 | KULEVICH FREDERICK J.officer: See Remarks | Grant | 65 | $129.30 |
| Jun 12, 2026 | Grier Kelly Jdirector | Grant | 8 | $129.30 |
| Jun 12, 2026 | Jones Marc Ellisdirector | Grant | 22 | $129.30 |
Source: CDW SEC Form 4 filings, latest Aug 19, 2026. For informational purposes only — not investment advice.
See the full CDW insider & 13F page →CDW Corporation company profile
Overview
CDW Corporation (NASDAQ:CDW) is a leading technology solutions provider founded in 1984 and headquartered in Vernon Hills, Illinois. The company went public in 2013 and has grown to become one of the largest IT resellers and services providers in North America. CDW serves a diverse customer base including corporations, small businesses, government agencies, educational institutions, and healthcare organizations across the United States, United Kingdom, and Canada. The company operates as an intermediary between technology manufacturers and end customers, providing both products and comprehensive IT services to help organizations modernize their technology infrastructure.
Business
CDW operates in the information technology distribution and services industry, functioning as a comprehensive technology solutions provider that bridges the gap between technology manufacturers and end-user organizations. The company's core business revolves around selling IT hardware, software, and services while providing expert consultation and implementation support. The company operates through three primary business segments. The Corporate segment serves medium and large businesses, representing approximately 60-65% of total revenue. The Small Business segment focuses on companies with fewer than 250 employees, contributing roughly 15-20% of revenue. The Public sector segment serves government agencies, educational institutions, and healthcare organizations, accounting for about 20-25% of revenue. CDW's product portfolio spans several key categories. Hardware products include notebooks, desktop computers, servers, networking equipment, storage devices, and mobile devices - essentially the physical technology infrastructure that organizations need to operate. Software products encompass operating systems, security applications, productivity suites, virtualization platforms, and specialized industry applications that run on the hardware infrastructure. The company also provides IT services including consulting, system design, implementation, managed services, configuration, and ongoing technical support. The company's approach differs from traditional product resellers by emphasizing solution selling rather than simple product distribution. This means CDW's account managers and technical specialists work closely with customers to understand their business challenges and design comprehensive technology solutions that may involve multiple products and services working together. For example, a healthcare organization seeking to modernize its patient records system might receive a complete solution including servers, security software, cloud migration services, and ongoing managed support - all coordinated and implemented by CDW's technical teams.
Revenue model
CDW generates revenue through multiple complementary business models. The primary revenue stream comes from product sales, where the company purchases technology products from manufacturers like Microsoft, Cisco, Dell, and HP at wholesale prices and resells them to customers at marked-up retail prices. This traditional distribution model accounts for the majority of CDW's revenue, with gross margins typically ranging from 18-22% depending on product mix and competitive dynamics. The company also earns revenue through service fees for professional services including consulting, system design, implementation, configuration, and managed services. These services often command higher margins than product sales, typically 25-35%, because they leverage CDW's technical expertise and customer relationships. Additionally, CDW receives vendor rebates and incentives from technology manufacturers based on sales volume and meeting specific performance targets, which can add 2-4% to overall gross margins. CDW's customers are primarily businesses and organizations that need technology infrastructure to operate effectively. Corporate customers range from mid-market companies upgrading their IT systems to large enterprises implementing complex digital transformation projects. Government agencies purchase everything from basic computing equipment to sophisticated cybersecurity solutions. Educational institutions buy classroom technology, campus networking infrastructure, and administrative systems. Healthcare organizations invest in electronic health records systems, medical imaging technology, and compliance-focused security solutions. Several factors influence CDW's profitability margins. Product mix significantly impacts margins, with software and services typically generating higher margins than commodity hardware products. Market competition can pressure margins, particularly in standardized products where customers can easily compare prices across vendors. Economic conditions affect customer spending patterns, with organizations often delaying major IT investments during uncertain times. Technology refresh cycles create periodic demand surges, such as when Microsoft ends support for older operating systems, forcing widespread hardware upgrades. Vendor relationships and scale allow CDW to negotiate better wholesale pricing and rebate terms, while operational efficiency in logistics and customer service helps maintain competitive positioning without sacrificing margins.
Competitive moat
CDW's competitive moat is moderately strong but not insurmountable, built primarily on relationships, expertise, and operational scale rather than proprietary technology or regulatory barriers. The company's primary competitive advantage lies in its deep customer relationships developed over decades of service. Many organizations rely on CDW not just for products but for strategic IT guidance, creating switching costs beyond simple price comparisons. These relationships are reinforced by CDW's technical expertise - the company employs thousands of certified technical specialists who understand complex enterprise technology environments and can design integrated solutions. Operational scale provides another defensive element. CDW's size enables it to negotiate favorable terms with vendors, maintain extensive inventory, and spread fixed costs across a large revenue base. The company's broad product portfolio allows it to serve as a one-stop shop for customers, reducing the administrative burden of managing multiple vendor relationships. Additionally, CDW's services capabilities create recurring revenue streams and deeper customer engagement beyond simple product transactions. However, CDW faces significant competitive threats that limit the durability of its moat. Direct sales by manufacturers represent the most serious long-term challenge, as companies like Dell, Microsoft, and Cisco increasingly sell directly to large customers, potentially bypassing distributors entirely. Cloud computing is reshaping the IT landscape, with customers increasingly purchasing software-as-a-service directly from providers like Amazon Web Services, Microsoft Azure, and Google Cloud, reducing demand for traditional on-premise hardware and software that CDW distributes. Price competition from other distributors and online retailers can erode margins, particularly for standardized products where differentiation is limited. Economic downturns can quickly reduce customer spending on discretionary IT projects, impacting both product sales and higher-margin services revenue. The company's moat is further challenged by the commoditization of IT products and the increasing ability of customers to research and purchase technology solutions independently through online channels.
Risks & safety
CDW demonstrates moderate financial safety with reasonable liquidity but elevated leverage levels that warrant attention. • Liquidity position: Cash and short-term investments of $471 million as of Q1 2025, with current ratio of 1.32 indicating adequate short-term liquidity coverage • Debt burden: Debt-to-equity ratio of 2.58 reflects significant leverage, though this is partially due to the company's working capital-intensive business model requiring substantial inventory financing • Cash generation: Strong free cash flow of $1.15 billion in fiscal 2024 demonstrates the business's ability to generate cash consistently, providing debt service coverage • Valuation metrics: Trading at P/E ratio of 23.6x and EV/EBITDA of 15.3x, representing reasonable but not cheap valuations relative to earnings • Solvency considerations: The company maintains investment-grade credit characteristics with stable cash flows, though economic sensitivity could pressure margins during downturns
Recent development
Over the past few years, CDW has strategically pivoted toward higher-value solutions and services to reduce dependence on commodity hardware sales. The company has significantly expanded its cloud capabilities, including the acquisition of Mission Cloud Services to enhance AWS expertise and cloud migration services. This move addresses the industry shift toward cloud computing and positions CDW as a strategic partner for digital transformation rather than just a product reseller. CDW has also invested heavily in cybersecurity solutions, recognizing the growing importance of security in enterprise IT environments. The company has built specialized security practices and hired certified security professionals to help customers navigate increasingly complex threat landscapes. Additionally, CDW has focused on developing industry-specific expertise, particularly in healthcare, where it has established transformation centers and specialized teams to address the unique technology needs of medical organizations. The company has begun positioning itself for the artificial intelligence opportunity, though this remains in early stages. CDW is investing in AI consulting capabilities and helping customers assess AI use cases, though meaningful revenue contribution is still emerging. The company has also maintained focus on client device refresh cycles, particularly around Windows operating system transitions and the potential adoption of AI-enabled PCs. Recent operational improvements include workforce optimization efforts, including a 2% reduction in headcount during challenging market conditions, and continued investment in digital customer experience platforms to improve efficiency and customer satisfaction. The company has maintained its disciplined approach to capital allocation, returning significant cash to shareholders through dividends and share repurchases while making selective acquisitions to enhance capabilities.
CDW company profile · for informational purposes only — not investment advice.
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