CDW (NASDAQ:CDW) Hits New 1-Year Low – Here’s What Happened

CDW Corporation (NASDAQ:CDW)’s share price reached a new 52-week low on Thursday . The stock traded as low as $106.00 and last traded at $109.00, with a volume of 6321308 shares changing hands. The stock had previously closed at $136.80.

Key CDW News

Here are the key news stories impacting CDW this week:

• Positive Sentiment: Management outlined a company-wide “AI‑first” Geared for Growth program targeting $100M–$200M in run‑rate improvements (up to $200M in potential cost savings into 2027–2028), which could materially boost long‑term profitability if execution succeeds. CDW CEO Christine Leahy: ‘Geared For Growth’ AI-First Initiative Will ‘Supercharge’ CDW With Up To $200M In Cost Savings
• Positive Sentiment: Top‑line beat: Q1 net sales of $5.68B (+9.2% y/y) topped Street revenue expectations, driven by strong IT demand tied to AI and cloud adoption — evidence of sustained end‑market demand. CDW posts first-quarter revenue beat on strong IT demand amid AI, cloud boom
• Positive Sentiment: Board declared a $0.63 quarterly cash dividend (ex‑div May 22), reinforcing capital allocation priorities (dividends, buybacks, M&A). That supports income‑oriented holders. CDW Declares Quarterly Cash Dividend of $0.630 Per Share
• Neutral Sentiment: Corporate moves to expand enterprise services (hiring of HPE’s Hang Tan) could diversify higher‑margin services revenue but will take time to scale. Analysis: CDW’s Hiring Of HPE’s Hang Tan Underscores Enterprise Services Ambitions
• Neutral Sentiment: CDW will present at the J.P. Morgan TMC conference, offering a venue for management to clarify execution and margins — a potential catalyst if they provide clearer guidance. CDW to Participate in the J.P. Morgan 2026 Global Technology, Media & Communications Conference
• Negative Sentiment: Margins disappointed: gross margin and operating margins compressed (Q1 gross margin 21.0% vs 21.6% a year ago; operating margin down). EPS of $2.28 was in line with some consensus figures but slightly below other estimates, and management signaled near‑term margin pressure tied to investments — a key reason investors sold. CDW’s 20 Percent Share Plunge: Big Takeaways From Q1 Results
• Negative Sentiment: Market reaction: shares fell sharply to a 52‑week low on the mixed print and margin concerns, with heavy trading volume and negative headlines amplifying the move. CDW Stock Sinks To 52-Week Low – Here’s Why

Analyst Ratings Changes

CDW has been the subject of several research reports. UBS Group reduced their target price on CDW from $190.00 to $162.00 and set a “buy” rating for the company in a report on Thursday, February 5th. JPMorgan Chase & Co. dropped their price target on CDW from $170.00 to $160.00 and set a “neutral” rating on the stock in a research report on Thursday, February 5th. Raymond James Financial set a $150.00 price target on CDW in a research report on Wednesday. Morgan Stanley boosted their price target on CDW from $141.00 to $142.00 and gave the company an “equal weight” rating in a research report on Thursday, February 5th. Finally, Barclays dropped their price target on CDW from $148.00 to $144.00 and set an “equal weight” rating on the stock in a research report on Thursday, February 5th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and five have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $155.43.

CDW Price Performance

The stock has a market cap of $13.95 billion, a price-to-earnings ratio of 13.47, a PEG ratio of 1.88 and a beta of 1.04. The company has a 50-day moving average of $125.33 and a 200-day moving average of $134.56. The company has a debt-to-equity ratio of 1.77, a quick ratio of 1.10 and a current ratio of 1.18.

CDW (NASDAQ:CDW) last released its earnings results on Wednesday, May 6th. The information technology services provider reported $2.28 earnings per share (EPS) for the quarter, hitting the consensus estimate of $2.28. CDW had a return on equity of 50.66% and a net margin of 4.76%.The company had revenue of $5.68 billion for the quarter, compared to analysts’ expectations of $5.48 billion. During the same quarter in the previous year, the firm posted $2.15 EPS. The firm’s quarterly revenue was up 9.2% on a year-over-year basis. As a group, equities research analysts predict that CDW Corporation will post 10.01 earnings per share for the current year.

CDW Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Monday, May 25th will be given a dividend of $0.63 per share. The ex-dividend date is Friday, May 22nd. This represents a $2.52 annualized dividend and a yield of 2.3%. CDW’s payout ratio is presently 31.15%.

Hedge Funds Weigh In On CDW

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Root Financial Partners LLC acquired a new position in CDW during the 3rd quarter worth approximately $26,000. Quent Capital LLC acquired a new position in CDW during the 3rd quarter worth approximately $57,000. eCIO Inc. acquired a new position in CDW during the 4th quarter worth approximately $61,000. Covestor Ltd increased its position in CDW by 87.9% during the 3rd quarter. Covestor Ltd now owns 483 shares of the information technology services provider’s stock worth $77,000 after purchasing an additional 226 shares during the period. Finally, American National Bank & Trust acquired a new position in CDW during the 4th quarter worth approximately $110,000. Institutional investors and hedge funds own 93.15% of the company’s stock.

About CDW

CDW (NASDAQ: CDW) is a leading provider of information technology products and integrated solutions for business, government, education and healthcare customers. The company sources and resells hardware and software from major technology vendors and packages those products with professional services, managed services and lifecycle support. Its offerings span IT infrastructure, cloud and data center solutions, cybersecurity, networking, unified communications, endpoint devices, and software licensing and procurement services designed to simplify IT operations for customers.

CDW combines a broad product portfolio with consultative sales, implementation and technical support capabilities.