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Vernon Hills, Illinois-based CDW Corporation (CDW) provides information technology (IT) solutions. With a market cap of $21.9 billion, the company offers hardware, software, computer peripherals, cloud computing, mobile devices, network communication, and security solutions.
Shares of this leading multi-brand provider of IT solutions have considerably underperformed the broader market over the past year. CDW has declined 25.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 16.1%. In 2025, CDW stock is down 4.1%, compared to the SPX’s 10% rise on a YTD basis.
Narrowing the focus, CDW’s underperformance is also apparent compared to the Fidelity MSCI Information Technology Index ETF (FTEC). The exchange-traded fund has gained about 21.7% over the past year. Moreover, the ETF’s 11.7% gains on a YTD basis outshine the stock’s single-digit losses over the same time frame.
On Aug. 6, CDW shares closed up marginally after reporting its Q2 results. Its adjusted EPS of $2.60 beat Wall Street expectations of $2.49.The company’s revenue was $5.98 billion, exceeding Wall Street forecasts of $5.51 billion.
For the current fiscal year, ending in December, analysts expect CDW’s EPS to grow 2.1% to $9.43 on a diluted basis. The company’s earnings surprise history is mixed. It beat the consensus estimate in three of the last four quarters while missing the forecast on another occasion.
Among the 12 analysts covering CDW stock, the consensus is a “Moderate Buy.” That’s based on five “Strong Buy” ratings, two “Moderate Buys,” and five “Holds.”
The configuration has been consistent over the past three months.
On Aug. 11, Evercore ISI analyst Amit Daryanani maintained a “Buy” rating on CDW and set a price target of $215, implying a potential upside of 28.7% from current levels.
The mean price target of $206.80 represents a 23.8% premium to CDW’s current price levels. The Street-high price target of $235 suggests an ambitious upside potential of 40.7%.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
