DailyIQ
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Sector:TechnologyAll sectors
Last updated 6 minutes ago

CDW·CDW Corporation

$.
+. (+.%)
After Hours
High
$144.97
Open
$144.97
Market Cap
18.45B
52W High
$183.66
Low
$141.46
P. Close
$144.41
P/E
17.13
52W Low
$97.12
Fwd P/E
51.62
DailyIQ Est.
$148.87
Technical Score (1D)
86
BUY
News Sentiment
61
BULLISH
Recent analysis shows CDW trading roughly 26.5 % below its intrinsic value, despite a 19.1 % decline over three years, indicating a potential margin of safety. This discount is supported by five of six valuation tests, suggesting the stock remains undervalued relative to fundamentals. The valuation gap may reflect risks not fully captured by current models, so investors should monitor any changes in DCF assumptions or valuation multiples. In parallel, CDW has highlighted its Steward lifecycle platform, which promises faster statement‑of‑work preparation and richer asset‑lifecycle discussions. The platform has generated near‑term momentum, with a 90‑day return of 11.69 % and a 1‑day return of 1.81 %, yet the 1‑year total shareholder return fell 20.47 %. This contrast suggests that while short‑term gains are visible, long‑term performance may lag, raising questions about the platform’s sustained impact. CDW was recently removed from several Russell growth indices, adding a negative backdrop that could weigh on investor perception and liquidity. Over the next 1–10 trading days, the market will likely focus on upcoming earnings for guidance updates and on platform adoption metrics to assess whether the Steward initiative translates into higher revenue and cash flow. Watch for any revisions to earnings guidance, changes in DCF inputs, and the company’s performance relative to its Russell index peers to gauge whether the discount narrows or widens.
Earnings Summary
CDW Corporation, a leading provider of comprehensive IT solutions across the United States, United Kingdom, and Canada, delivers hardware, software, and related services to a broad customer base that includes business, government, education, and healthcare sectors, positioning it as a key player in the information technology services industry. In the most recent two quarters, the company reported revenue of $5.68 billion in Q1 2026 and an estimated $6.26 billion in Q2 2026, compared with $5.74 billion in Q3 2025 and $5.98 billion in Q2 2025; revenue growth slowed in Q1 2026 but the Q2 2026 estimate suggests a rebound, while EPS in Q1 2026 ($2.28) fell slightly below the $2.286 estimate after a streak of four consecutive beats (Q4 2024, Q1 2025, Q2 2025, Q3 2025). Historically, CDW has shown a YoY revenue trajectory that accelerated sharply in early 2025, then moderated in the latter half of the year, with EPS consistently beating estimates until the most recent quarter where it missed marginally, indicating a potential shift in profitability dynamics. Recent news highlights a 26.5 % discount to intrinsic value, removal from several Russell growth indices, and a downgrade of the target price to $146 by Argus Research amid concerns over competitive pressure and earnings outlook, yet the company’s Steward lifecycle platform has generated near‑term momentum; these developments underscore the tension between valuation concerns and the company’s ability to capitalize on AI‑driven server demand and data‑center modernization. Investors should watch for guidance updates in the upcoming earnings release, particularly regarding server revenue, AI‑related contracts, and margin performance, as well as any commentary on cost‑control initiatives and platform adoption metrics that could influence whether the valuation discount narrows or widens in the next 10–15 trading days. The key will be whether CDW can sustain its recent earnings beats while navigating competitive headwinds and translating platform momentum into higher revenue and cash flow.

EPS

EstBeatMiss
$1.84$2.11$2.38$2.65$2.92Q4'24Q1'25Q2'25Q3'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$2.80 - -
Q1'26$2.29$2.28-0.3%
Q3'25$2.62$2.71+3.4%
Q2'25$2.49$2.60+4.4%
Q1'25$1.96$2.15+9.5%
Q4'24$2.32$2.48+6.7%

Revenue

EstBeatMiss
$5.0B$5.4B$5.7B$6.1B$6.4BQ4'24Q1'25Q2'25Q3'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$6.3B - -
Q1'26$5.5B$5.7B+3.5%
Q3'25 - $5.7B -
Q2'25 - $6.0B -
Q1'25 - $5.2B -
Q4'24 - $5.2B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

CDW Stock Snapshot

CDW is currently trading at $144.39, giving CDW Corporation a market cap of 18.45B and a P/E ratio of 17.1. Today's range spans $141.46–$144.97, with shares opening at $144.97 and moving down $0.02 (0.0%) from the prior close. DailyIQ's technical score sits at 86/100 (BUY) with a news sentiment reading of 61/100.

Over the past year CDW has traded between $97.12 and $183.66 - the current price is +48.7% off the 52-week low and -21.4% from the high. 18 analysts cover the stock with a Buy consensus and a mean 12-month target of $145.11 (range $123.00–$170.00), implying upside of +0.5%.

CDW Corporation (CDW) sits at $144.39 (in the middle of its 52-week range within $97.12–$183.66), scoring 86/100 (BUY) with bullish sentiment at 61/100. At 18.45B in Technology market cap (P/E: 17.1), this large-cap is right in the zone where buy-side analysts get excited and allocation committees approve new position additions. A bullish technical phase with sentiment confirmation is the green light most of them are looking for.

The combination of a BUY signal (86/100) and bullish news sentiment (61/100) puts CDW on the screens of active managers who run quality-momentum overlays — a cohort that can build meaningful positions at 18.45B in Technology market cap without immediately moving the stock. At $144.39 (in the middle of its 52-week range in the $97.12–$183.66 range), the entry discipline is clean and the potential re-rating if sentiment continues to improve is meaningful.