Madison Investment Advisors LLC Makes New $131 Million Investment in CDW Co. (NASDAQ:CDW)

Madison Investment Advisors LLC bought a new position in CDW Co. (NASDAQ:CDW) in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 752,677 shares of the information technology services provider’s stock, valued at approximately $130,996,000. CDW makes up approximately 1.5% of Madison Investment Advisors LLC’s investment portfolio, making the stock its 13th biggest position. Madison Investment Advisors LLC owned about 0.56% of CDW at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in CDW. Assetmark Inc. grew its stake in CDW by 37.3% in the third quarter. Assetmark Inc. now owns 975 shares of the information technology services provider’s stock valued at $221,000 after acquiring an additional 265 shares during the period. Covestor Ltd grew its stake in CDW by 80.1% in the third quarter. Covestor Ltd now owns 245 shares of the information technology services provider’s stock valued at $55,000 after acquiring an additional 109 shares during the period. Ashton Thomas Securities LLC purchased a new position in shares of CDW during the third quarter valued at approximately $43,000. WCM Investment Management LLC boosted its position in shares of CDW by 4.6% during the third quarter. WCM Investment Management LLC now owns 1,380 shares of the information technology services provider’s stock valued at $313,000 after buying an additional 61 shares during the last quarter. Finally, Apollon Wealth Management LLC boosted its position in shares of CDW by 36.1% during the third quarter. Apollon Wealth Management LLC now owns 2,938 shares of the information technology services provider’s stock valued at $665,000 after buying an additional 779 shares during the last quarter. 93.15% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several research analysts recently issued reports on CDW shares. UBS Group cut their target price on CDW from $233.00 to $220.00 and set a “buy” rating on the stock in a research report on Tuesday, January 7th. Barclays lifted their target price on CDW from $201.00 to $223.00 and gave the company an “equal weight” rating in a research report on Thursday, February 6th. Redburn Atlantic assumed coverage on CDW in a research report on Friday, November 15th. They set a “buy” rating and a $230.00 target price on the stock. Finally, Morgan Stanley boosted their price objective on CDW from $193.00 to $201.00 and gave the stock an “equal weight” rating in a research report on Thursday, February 6th. Four equities research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $242.67.

CDW Stock Performance

Shares of CDW opened at $166.66 on Thursday. The firm has a market cap of $22.08 billion, a PE ratio of 20.91, a PEG ratio of 3.21 and a beta of 1.01. The stock’s fifty day moving average price is $185.98 and its two-hundred day moving average price is $196.16. The company has a debt-to-equity ratio of 2.38, a current ratio of 1.35 and a quick ratio of 1.24. CDW Co. has a 1 year low of $164.70 and a 1 year high of $263.37.

CDW (NASDAQ:CDW) last released its quarterly earnings data on Wednesday, February 5th. The information technology services provider reported $2.40 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.33 by $0.07. CDW had a return on equity of 55.42% and a net margin of 5.13%. On average, equities research analysts forecast that CDW Co. will post 9.41 EPS for the current year.

CDW Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 11th. Shareholders of record on Tuesday, February 25th were paid a $0.625 dividend. The ex-dividend date was Tuesday, February 25th. This represents a $2.50 dividend on an annualized basis and a yield of 1.50%. CDW’s dividend payout ratio is currently 31.37%.

CDW declared that its Board of Directors has authorized a share repurchase program on Wednesday, February 5th that allows the company to repurchase $750.00 million in outstanding shares. This repurchase authorization allows the information technology services provider to purchase up to 2.7% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s leadership believes its shares are undervalued.

About CDW

CDW Corporation provides information technology (IT) solutions in the United States, the United Kingdom, and Canada. It operates through three segments: Corporate, Small Business, and Public. The company offers discrete hardware and software products and services, as well as integrated IT solutions, including on-premise and cloud capabilities across hybrid infrastructure, digital experience, and security.