Lakewood Capital Management LP Takes $68 Million Position in CDW Corporation $CDW

Lakewood Capital Management LP bought a new stake in CDW Corporation (NASDAQ:CDW) in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 483,500 shares of the information technology services provider’s stock, valued at approximately $67,999,000. CDW makes up approximately 3.5% of Lakewood Capital Management LP’s portfolio, making the stock its 8th largest position.

A number of other institutional investors and hedge funds also recently modified their holdings of the business. Hollencrest Capital Management lifted its holdings in CDW by 909.1% during the first quarter. Hollencrest Capital Management now owns 222 shares of the information technology services provider’s stock worth $27,000 after acquiring an additional 200 shares during the period. Allied Private Wealth LLC bought a new position in CDW in the 2nd quarter valued at $28,000. Keating Financial Advisory Services Inc. bought a new position in CDW in the 2nd quarter valued at $28,000. Root Financial Partners LLC increased its position in shares of CDW by 54.7% during the 1st quarter. Root Financial Partners LLC now owns 263 shares of the information technology services provider’s stock valued at $32,000 after purchasing an additional 93 shares during the last quarter. Finally, Johnson Financial Group Inc. bought a new stake in shares of CDW during the 2nd quarter worth $51,000. 93.15% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of equities analysts recently weighed in on the stock. UBS Group cut their price target on shares of CDW from $162.00 to $147.00 and set a “buy” rating on the stock in a report on Thursday, May 7th. JPMorgan Chase & Co. upgraded shares of CDW from a “neutral” rating to an “overweight” rating and set a $130.00 price objective for the company in a report on Wednesday, May 27th. Raymond James Financial set a $150.00 price objective on shares of CDW in a research report on Wednesday, May 6th. Barclays dropped their target price on shares of CDW from $144.00 to $123.00 and set an “equal weight” rating on the stock in a research note on Thursday, May 7th. Finally, Weiss Ratings raised shares of CDW from a “sell (d+)” rating to a “hold (c-)” rating in a report on Thursday, June 11th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $147.00.

CDW Stock Down 3.5%

CDW stock opened at $132.51 on Tuesday. The company has a quick ratio of 1.05, a current ratio of 1.17 and a debt-to-equity ratio of 1.97. The firm has a market capitalization of $16.57 billion, a PE ratio of 15.93, a PEG ratio of 1.81 and a beta of 0.96. CDW Corporation has a twelve month low of $97.12 and a twelve month high of $171.55. The stock has a 50-day simple moving average of $136.39 and a two-hundred day simple moving average of $128.45.

CDW (NASDAQ:CDW) last announced its quarterly earnings results on Wednesday, August 5th. The information technology services provider reported $2.91 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.80 by $0.11. CDW had a net margin of 4.60% and a return on equity of 50.61%. The firm had revenue of $6.57 billion for the quarter, compared to the consensus estimate of $6.21 billion. During the same period in the prior year, the firm posted $2.60 earnings per share. The company’s revenue for the quarter was up 10.0% on a year-over-year basis. On average, equities analysts predict that CDW Corporation will post 10.28 EPS for the current fiscal year.

CDW Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Tuesday, August 25th will be given a $0.63 dividend. This represents a $2.52 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date is Tuesday, August 25th. CDW’s dividend payout ratio (DPR) is 30.29%.

Insider Buying and Selling at CDW

In related news, insider Elizabeth H. Connelly sold 26,695 shares of CDW stock in a transaction on Friday, August 7th. The stock was sold at an average price of $137.62, for a total transaction of $3,673,765.90. Following the completion of the sale, the insider owned 34,215 shares of the company’s stock, valued at approximately $4,708,668.30. This trade represents a 43.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director David W. Nelms bought 18,000 shares of CDW stock in a transaction that occurred on Wednesday, May 27th. The shares were acquired at an average price of $111.43 per share, with a total value of $2,005,740.00. Following the completion of the transaction, the director owned 51,025 shares of the company’s stock, valued at $5,685,715.75. This represents a 54.50% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 0.82% of the stock is currently owned by company insiders.

CDW Profile

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.