CDW Corporation Prepares for Q1 2025 Earnings Release

CDW Corporation (CDW) is valued at a market cap of $20.9 billion. This multi-brand provider of information technology (IT) solutions serves business, government, education, and healthcare sectors. Based in Vernon Hills, Illinois, CDW operates through three segments: Corporate, Small Business, and Public.

Upcoming Earnings Report and Forecasts

The company is set to announce its Q1 2025 earnings before the market opens on Wednesday, May 7. Analysts anticipate CDW will report earnings of $1.89 per share, consistent with results from the same quarter last year. Historically, CDW has exceeded Wall Street’s earnings estimates in one out of the past four quarters while falling short in three instances.

Fiscal Year Projections

For fiscal 2025, analysts predict CDW will report an earnings per share (EPS) of $9.20, reflecting a slight decrease from $9.24 reported in fiscal 2024. Looking ahead to fiscal 2026, earnings are expected to grow by nearly 6% year-over-year, reaching $9.75 per share.

Stock Performance and Market Comparison

CDW shares have declined by 33.9% over the past 52 weeks, notably trailing the S&P 500 Index’s ($SPX) gain of 8.2% and the Technology Select Sector SPDR Fund’s (XLK) return of 3.7% during the same timeframe.

Recent Financial Results

The stock saw a 3.4% surge following the release of its Q4 2024 results on February 5. Fueled by growth across all operating segments, net sales reached $5.2 billion, representing a 3.3% increase year-over-year and surpassing the consensus estimate of $4.9 billion. Adjusted net income was reported at $2.48 per share, a 3.7% decline from the previous year’s quarter, yet it still beat Wall Street’s expectations.

Analysts’ Consensus Rating

Currently, analysts maintain a moderately optimistic outlook on CDW, reflected in a “Moderate Buy” rating. Among the 11 analysts covering the stock, there are five “Strong Buys,” two “Moderate Buys,” and four “Holds.” The mean price target stands at $205.40, indicating a 29.2% upside potential from current levels.

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

 

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