CDW Corporation (CDW)

Over the past six months, CDW's stock price has seen a decline of 19.06% from July 1, 2024, to June 27, 2025. Key events impacting the stock price include the Q1 2025 earnings report, the acquisition of Mission Cloud Services, partnerships with Microsoft Corp. and Trusona, dividend declarations, and overall market conditions. CDW reported robust performance in Q1 2025, with an 8% increase in net sales year-over-year and a 7% rise in gross profit. The acquisition of Mission Cloud Services strengthened CDW's capabilities in AI and partnerships with AWS. CDW entered an agreement with Microsoft to expand its services around Microsoft AI, Microsoft Security, and Copilot for Microsoft 365. CDW signed a partnership with Trusona to provide Trusona's ATO Protect to its customers. CDW declared a quarterly cash dividend of $0.625 per share on May 7, 2025. CDW's 2024 annual sales saw a slight decline, attributed to continued economic uncertainty and cautious customer spending.

CDW has not historically experienced significant seasonality throughout the year, but sales in its Public segment have historically been higher in the second and third quarters due to the buying patterns of education and government customers. In Q1 2025, there was a pull-forward of client device purchases, particularly in education, ahead of potential tariffs, which impacted the normal seasonality for Q2, leading to sub-seasonal spending in the government and education channels.

CDW Corporation is a leading multi-brand provider of information technology (IT) solutions, serving a diverse customer base that includes businesses of all sizes, government entities, educational institutions, and healthcare organizations. The company operates within the information technology sector, specifically in the B2B IT products and services industry. CDW offers a broad array of products and services, ranging from discrete hardware and software to integrated IT solutions. CDW operates through five main segments: Corporate, Small Business, Public, CDW UK, and CDW Canada. The Corporate segment generates the majority of its revenue. Additionally, CDW has a specialized division, CDW-G, dedicated to providing IT solutions to U.S. governmental entities.

CDW Corporation provides IT solutions and services across the United States, the United Kingdom, and Canada. The company is headquartered in Vernon Hills, Illinois, U.S. CDW has over 30 local branch offices throughout the United States and two North American distribution centers. Globally, CDW delivers services to more than 170 countries worldwide, with international hubs in key regions to help consolidate supply chains.

CDW's brand reputation is generally strong, as it is recognized as a leading IT solutions provider. However, there have been some concerns regarding its professional services, with some users perceiving a decline in quality. Additionally, CDW received a Civil Investigative Demand from the Department of Justice related to a False Claims Act investigation, the outcome of which is currently uncertain.

CDW Corporation has a diverse ownership structure, primarily consisting of institutional investors, with a smaller percentage held by individual investors and insiders. Approximately 77.57% to 97.0% of the company's shares are held by institutions. Individual ownership accounts for approximately 0.4% of the company's stock. Madison Dearborn Partners LLC is noted as the largest individual CDW shareholder, owning 13.10 million shares, representing 9.95% of the company. Insiders hold approximately 0.40% of the stock.