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CDW Corporation (CDW) Fair Value & Analysis

Technology · US · Market cap $17.2B

CC CDW Corporation logo CDW Corporation CDW · US
Price$141.97
Fair Value$153.88
Upside+8.4%
Quality53/100
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Mixed Growth
Thin margins · 4.7% net margin
High debt · generates free cash flow
1.92% dividend yield
Ranks above peers (10/15)
Moderate moat 59/100
Evidence: High Range $78.50 – $203.53 Share as image

Fair value as of: Jul 18, 2026

From 26 valuation models · updated 20 days ago

Share price +2.0% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • A fairly wide model range ($78.50 to $203.53) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

$249.07 $98.71 Fair Value $153.88 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range $98.71 – $249.07 · fair‑value band $78.50 – $203.53 · the $141.97 price screens below the $153.88 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

CDW Corporation (CDW) currently trades at $141.97, while our model-based Fair Value estimate is $153.88, implying the stock looks roughly 8.4% fairly valued today. We read business quality at 53/100 (solid quality), in the Technology sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, CDW Corporation generated revenue of $22.9B at a net margin of 4.7%. Revenue grew 9.2% year over year. It earns a return on equity of 44.2%. Net debt stands at $5.7B. Fundamentals as of Jul 18, 2026

Our scenario range runs from $78.50 (bear case) to $203.53 (bull case); at $141.97, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 21% below its 52-week high and 47% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -25% fair-value upside, at 8%, CDW screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF $71.53 $137.17 $242.54 80
Residual Income $64.54 $96.05 $1,171 76
Rev-Margin DCF $78.81 $154.86 $246.96 74
All 26 models by family
DCF Models
FCF DCF $70.85 $138.56 $248.03 38
Owner Earnings $85.63 $163.13 $288.44 31
5Y Revenue Exit $78.81 $156.12 $257.93 39
5Y EBITDA Exit $92.36 $182.59 $291.50 41
5Y P/E Exit $78.14 $154.81 $238.36 38
10Y Revenue Exit $71.29 $142.43 $244.49 36
10Y EBITDA Exit $83.86 $161.24 $271.17 37
10Y P/E Exit $74.63 $141.50 $228.94 35
Earnings-Based
Graham-Dodd $56.77 $214.37 $290.10 54
Lynch FV $51.90 $74.14 $96.38 50
PEG = 1.0 $51.90 $74.14 $96.38 46
EPV $65.19 $81.27 $95.35 59
Dividend Discount
Gordon GGM $23.62 $49.10 $77.90 70
DDM Multi-Stage $23.62 $41.41 $51.54 61
Multiples
P/E Multiple $125.23 $166.98 $208.72 63
P/S Multiple $106.45 $141.93 $177.41 58
P/B Multiple $45.90 $61.20 $76.50 55
EV/EBIT $143.61 $201.93 $260.25 53
EV/EBITDA $117.61 $167.25 $216.90 54
EV/Revenue $86.59 $137.13 $187.67 43
Asset-Based
NCAV (Graham) $10.20 $13.67 $20.40 50
Growth DCF
Growth DCF $71.53 $137.17 $242.54 80
Rev-Margin DCF $78.81 $154.86 $246.96 74
Economic Profit
Residual Income $64.54 $96.05 $1,171 76
ROIC Compounder $75.13 $108.18 $149.71 72
Growth Earnings
Growth-Adj P/E $92.42 $132.03 $171.64 68

Widest divergence: DCF Models ($154.81) versus Asset-Based ($13.67). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) $22.9B
Revenue growth (YoY) +9.2%
Net margin 4.7%
Return on equity 44.2%
Free cash flow $1.1B FY2025
P/E ratio 15.9
More key figures
Operating margin 6.6%
EPS (TTM) $8.43
Dividend yield 1.9%
EPS growth (YoY) +7.7%
Net debt $5.7B FY2025

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 53/100

Of which business quality 55 · Market factors (momentum, volatility) 42

Profitability 67
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 49
Earnings quality: real cash, not paper profit
Fin. Strength 29
Balance sheet, leverage, solvency risk
Investment 59
Disciplined investing over empire-building
Low Volatility 49
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 36
Distance to the 52-week high (market factor)
Net Issuance 98
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

CDW Corporation provides information technology (IT) solutions in the United States, the United Kingdom, and Canada. It operates through three segments: Commercial, Government, and Education.

Full company description

CDW Corporation provides information technology (IT) solutions in the United States, the United Kingdom, and Canada. It operates through three segments: Commercial, Government, and Education. 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. It also provides hardware products comprising notebooks/mobile devices, tablets, network communications, collaboration hardware, data storage and servers, desktop computers, and other hardware; and software products, such as cloud solutions, software assurance, application suites, security, virtualization, collaboration and productivity applications, operating systems, and network management. In addition, the company offers advisory and design, software development, implementation, and managed services, as well as warranties. It serves business, government, education, and healthcare customers. The company was formerly known as CDW Computer Centers, Inc. and changed its name to CDW Corporation in June 2003. CDW Corporation was founded in 1984 and is based in Vernon Hills, Illinois.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

CDW Corporation reported revenue of $22.4B in FY2025 versus $20.8B in FY2021, a compound +1.9%/yr. Reported net income was $1.1B in FY2025, compounding +1.9%/yr from FY2021.

Growth Quality 58/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
$22.4B
Latest YoY
+6.8%
Avg. growth/yr (3Y)
−1.9%
Avg. growth/yr (5Y)
+4.0%
Avg. growth/yr (32Y)
+14.8%
Revenue +1.9%/yr
FY21 $20.8B
FY22 $23.7B
FY23 $21.4B
FY24 $21.0B
FY25 $22.4B
Net income +1.9%/yr
FY21 $989M
FY22 $1.1B
FY23 $1.1B
FY24 $1.1B
FY25 $1.1B

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Cite: Fair Value Calculator (2026). "CDW Corporation Fair Value". https://www.fairvalue-calculator.com/stock/CDW

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Information Technology Services · 482 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 53 · Above median
Fair Value upside +8% · Above median
Return on equity (TTM) 44% · Top 25%
Return on assets 7% · Above median
Net margin (TTM) 5% · Above median
Operating margin (TTM) 7% · Above median
Revenue growth 9% · Above median
Dividend yield (TTM) 1.9% · Above median
Debt / equity 1.77× · Higher than 75% of peers

Valuation Multiples vs Information Technology Services median · lower = cheaper

P/E (TTM) 15.9× · Cheaper than median
P/B 6.59× · Pricier than 75% of peers
P/S (TTM) 0.75× · Cheaper than median
P/FCF 15.8× · Pricier than 75% of peers
EV/EBITDA 10.7× · Pricier than median
PEG 1.33× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 45 · sector 22
FUTURE 46 · sector 30
PAST 100 · sector 37
HEALTH 11 · sector 97
DIVIDEND 38 · sector 37

Insider activity: 45/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Information Technology Services stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
International Business Machines Corporation IBM $235.92 $143.90 -39%
Accenture plc ACNN 2,460 MXN 250.95 MXN -90%
Infosys Limited INFY ₹1,156 ₹1,457 +26%
HCL Technologies Limited HCLTECH ₹1,204 ₹1,230 +2%
Wipro Limited WIPRO ₹178.43 ₹226.81 +27%
Tech Mahindra Limited TECHM ₹1,455 ₹1,086 -25%
Samsung SDS Co 018260 199,300 KRW 196,390 KRW -1%
Persistent Systems Limited PERSISTENT ₹5,059 ₹2,364 -53%
Hyundai Autoever Corporation 307950 393,000 KRW 133,088 KRW -66%
Coforge Limited COFORGE ₹1,541 ₹702.84 -54%

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Frequently asked questions

Is CDW Corporation (CDW) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of $153.88 versus a price of $141.97, about +8% (fairly valued).
What is the fair value of CDW?
Our model-based fair value for CDW Corporation is $153.88 (as of Jul 18, 2026), built from audited fundamentals. The current price is $141.97.
What is the quality score of CDW?
CDW Corporation has a Quality Score of 53/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of CDW Corporation (CDW)?
CDW Corporation reported trailing-twelve-month revenue of about $22.9B (latest available figure, as of Jul 18, 2026).
What is the net profit margin of CDW?
The net profit margin of CDW Corporation is about 4.7%, meaning it keeps roughly 4.7% of revenue as net income. Based on the latest reported figures.
Does CDW Corporation pay a dividend?
CDW Corporation currently shows a dividend yield of about 1.83% relative to its recent price (as of Jul 18, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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