CDW Corporation (CDW) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-0.8%

$150.59

vs $151.84 price

Levered DCF

$152.93

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.41

Grey zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	16.75×	21.59×	27.72×	21.67×	28.68×	23.83×	28.12×	19.03×
P/B	6.86×	9.9×	14.98×	15.06×	40.19×	14.49×	21.58×	12.54×
P/S	0.8×	1.11×	1.43×	1.02×	1.36×	1.02×	1.15×	0.75×
EV / EBITDA	12.1×	14.95×	18.39×	14.86×	21.62×	13.87×	17.73×	12.14×
Gross margin	21.7%	21.9%	21.8%	19.7%	17.1%	17.4%	16.9%	16.7%
Operating margin	7.4%	7.9%	7.9%	7.3%	6.8%	6.4%	6.3%	6.1%
Net margin	4.8%	5.1%	5.2%	4.7%	4.7%	4.3%	4.1%	4.0%
Current ratio	1.18×	1.35×	1.23×	1.33×	1.27×	1.53×	1.24×	1.35×
Debt / equity	2.43×	2.55×	2.84×	3.8×	10.42×	3.52×	3.99×	3.29×
Interest coverage	7.28×	7.7×	7.42×	7.36×	9.4×	7.61×	7.11×	6.64×
Dividend yield	1.8%	1.4%	1.1%	1.2%	0.8%	1.2%	0.9%	1.1%
Payout ratio	30.8%	30.8%	29.1%	25.4%	23.8%	27.9%	24.9%	21.7%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	40.9%	45.8%	54.1%	69.5%	140.1%	60.8%	76.7%	65.9%
Return on invested capital	12.1%	13.1%	15.1%	15.8%	12.7%	15.5%	17.9%	17.2%
Return on assets	6.7%	7.3%	8.3%	8.5%	7.5%	8.4%	9.2%	9.0%
Free cash flow yield	6.1%	5.0%	4.7%	5.0%	2.4%	6.2%	3.8%	6.7%
Earnings yield	6.0%	4.6%	3.6%	4.6%	3.5%	4.2%	3.6%	5.3%
Enterprise value	$23.6B	$28.8B	$35.8B	$29.9B	$35.5B	$21.9B	$24.4B	$15.2B
Net debt / EBITDA	2.93×	2.85×	2.68×	2.87×	4.33×	1.99×	2.67×	2.39×
Cash conversion cycle (days)	36	36	38	37	40	39	39	37