We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CDW (CDW) Surges 9.2%: Is This an Indication of Further Gains?
Read MoreHide Full Article
CDW (CDW - Free Report) shares ended the last trading session 9.2% higher at $159.48. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 12.1% loss over the past four weeks.
The increase in share price can be attributed to the expanding business momentum that CDW is experiencing across all its sales units and global markets.
CDW’s cloud and SaaS business has experienced strong growth. In the fourth quarter, software sales increased by 5%, driven by double-digit growth in SaaS and IaaS. Customers concentrated on cost savings, opting for cloud, SaaS, and consulting services. The cloud significantly impacted profits, with gross profit rising in the mid-teens. Security also contributed, showing high single-digit growth in both revenue and profit. Services experienced high demand, resulting in a 10% revenue increase and double-digit profit growth. CDW Managed Services grew by over 20%. With more than 250,000 customers, CDW aims to remain a top IT partner and plans to outpace the U.S. IT market by 2–3% in 2025.
Synergy from Mission Cloud Services acquired in December 2024, bodes well for the company’s prospects. CDW’s share buyback programs and robust cash flow are other tailwinds.
This information technology company is expected to post quarterly earnings of $1.96 per share in its upcoming report, which represents a year-over-year change of +2.1%. Revenues are expected to be $4.9 billion, up 0.7% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For CDW, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on CDW going forward to see if this recent jump can turn into more strength down the road.
CDW is part of the Zacks Computers - IT Services industry. Taboola.com Ltd. (TBLA - Free Report) , another stock in the same industry, closed the last trading session 9.1% higher at $2.77. TBLA has returned -12.1% in the past month.
For Taboola.com, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.01. This represents a change of +112.5% from what the company reported a year ago. Taboola.com currently has a Zacks Rank of #2 (Buy).
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CDW (CDW) Surges 9.2%: Is This an Indication of Further Gains?
CDW (CDW - Free Report) shares ended the last trading session 9.2% higher at $159.48. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 12.1% loss over the past four weeks.
The increase in share price can be attributed to the expanding business momentum that CDW is experiencing across all its sales units and global markets.
CDW’s cloud and SaaS business has experienced strong growth. In the fourth quarter, software sales increased by 5%, driven by double-digit growth in SaaS and IaaS. Customers concentrated on cost savings, opting for cloud, SaaS, and consulting services. The cloud significantly impacted profits, with gross profit rising in the mid-teens. Security also contributed, showing high single-digit growth in both revenue and profit. Services experienced high demand, resulting in a 10% revenue increase and double-digit profit growth. CDW Managed Services grew by over 20%. With more than 250,000 customers, CDW aims to remain a top IT partner and plans to outpace the U.S. IT market by 2–3% in 2025.
Synergy from Mission Cloud Services acquired in December 2024, bodes well for the company’s prospects. CDW’s share buyback programs and robust cash flow are other tailwinds.
This information technology company is expected to post quarterly earnings of $1.96 per share in its upcoming report, which represents a year-over-year change of +2.1%. Revenues are expected to be $4.9 billion, up 0.7% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For CDW, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on CDW going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
CDW is part of the Zacks Computers - IT Services industry. Taboola.com Ltd. (TBLA - Free Report) , another stock in the same industry, closed the last trading session 9.1% higher at $2.77. TBLA has returned -12.1% in the past month.
For Taboola.com, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.01. This represents a change of +112.5% from what the company reported a year ago. Taboola.com currently has a Zacks Rank of #2 (Buy).