Why is CDW Corporation's stock performing poorly?

CDW's stock has declined due to increased expenses and slowing demand in key sectors, despite beating third-quarter earnings expectations.

What were CDW's Q3 2025 financial results?

CDW reported better-than-expected adjusted EPS of $2.71 and revenue of $5.74 billion for Q3 2025.

What is the analyst outlook for CDW stock?

Analysts hold a 'Moderate Buy' rating on CDW stock, with a price target indicating potential upside.

Home / Business and Economy / CDW Stock Plummets Despite Beating Earnings Expectations

CDW Stock Plummets Despite Beating Earnings Expectations

10 Dec

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Summary

CDW's stock has fallen 34.4% from its 52-week high.
Third-quarter results showed better-than-expected adjusted EPS.
Concerns grew over increased expenses and slowing demand in key areas.

CDW Stock Plummets Despite Beating Earnings Expectations

Vernon Hills-based CDW Corporation, a major provider of information technology solutions across the United States, United Kingdom, and Canada, is facing significant headwinds in its stock performance. The company's shares have plummeted 34.4% from their 52-week high, and have seen a 12.9% decline over the past three months, underperforming the broader market averages. This downturn occurred despite CDW reporting better-than-expected adjusted earnings per share of $2.71 and revenue of $5.74 billion for its third quarter of 2025.

Investor confidence was shaken by a surge in selling and administrative expenses, which rose by 12.9%. Furthermore, the company witnessed a slowdown in demand in crucial areas, evidenced by an 8.5% revenue decline in its Education segment and softness in data storage and server markets. These factors contributed to an 8.5% drop in CDW's stock on November 4th, highlighting investor apprehension about the company's operational efficiency and market traction.