Opinions The Panic-Proof Portfolio (Stockchase Research)
CDW Computer CentersCDWCPAST TOP PICKOct 22, 2026
Stock price when the opinion was issued
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Premium contentCDW provides IT solutions to companies, government, healthcare and education groups in US, the UK, and Canada. It recently acquired a AI consulting specialist that will grow their ability for a one-stop solution for companies to maximize its IT investment. It trades at 17x earnings and supports a robust 44% ROE. It has prudently reduced some cash reserves to aggressively buy back shares. We recommend setting a stop-loss at $121, looking to achieve $163 -- upside potential of 18%. Yield 1.8%
(Analysts’ price target is $158.67)She bought more CDW on the Dell news today, because PCs were a $1 billion more than they expected and PCW has 30% exposure in PCs. They ahve a great business mix, changing to software and services which boast higher margins. Last quarter, it sounded like PCs were bottoming, so this is set up nicely.
Our PAST TOP PICK with CDWC has achieved its target at $163. To remain disciplined, we recommend covering half the position at this time and trailing up the stop (from $121) to $132.