Morgan Stanley Raises CDW Price Target to $142 After Q4 Revenue Beat
Morgan Stanley lifted CDW’s price target from $141 to $142 after Q4 2025 results topped estimates by $0.13 per share ($2.57) and $179 million in revenue ($5.51 billion). CEO Leahy noted $982 million returned to shareholders and forecasted 2026 growth 200–300 basis points above the U.S. IT market.
1. Analyst Price Target Increase
Morgan Stanley raised CDW’s price target from $141 to $142 while maintaining its Equal Weight rating following strong Q4 results.
2. Q4 2025 Financial Performance
CDW delivered adjusted EPS of $2.57, beating estimates by $0.13, and reported revenue of $5.51 billion, surpassing forecasts by $179 million.
3. Capital Allocation and Shareholder Returns
CEO Christine Leahy highlighted strong cash flow enabled $982 million in share repurchases and dividends, as well as ongoing M&A flexibility.
4. 2026 Growth Outlook
CDW forecasts growth 200–300 basis points above the U.S. IT market by focusing on AI demand and serving over 250,000 customers.