--- canonical_url: https://www.stockexpertai.com/earnings/cdw last_updated: 2026-05-09T15:13:30.873Z --- # CDW Corporation (CDW) Q1 FY2027 Earnings Preview > This content was automatically generated with FMP live data + Q1 FY2026 earnings call transcript. Generated: 2026-05-09T15:13:30.443Z. Educational tool, not investment advice. --- ## Quick Summary | Field | Value | Source | |---|---|---| | Price | $104.79 (▼ -4.91%) | fmp:quote | | Market Cap | $13.4B | fmp:profile | | 52w range | $104.41 – $192.30 | fmp:quote | | Earnings | Wed 5 Aug | fmp:earnings-history | | EPS estimate | $2.71 (+4% YoY) | fmp:earnings-estimate | | Revenue estimate | $6.2B | fmp:earnings-estimate | | Beat streak | 0/4 | fmp:earnings-history | | Rating | B+ (overall 3/5) | fmp:ratings | | Analyst median target | $147 (+40.3% upside) | fmp:price-target-consensus | | MoonshotScore | 36/100 | derived | | Council | 5/6 bullish | derived | | Munger verdict | Undervalued | derived | ## CDW Corporation — Q1 FY2027 Expectations Q1 consensus: revenue $6.2B^{[FMP est]}, EPS $2.71^{[FMP est]}. 0 consecutive quarters of beat^{[FMP earnings]}. ## Quick Take **Score:** B+ · **Stance:** BUY · **Council:** 5/6 · **Moonshot:** 36 = MoonshotScore 36^{[9-pillar formula]} + Council 5/6^{[6-lens rule]}. Form 4: 0 transactions^{[FMP Form 4]}. ## Watchlist (5 metrics) ### 1. Gross Margin Outlook Due to a slightly higher mix of hardware products, gross margins are expected to be approximately in line with 2025 levels. > "Based on a slightly higher mix of hardware products for 2026 than we originally anticipated, we now expect gross margin to be -- margins to be approximately in line with 2025 levels." > — Albert Miralles, CFO, Expectation / Guide · Q1 FY2026 ### 2. Infrastructure Hardware Growth Hardware increased 10%, with networking, servers, and enterprise storage each up more than 20%. > "Hardware increased 10%. Growth was led by infrastructure with networking, servers and enterprise storage each up more than 20%." > — Christine Leahy, CEO, Investor Focus · Q1 FY2026 ### 3. Commercial Segment Growth The Commercial segment had a strong start, up 10%, driven by demand for infrastructure hardware and software. > "Commercial had an excellent start to the year, up 10%. Growth was broad-based across all sizes of customers, driven by demand for infrastructure hardware and software, reflecting both AI demand and the desire to manage supply constraints." > — Christine Leahy, CEO, Investor Focus · Q1 FY2026 ### 4. International Growth International operations delivered 18% growth, with strong performance in the U.K. and Canada. > "In our U.K. and Canada operations, which we report together as other, the teams executed with focus and speed and together delivered 18% growth in U.S. dollars." > — Christine Leahy, CEO, Investor Focus · Q1 FY2026 ### 5. Gross Profit Outlook The company now expects gross profit to grow in the range of low to mid-single digits for the full year 2026. > "Factoring in market conditions, our first quarter performance and the elevated backlog entering the second quarter, we now expect gross profit to grow in the range of low to mid-single digits for the full year 2026." > — Albert Miralles, CFO, Expectation / Guide · Q1 FY2026 ## MoonshotScore Pillars | Pillar | Score | Level | Evidence | |---|---|---|---| | Revenue Growth | 0.0 | weak | Q1 vs Q2: growth negative (-5.0%, contraction) | | Gross Margin | 2.0 | weak | Q1: low margin (21.0%, capital-intensive or commodity) | | Operating Leverage | 1.0 | weak | op margin average (6.6%) | | Cash Runway | 10.0 | strong | FCF very strong ($0.2B, 9.4× CapEx) | | R&D Intensity | 3.0 | weak | low R&D investment (0.0%, weak innovation) | | Price Momentum | 4.0 | medium | RSI 26.3 oversold, 50d below | | News Sentiment | 5.0 | medium | majority buy (55%) | **Formula:** sum(pillar.score) / (count * 10) * 100. Each pillar deterministic from FMP. Source maps in pillar.formula. ## Council (7-Lens) | Name | Stance | Context | |---|---|---| | Ray Dalio | bull | macro · target upside +40.3% | | Ken Griffin | bear | flow · 50d MA below | | Jim Simons | bull | quant · RSI 26 | | Klarman | bull | value · target upside +40.3% | | Buffett | bull | quality · ROE score 5/5 | | Munger | bull | valuation · target upside +40.3% | **Formula:** Each lens uses deterministic rule on bundle data. Logged in member.contextTr. ## Munger Lens - **Verdict:** Undervalued - **Financial Health:** Moderate - **Margin of Safety:** Strong - **Interest Coverage:** Adequate - **ROIC vs WACC:** Healthy **Formula:** verdict=upside>25?Undervalued:>0?Fairly Valued:Overvalued. Each lens deterministic from FMP ratings + priceTarget. ## Technical Levels - **RSI(14):** 26.3 — oversold (RSI 26.3) — tepki alımı potansiyeli - **50d MA:** $125 — hisse %16.3 altında — kısa vadeli direnç - **200d MA:** $143 — hisse %26.8 altında — uzun vadeli baskı - **Volume (10d):** +13% ## Past Performance (4 Quarters) | Quarter | EPS Actual | EPS Estimate | Result | Reaction | |---|---|---|---|---| | Q2 FY25 | $2.60 | $2.49 | BEAT | -2.2% | | Q3 FY25 | $2.71 | $2.62 | BEAT | +3.3% | | Q4 FY25 | $2.57 | $2.44 | BEAT | +1.9% | | Q1 FY26 | $2.28 | $2.28 | +0.0% EPS | +1.1% | Q1 (May 6, 2026): EPS $2.28 vs $2.28 est^[FMP], +0.0% beat. D+1 movement: +1.1%^{[FMP D+1]}. Decline despite beat — market reacted to guidance, not numbers. ## 3 Scenarios ### Scenario A · Beat **Q1 EPS > $2.71 + CapEx discipline** Threshold: EPS > $2.71^{[FMP est]}. Target: Break above median target $147^{[FMP target]}; high target $180^[FMP] upper bound. ### Scenario B · In-Line **EPS ≈ $2.71 + CapEx < $26.4M** Threshold: EPS ≈ $2.71^{[FMP est]}, Q1 CapEx < $26.4M^[FMP]. Target: Consolidation in the band between current $105^[FMP] and median $147^[FMP]. ### Scenario C · Miss **EPS < $2.63 or CapEx ≥ $26.4M** Threshold: EPS < $2.63^{[FMP est×0.97]}. Target: Current $105 below SMA200 $143^[FMP], if rejection continues, $122^[derived] support activates. ## Risk Notes ### Primary segment below threshold Q1: EPS $2.28 vs $2.28 beat^[FMP], stock +1.1% D+1^[FMP]. ### Backlog concentration No RPO/backlog concentration disclosed in Q1 earnings call. ### Insider trading Form 4 data is marked in the table — this page does not generate assumptions for this stock. | Executive | Action | Amount | Date | |---|---|---|---| **Net:** — (0 transactions · 0 sells · 0 buys) · Q1 FY26 ### CapEx shock Q1 CapEx $26.4M^{[FMP cashflow]}. Q1 op margin 6.6%^{[FMP op margin]} — this level in Q1 is sensitive to CapEx revision risk. ## Wall Street Consensus - **Median target:** $147 (+40.3% upside vs current $105) - **High / Low:** $180 / $123 - **Buy / Hold / Sell:** 6 / 5 / 0 - **Analyst count:** 3 (last quarter), 16 all-time ## Additional Transcript Insights ### 1. commercial_segment_growth **Claim:** The Commercial segment had a strong start, up 10%, driven by demand for infrastructure hardware and software. **Evidence (transcript):** "Commercial had an excellent start to the year, up 10%. Growth was broad-based across all sizes of customers, driven by demand for infrastructure hardware and software, reflecting both AI demand and the desire to manage supply constraints." **Numbers:** 10% ### 2. international_growth **Claim:** International operations delivered 18% growth, with strong performance in the U.K. and Canada. **Evidence (transcript):** "In our U.K. and Canada operations, which we report together as other, the teams executed with focus and speed and together delivered 18% growth in U.S. dollars." **Numbers:** 18% ### 3. infrastructure_hardware_growth **Claim:** Hardware increased 10%, with networking, servers, and enterprise storage each up more than 20%. **Evidence (transcript):** "Hardware increased 10%. Growth was led by infrastructure with networking, servers and enterprise storage each up more than 20%." **Numbers:** 10%, 20% ### 4. ai_driven_productivity **Claim:** AI-powered modernization investments through the Geared for Growth initiative will lead to productivity improvements in operations and enhance the cost structure. **Evidence (transcript):** "The AI-powered modernization investments we've been making under Geared for Growth are focused on transforming how we operate and particularly as it supports our long-term durable and scalable growth." **Numbers:** — ### 5. gross_profit_outlook **Claim:** The company now expects gross profit to grow in the range of low to mid-single digits for the full year 2026. **Evidence (transcript):** "Factoring in market conditions, our first quarter performance and the elevated backlog entering the second quarter, we now expect gross profit to grow in the range of low to mid-single digits for the full year 2026." **Numbers:** 2026 ### 6. gross_margin_outlook **Claim:** Due to a slightly higher mix of hardware products, gross margins are expected to be approximately in line with 2025 levels. **Evidence (transcript):** "Based on a slightly higher mix of hardware products for 2026 than we originally anticipated, we now expect gross margin to be -- margins to be approximately in line with 2025 levels." **Numbers:** 2026, 2025 --- *Data source: FMP (live query, 2026-05-09), Q1 FY2026 earnings call transcript (Translated to EN with Gemini 2.0 Flash). Educational tool, not investment advice.*