CDWNEUTRAL

CDW Debt-to-Equity Ratio Analysis

2.38x

Updated 489h ago·SEC filings & market data

Key Takeaway

Debt-to-equity ratio measures a company's total liabilities relative to shareholders' equity, so 2.38x means CDW has $2.38 of debt for every $1 of equity.

Sector Performance

89th percentile

CDW

2.38x

Sector Median

0.74x

Sector Avg

2.51x

Prior Period

2.21x(Jul 2026)

↓ Declining

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Deep Analysis

Debt-to-equity ratio measures a company's total liabilities relative to shareholders' equity, so 2.38x means CDW has $2.38 of debt for every $1 of equity.

This is far above the sector median of 0.74x, placing CDW in the 90th percentile among peers and signaling higher financial leverage than most. The year-over-year change is not available, but the quarter-over-quarter increase of +7.7% (from 2.21x to 2.38x) shows leverage rising recently. Given the high level and upward quarter-over-quarter move, the debt burden raises the risk of earnings volatility, though it could also enhance returns if borrowed funds generate strong profits. This metric leans toward elevated risk, which slightly contradicts the NEUTRAL verdict's balanced stance, but it does not by itself overturn that view. The combination of a high ratio and rising trend supports caution rather than conviction in either direction.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about CDW?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

Who are CDW's closest peers by Debt-to-Equity Ratio?

The closest peers by Debt-to-Equity Ratio include: TAP (0.76x), PCAR (0.72x), O (0.78x), PRU (0.78x), KIM (0.85x).

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Learn More About Debt-to-Equity Ratio

How to Spot a Debt Problem Before It Hits the Stock Price

Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.