CDW FCF Yield Analysis
Updated 489h ago·SEC filings & market data
Key Takeaway
FCF yield of 6.4% means the company generates 6.4% of its market value in free cash flow each year, a measure of cash profitability relative to price.
Sector Performance
72th percentileCDW
6.4%
Sector Median
4.2%
Sector Avg
9.2%
Prior Period
6.2%(Jul 2026)
Deep Analysis
FCF yield of 6.4% means the company generates 6.4% of its market value in free cash flow each year, a measure of cash profitability relative to price.
This sits above the sector median of 4.2%, placing CDW in the 72th percentile among peers. The eight-quarter trend is N/A, and the year-over-year change is also N/A, but the quarter-over-quarter change is +3.2%. That above-median level with a recent quarterly uptick points to a reasonable cash return profile, yet the missing longer trend limits any strong reading. The incomplete trend data introduces uncertainty around whether the 6.4% yield is stable or temporary. This metric supports the overall NEUTRAL verdict, as the solid yield is countered by insufficient trend visibility.
Frequently Asked Questions
What does the FCF Yield tell investors about CDW?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are CDW's closest peers by FCF Yield?
The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master CDW's Valuation
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6.4%
Sector Median
4.2%
Sector Avg
9.2%
How CDW's FCF Yield compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.