CDWNEUTRAL

FCF Yield

6.2%

Updated 224h ago

Sector Performance

72th percentile

CDW

6.2%

Sector Median

4.2%

Sector Avg

7.7%

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Deep Analysis

Free cash flow yield measures the cash a company generates after expenses relative to its stock price, so a current 6.2% means for every $100 invested, CDW produces $6.20 in free cash flow.

That 6.2% sits above the sector median of 4.2%, placing CDW in the 72nd percentile among its sector peers. The metric has been decreasing over the last eight quarters, with a quarter-over-quarter decline of -3.1% from the prior period; year-over-year change is not available. The above-average yield suggests the stock is relatively cheap versus peers, but the declining trend signals that cash generation is weakening, creating a mixed risk profile. This combination of a high but falling free cash flow yield supports the overall NEUTRAL verdict — the valuation appeal is offset by negative momentum.

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: FMC (-12.9%), NCLH (-13.0%), XEL (-13.6%), SG (-13.6%), GS (-14.0%).

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.

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CDW

6.2%

Sector Median

4.2%

Sector Avg

7.7%

How CDW's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.