CDWSTU:CDW +5.69%67 Net Margin % is 4.14% as of Mar. 2026, which is 8% below its 10-year median of 4.48. GuruFocus rates STU:CDW with a GF Score™ of 67/100 and a GF Value™ of €175.16 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 2,825 Software companies, CDW ranks better than 57.42% on this metric.
Net margin is calculated as Net Income divided by its Revenue. CDW's Net Income for the
three
months ended in Mar. 2026 was €204 Mil. CDW's Revenue for the
three
months ended in Mar. 2026 was €4,913 Mil. Therefore, CDW's net margin for the quarter that ended in Mar. 2026 was 4.14%.
The historical rank and industry rank for CDW's Net Margin % or its related term are showing as below:
STU:CDW'
s Net Margin % Range Over the Past 10 Years
Min: 3.11 Med: 4.48 Max: 5.17
Current: 4.7
STU:CDW's Net Margin % is ranked better than 57.42% of 2825
companies
in the Software industry
Industry Median: 2.54
vs STU:CDW: 4.70
CDW (STU:CDW) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
CDW Net Margin % Related Terms
CDW Net Margin % Historical Data
* Premium members only.
The historical data trend for CDW's Net Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
STU:CDW vs LDOS, BR, APLD: Net Margin % Comparison
For the Information Technology Services subindustry, CDW's Net Margin %, along with its competitors' market caps and Net Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
CDW Net Margin % vs Software Industry
For the Software industry and Technology sector, CDW's Net Margin % distribution charts can be found below:
* The bar in red indicates where CDW's Net Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
CDW (STU:CDW) has a Net Margin % of 4.14% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on CDW and its competitors. This is near median its historical median of 4.48. Over the past decade, CDW's Net Margin % has ranged from 3.11 to 5.17. According to the industry distribution chart, CDW ranks #1203 out of 2825 companies in the Software industry, placing it in the top 42.6%.
Is CDW's Net Margin % too high?
CDW's current Net Margin % of 4.14% is near median its 10-year median of 4.48. Over the past 10 years, this metric has ranged from a low of 3.11 to a high of 5.17. The Software industry median Net Margin % is 2.54. CDW's value of 4.14% is 63% above this industry median. Based on the distribution chart, CDW ranks #1203 out of 2825 companies in the Software industry, which is above the industry midpoint. Overall, CDW has a GF Score™ of 67/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does CDW's Net Margin % compare to LDOS and BR?
According to the Software industry distribution chart, CDW ranks #1203 out of 2825 companies for Net Margin %. This puts CDW in the upper half of its industry. The industry median Net Margin % is 2.54. CDW's value of 4.14% is 63% above this benchmark. Historically, CDW's own Net Margin % has ranged from 3.11 to 5.17 over the past decade. While the company's 10-year median is 4.48 vs. the industry median of 2.54, CDW has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Software company?
The median Net Margin % among Software companies is 2.54, based on 2,825 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. CDW's current Net Margin % of 4.14% is 63% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on CDW and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CDW's current Net Margin % is 4.14%, which is near median its own 10-year median of 4.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CDW stock overvalued right now?
Based on GuruFocus' analysis, CDW (STU:CDW) is currently considered Significantly Undervalued. The stock's GF Value™ is €175.16, compared to a current price of €114.20 — trading 34.8% below its estimated fair value. The current Net Margin % is 4.14%, which is near median its 10-year median of 4.48 and 63% above the Software industry median of 2.54. CDW's overall GF Score™ is 67/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For CDW (STU:CDW), the current Net Margin % is 4.14% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is CDW (STU:CDW) Overvalued in 2026?
Based on GuruFocus' analysis, CDW stock appears to be undervalued.
The current stock price of €114.20 is trading 34.8% below its estimated GF Value™ of €175.16.
GuruFocus considers CDW to be Significantly Undervalued.
Key valuation signals for STU:CDW:
Net Margin %: 4.14% (near median its 10-year median of 4.48)
GF Value™: €175.16 vs. price of €114.20 (34.8% below fair value)
Industry Position: 63% above the Software median (#1203 of 2825)
No single metric tells the full story. See the STU:CDW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CDW Corp is a multi-brand provider of information technology (IT) solutions to businesses, government, education, and healthcare customers in the United States, the United Kingdom, and Canada. The company's offerings range from hardware and software products to integrated IT solutions and services, including on-premise and cloud capabilities across hybrid infrastructure, digital experience, and security. Its reportable segments are Corporate, Small Business, Public, and Other. The Corporate and Small Business segments serve US private sector business customers, while the Public segment consists of government agencies and education and healthcare institutions in the US. The Corporate segment generates the majority of its revenue in the United States.
67GF Score
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