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CDW (FRA:CDW) Cyclically Adjusted PS Ratio : 1.63 (As of May. 16, 2024)


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What is CDW Cyclically Adjusted PS Ratio?

As of today (2024-05-16), CDW's current share price is €204.40. CDW's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was €125.26. CDW's Cyclically Adjusted PS Ratio for today is 1.63.

The historical rank and industry rank for CDW's Cyclically Adjusted PS Ratio or its related term are showing as below:

FRA:CDW' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.25   Med: 1.07   Max: 2
Current: 1.65

During the past years, CDW's highest Cyclically Adjusted PS Ratio was 2.00. The lowest was 0.25. And the median was 1.07.

FRA:CDW's Cyclically Adjusted PS Ratio is ranked better than
53.67% of 1444 companies
in the Software industry
Industry Median: 1.85 vs FRA:CDW: 1.65

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

CDW's adjusted revenue per share data for the three months ended in Mar. 2024 was €32.962. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is €125.26 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


CDW Cyclically Adjusted PS Ratio Historical Data

The historical data trend for CDW's Cyclically Adjusted PS Ratio 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.

* Premium members only.

CDW Cyclically Adjusted PS Ratio Chart

CDW Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.64 1.40 1.90 1.45 1.69

CDW Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.54 1.41 1.52 1.69 1.88

Competitive Comparison of CDW's Cyclically Adjusted PS Ratio

For the Information Technology Services subindustry, CDW's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio 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's Cyclically Adjusted PS Ratio Distribution in the Software Industry

For the Software industry and Technology sector, CDW's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where CDW's Cyclically Adjusted PS Ratio falls into.



CDW Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

CDW's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=204.40/125.26
=1.63

* 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's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, CDW's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=32.962/131.7762*131.7762
=32.962

Current CPI (Mar. 2024) = 131.7762.

CDW Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 13.237 100.560 17.346
201409 14.650 100.428 19.223
201412 14.290 99.070 19.008
201503 14.673 99.621 19.409
201506 17.118 100.684 22.404
201509 18.243 100.392 23.946
201512 18.427 99.792 24.333
201603 16.571 100.470 21.734
201606 19.565 101.688 25.354
201609 20.036 101.861 25.920
201612 18.479 101.863 23.906
201703 18.700 102.862 23.956
201706 21.784 103.349 27.776
201709 21.126 104.136 26.733
201712 20.429 104.011 25.882
201803 18.894 105.290 23.647
201806 23.283 106.317 28.859
201809 24.384 106.507 30.169
201812 23.549 105.998 29.276
201903 23.477 107.251 28.846
201906 27.630 108.070 33.691
201909 30.273 108.329 36.825
201912 27.853 108.420 33.853
202003 27.414 108.902 33.172
202006 26.866 108.767 32.549
202009 27.888 109.815 33.465
202012 28.077 109.897 33.667
202103 28.396 111.754 33.483
202106 30.145 114.631 34.654
202109 32.317 115.734 36.796
202112 35.560 117.630 39.837
202203 39.516 121.301 42.928
202206 42.499 125.017 44.797
202209 45.789 125.227 48.184
202212 37.391 125.222 39.348
202303 34.714 127.348 35.921
202306 38.155 128.729 39.058
202309 38.806 129.860 39.379
202312 33.838 129.419 34.454
202403 32.962 131.776 32.962

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


CDW  (FRA:CDW) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


CDW Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of CDW's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


CDW (FRA:CDW) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » CDW Corp (FRA:CDW) » Definitions » Cyclically Adjusted PS Ratio
Traded in Other Exchanges
Address
75 Tri-State International, Lincolnshire, Chicago, IL, USA, 60069
CDW Corp is a value-added reseller operating in the U.S. (95% of sales) and Canada (5%). The company has more than 100,000 products on its line of cards that range from notebooks to data center software. Roughly half of CDW's revenue comes from midsize and large businesses, with the remaining from small businesses, government agencies, education institutions, and health-care organizations.

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