CDW Corporation DCF Stock Analysis.

Here’s my assumptions:

Risk Free Rate (10 Years Interest Rate Swap): 4.08%

Risk Premium (Taken from the Aswath Damodaran equity premium spreadsheet): 4.62%

Interest Rate Spread on The Risk free rate ( For the cost of debt calculation): 4.5%

Last 2 years beta: 1.21

Historical Data

Revenue growth in the last 10 years (CAGR): 4.12%

Earnings growth in the last 10 years (CAGR): 9.64%

Unlevered Free Cash Flow growth in the last 10 years (CAGR): 0.54%

Future Assumptions

End of Year FCF growth: 4%

Growth until end of 2026: 5%

Growth until end of 2034: 4%

Perpetual growth: 3%

Net Debt: 5.521B

Outstanding Stock Options Present Value Assumption: $0.143B

Assumptions used for the Black & Scholes model:

• Stock Price: $141
• Strike Price: $134.15
• Time to expiration: 5.28 years
• Risk Free Rate: 4.08%
• Volatility: 30%

Restricted Stock Units Present Value Assumption: $0.130B

Stock Valuation based on these assumptions: $109

Last update 08/02/2026

All the content in this newsletter should be taken as informational content only. THIS IS NOT FINANCIAL ADVICE! Do your own Due Diligence before investing or contact a professional financial advisor.

I don’t have a position in CDW Corporation (CDW) and I don’t plan to add a position in the coming days.