Critical Analysis: CDW (NASDAQ:CDW) versus FDM Group (OTCMKTS:FDDMF)

CDW (NASDAQ:CDW) and FDM Group (OTCMKTS:FDDMF) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, institutional ownership, profitability, risk and dividends.

Analyst Ratings

This is a breakdown of recent ratings and price targets for CDW and FDM Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CDW	0	3	4	0	2.57
FDM Group	0	0	0	0	N/A

CDW presently has a consensus target price of $255.00, indicating a potential upside of 14.10%. Given CDW’s higher possible upside, research analysts plainly believe CDW is more favorable than FDM Group.

Profitability

This table compares CDW and FDM Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CDW	5.29%	62.22%	9.59%
FDM Group	N/A	N/A	N/A

Institutional & Insider Ownership

93.2% of CDW shares are owned by institutional investors. 0.9% of CDW shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares CDW and FDM Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CDW	$20.94 billion	1.43	$1.10 billion	$8.01	27.90
FDM Group	N/A	N/A	N/A	N/A	N/A

CDW has higher revenue and earnings than FDM Group.

Summary

CDW beats FDM Group on 8 of the 8 factors compared between the two stocks.

About CDW

CDW Corporation provides information technology (IT) solutions in the United States, the United Kingdom, and Canada. It operates through three segments: Corporate, Small Business, and Public. The company offers discrete hardware and software products and services, as well as integrated IT solutions, including on-premise and cloud capabilities across hybrid infrastructure, digital experience, and security. It also provides hardware products comprising notebooks/mobile devices, tablets, network communications, desktop computers, collaboration, data storage and servers, and others; and software products, such as cloud solutions, software assurance, application suites, security, virtualization, operating systems, and network management. In addition, the company offers advisory and design, software development, implementation, managed, professional, configuration, partner, and telecom services, as well as warranties; delivers and manages mission critical software, systems, and network solutions; and implementation and installation, and repair services to its customers through various third-party service providers. It serves government, education, and healthcare customers; and small, medium, and large business customers. CDW Corporation was founded in 1984 and is headquartered in Vernon Hills, Illinois.

About FDM Group

FDM Group (Holdings) plc provides information technology (IT) services in the United Kingdom, North America, Europe, the Middle East, Africa, rest of Europe, and the Asia Pacific. It is involved in recruiting, training, and deploying its IT and business consultants to clients. The company was formerly known as Astra Topco Limited and changed its name to FDM Group (Holdings) plc. FDM Group (Holdings) plc was founded in 1991 and is based in London, the United Kingdom.