What Makes CDW Corporation (CDW) an Attractive Investment?

Oakmark Funds, advised by Harris Associates, released its “Oakmark Equity and Income Fund” Q2 2025 investor letter. A copy of the letter can be downloaded here. The equity portfolio returned 4.67% in the second quarter compared to 10.94% for the S&P 500 Index. An underweight in technology stocks and an overweight in value and mid-cap stocks led to the underperformance of the fund. The fixed income portfolio returned 1.97% compared to 1.21% for the Bloomberg U.S. Aggregate Bond Index. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its second quarter 2025 investor letter, Oakmark Equity and Income Fund highlighted stocks such as CDW Corporation (NASDAQ:CDW). CDW Corporation (NASDAQ:CDW) is an information technology (IT) solutions provider. The one-month return of CDW Corporation (NASDAQ:CDW) was 4.04%, and its shares lost 25.91% of their value over the last 52 weeks. On July 14, 2025, CDW Corporation (NASDAQ:CDW) stock closed at $177.70 per share with a market capitalization of $23.4 billion.

Oakmark Equity and Income Fund stated the following regarding CDW Corporation (NASDAQ:CDW) in its second quarter 2025 investor letter:

“CDW Corporation (NASDAQ:CDW) is a leading information technology (IT) solutions company. Over the past decade, CDW has evolved from a technology hardware reseller to a comprehensive provider of IT solutions with burgeoning software and service businesses. In our view, the company’s strong corporate culture helped make that transformation a success. Specifically, CDW has long been adept at developing and retaining top talent. A prime example is its fleet of account managers and technology consultants that help it attract and retain customers. Focusing on software services has helped CDW expand its margins—a trend that we believe is likely to continue as cybersecurity and generative AI require more attention. Despite CDW’s critical place in the IT ecosystem, cyclical pressures have weighed on the company’s stock price, providing us the opportunity to purchase shares at a discounted valuation.”

Is CDW Corporation (CDW) Mid-Cap IT Stock Outperforming The Market In 2025?

An IT Executive reviewing blueprints and schematics for a hardware solution.

CDW Corporation (NASDAQ:CDW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 44 hedge fund portfolios held CDW Corporation (NASDAQ:CDW) at the end of the first quarter, which was 46 in the previous quarter. In the first quarter, CDW Corporation (NASDAQ:CDW) reported net sales of $5.2 billion, up 8% on an average daily sales basis. While we acknowledge the risk and potential of CDW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CDW and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered CDW Corporation (NASDAQ:CDW) and shared billionaire Richard Chilton’s stock picks with huge upside potential. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey