CD
CDW
Latest · Mar 31, 2026
Quarter ended Mar 31, 2026 · FY2026 Q1

CDW Corporation stock research

CDW (CDW) Free Cash Flow — Quarter Ended Mar 31, 2026

Revenue increased compared to both the prior quarter and the same quarter last year. Free cash flow was lower than the prior quarter but slightly lower than the year-ago quarter, with the margin weakening versus both periods.

Free cash flow takeaway

A quick read on the company's cash generation and what it means for investors.

Revenue increased compared to both the prior quarter and the same quarter last year. Free cash flow was lower than the prior quarter but slightly lower than the year-ago quarter, with the margin weakening versus both periods.

  • Operating cash flow was lower than the prior quarter but slightly lower than the year-ago quarter. Capital expenditure was lower than the prior quarter and stable compared to the year-ago quarter, resulting in free cash flow that was lower than both comparison periods.
  • Compared to the prior quarter, revenue was higher while operating cash flow, free cash flow, and free cash flow margin were all lower. Compared to the same quarter last year, revenue was higher, operating cash flow was slightly lower, free cash flow was slightly lower, and free cash flow margin was lower.

FCF snapshot

Quarterly and TTM cash-flow metrics with the minimum valuation context.

TTM free cash flow

$1.1B

Trailing twelve-month free cash flow.

Quarter free cash flow

$248.4M

Free cash flow in the selected fiscal quarter.

Operating cash flow

$274.8M

Cash generated by operations before capital spending.

CapEx

$26.4M

Capital spending and related asset purchases.

FCF margin

4.4%

The share of revenue converted into free cash flow.

TTM FCF yield

6.0%

TTM FCF divided by market capitalization.

Cash flow trend

A short quarterly history shows whether FCF is scaling with revenue or only spiking for one period.

PeriodRevenueOperating CFCapExFCFFCF margin
2025-06-30$6.0B$155.9M$22.5M$133.4M2.2%
2025-09-30$5.7B$328.3M$29.8M$298.5M5.2%
2025-12-31$5.5B$433.8M$37.9M$395.9M7.2%
2026-03-31$5.7B$274.8M$26.4M$248.4M4.4%

Cash conversion quality

Checks that separate high-quality free cash flow from accounting noise or working-capital timing.

FCF / net income105.5%Shows whether accounting earnings convert into cash.
CapEx / revenue0.5%Lower capital intensity usually supports FCF margin.
Net cash-$5.1BCash and equivalents minus total debt.

Recent events shaping cash flow

Near-term business events that help explain the free cash flow result.

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Cash conversion efficiency

Revenue increased from both the prior quarter and the year-ago quarter, yet free cash flow margin weakened. This indicates that the conversion of revenue into free cash flow was less efficient in the current quarter.

If this trend continues, it may pressure future free cash flow generation despite higher revenue.

What the cash flow says

How to interpret the company's free cash flow beyond the headline number.

Operating cash flow was lower than the prior quarter but slightly lower than the year-ago quarter. Capital expenditure was lower than the prior quarter and stable compared to the year-ago quarter, resulting in free cash flow that was lower than both comparison periods.

Compared to the prior quarter, revenue was higher while operating cash flow, free cash flow, and free cash flow margin were all lower. Compared to the same quarter last year, revenue was higher, operating cash flow was slightly lower, free cash flow was slightly lower, and free cash flow margin was lower.

Monitor the relationship between revenue growth and operating cash flow, as revenue increased while operating cash flow declined sequentially.

Valuation context

A cash-flow page should show how much investors are paying for the cash stream, without turning into a full DCF.

Market capitalization$17.8BUsed as the denominator for FCF yield.
TTM FCF yield6.0%TTM free cash flow divided by market capitalization.
EV / TTM FCF21.2xA quick valuation bridge, not a full DCF.

Peer context

Free cash flow quality is easier to read against related public companies.

CD
CDW

CDW Corporation

FCF margin

4.4%

FCF yield

6.0%