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Cdw Corp/De has the Highest EV/EBITDA Ratio in the Technology Distributors Industry (CDW, AVT, PLUS, NSIT, SCSC)

By David Diaz

Below are the three companies in the Technology Distributors industry with the highest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

Cdw Corp/De ranks highest with a an EV/EBITDA ratio of 17.45. Following is Avnet Inc with a an EV/EBITDA ratio of 13.14. Eplus Inc ranks third highest with a an EV/EBITDA ratio of 9.58.

Insight Enterpri follows with a an EV/EBITDA ratio of 9.03, and Scansource Inc rounds out the top five with a an EV/EBITDA ratio of 8.53.

SmarTrend recommended that its subscribers protect gains by selling shares of Eplus Inc on May 13th, 2019 by issuing a Downtrend alert when the shares were trading at $88.30. Since that call, shares of Eplus Inc have fallen 17.3%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.

Keywords: highest ev/ebitda ratio cdw corp/de avnet inc eplus inc insight enterpri scansource inc