Home News Stock Under Review: CDK Global (NASDAQ: CDK)

Stock Under Review: CDK Global (NASDAQ: CDK)


CDK Global trades as part of the application software industry and is in the technology sector. The company CEO is Brian M. Krzanich. CDK Global Inc provides integrated information technology and digital marketing solutions to the automotive retail industry. The Company offers their services to Auto, Truck, Motorcycle, Marine, Recreational Vehicle and Heavy Equipment dealers.

Previous Intraday Trading Performance:

The CDK stock showed a previous change of -0.22% with an open at 55.42 and a close of 55.25. It reached an intraday high of 56.15 and a low of 55.25.

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The stock has a market cap of $6.9b with 124.7m shares outstanding, of which the float is 64.0m shares. Trading volume reached 1,749,065 shares compared to its average volume of 1,362,407 shares. Based on the current average volume and close price, the trading liquidity is good.

Historical Trading Performance:

Over the last five trading days, CDK Global shares returned 1.77% and in the past 30 trading days it returned 16.83%. Over three months, it changed 11.30%. In one year it has changed -21.20% and within that year its 52-week high was 71.71 and its 52-week low was 44.01. CDK stock is 25.55% above its 52 Week Low.

Our calculations show a 200 day moving average of 58.50 and a 50 day moving average of 49.49. Currently CDK stock is trading -5.56% below its 200 day moving average and may not be a good opportunity to buy as it may continue to trend down.

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The last annual fiscal EPS for the company was reported at 2.78 that ended on 30th of June 2018, which according to the previous close, that is a PE of 19.87. Based on 1 analyst estimate, the estimated EPS for the next quarter is 0.80. The TTM EPS is 3.20, which comes to a TTM PE of 17.27.

The following are the last four quarter reported earnings per share:
12-31-2018:  0.96
09-30-2018:  0.88
06-30-2018:  0.80
03-31-2018:  0.85

The dividend per share is currently 0.60, which is a dividend yield of 1.09%. Also, the payout ratio is 18.75%, therefore the dividend is safe according to our calculations.

Base on our calculations, the intrinsic value per share is 31.59, which means it may be overvalued by -74.89%

Indicators to Watch:

Based on the latest filings, there is 46.10% of insider ownership and 114.60% of institutional ownership. Short-interest is 0, which is 0.00% of shares outstanding. The short-interest ratio or days-to-cover ratio is 0.00.

The current calculated beta is 0.66

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Fundamental Indicators:

Based on last reported financials, the company’s return on assets is 13.13%, profit margin is 16.70%, price-to-sales is 3.01 and price-to-book is 48.49.

Company Scores:

All scores are out of six:
 1  :Valuation Score
 4  :Past Performance Score
 2  :Financial Strength Score
 2  :Future Growth Score
 2  :Dividend Score
 2  :Overall Score

John Jones
Worked for several Wall Street firms: Salomon Smith Barney, UBS, and Charles Schwab. Has developed skills and gained extensive experience over the years that is used today to uncover winning penny stocks.Also was an attorney for small businesses in Scottsdale, Arizona. That experience and understanding of law provides a unique perspective and edge in discovering quality companies in various industries.