Exiting Towers Watson - Target Reached
Towers Watson (TW) provides human capital and financial management consulting services worldwide. The US accounts for about 63% of revenue while Europe, the Middle East and Australia comprise 33%. In the core business, Benefits (59% of revenue), the company designs pension and benefit programs, provides actuarial services and other retirement solutions. Additionally, in the Risk and Financial Services group (23% of revenue), TW provides advice concerning risk management, reinsurance, and investment consulting. The Talent and Rewards Solutions group (16% of revenue) offers human capital solutions, executive comp analysis, data services and communication consulting. [PostStockWidget stock_valuation="" pricetype="live" manual_date="Dec. 21, 2012, 2:04pm GMT" symbolcodes="'TW'" symbolprices="67" div_align="right"]
We identified a Low Valuation Signal in TW approximately six months ago on September 13, 2012 at $53.85. At that time we projected a high valuation target of $67 within 18 months.
We have achieved the target price faster than expected and are locking in the gain by exiting the trade. Combined with accrued dividends, the total return reached 24.7%. We are planning on cycling our investment into other great Purple Chips stocks currently at low valuation levels.
HIGH VALUATION IN TOWERS WATSON AT $USD 66.70 (TW-US, $USD 66.70)
