Hewitt Associates, Inc. (HEW)

SierraBlue (< 20) Submitted: 11/17/2009 10:03:03 PM : Start Price: $41.45 HEW Score: -1.54

Telechart Pick

koswald89 (31.30) Submitted: 7/30/2009 3:18:17 PM : Start Price: $30.11 HEW Score: +21.84

As companies try to trim and concentrate on core business, outsourcing and consulting will be an attractive offer. Benefits consulting is being consolidated (with the merger of Towers Perrin and Watson Wyatt) and I expect Hewitt Associates to jump at the opportunity to show their solidity as a company.

toddleem (< 20) Submitted: 7/25/2009 4:33:57 PM : Start Price: $29.96 HEW Score: +21.63

An unrecognized growth area is pension consulting. The recent financial issues are a spur for growth.

The company has three parts-benefits outsourcing, benefits BPO outsourcing (they run the HR part of the business for the company) and consulting. #1 and #3 are far more resistant to employee count declines that most think and I am confident that they have lowered expectations for #2 to the point where numbers can be beat. Easily worth $50, 11x eps, and with $200m of free cash flow, a true growth at reasonable price investment.

Company has enough cyclicality-real or not-that it should do well if the market gets in a economic recovery lovefest. If not, it is a solid business.

Turbolover (78.51) Submitted: 5/1/2009 1:42:56 AM : Start Price: $31.20 HEW Score: +2.16

Companies trying to cut costs are outsourcing everything they can. HR is an easy way to go, as Hewitt can get economy of scale. I expect that in the next few years, even the government will start outsourcing a great deal of HR.

StockMarketBeat (79.97) Submitted: 2/13/2008 9:02:24 AM : Start Price: $38.90 HEW Score: -19.33

http://stockmarketbeat.com/blog1/2008/02/13/hew-hewitt-doesnt-look-as-good-under-the-hood/
I see a company with falling earnings momentum, falling free cash flow yield and falling earnings quality. The only thing rising in recent quarters has been the share price. As a value oriented investor, I’d rather it was the other way around.

Templish (79.05) Submitted: 1/23/2008 2:59:11 PM : Start Price: $34.16 HEW Score: -29.67

People are being fired not Hired

ashishdwivedi (46.74) Submitted: 11/26/2007 11:36:41 PM : Start Price: $36.50 HEW Score: +29.09

Posted positive Earnings surprise recently. Good earning history.

xzendot (< 20) Submitted: 9/6/2007 10:12:15 AM : Start Price: $34.33 HEW Score: -38.87

Overvalued. Acquisition in middle market when underperformance is in large BPO. Poor acquisition track record.

trackbottomline (23.95) Submitted: 8/8/2007 5:53:36 PM : Start Price: $31.97 HEW Score: +47.45

Mentioned in Bottom Line - Volume 28 number 16 - August 15th, 2007

GauGhosh (< 20) Submitted: 6/16/2007 6:00:41 AM : Start Price: $31.26 HEW Score: +53.34

Great consulting performance

NorseSoccer (< 20) Submitted: 5/8/2007 2:14:00 PM : Start Price: $29.50 HEW Score: -59.37

Hewitt still has some stuff to work out with it's MP HRO deals. But I expect that in the next year it will figure it out and become a outperform. But not in the near term.

MyKindaTown (27.00) Submitted: 4/30/2007 10:54:43 PM : Start Price: $29.80 HEW Score: -56.79

I worked at this company, in the main headquarters. Consider that their business is the "people business". They help other companies offer benefits and services to their employees. The funny thing is-- hold your breath there-- they have the WORST turnover in the outsourcing industry. And it's a TREND. What does that tell you about this company?

Yeah, I left too. People have been leaving in droves for years and they just hire more, who promply leave again. I was honored when I left as the CEO resigned as well as his 2nd in command I think. Even the head brass didn't want to stay after he milked as much as he could from the company-- between him and the desire to provide for the shareholders-- the employees SUFFER. That's why they always leave. It's a place that's very shallow-- lots of "feel good" hippie crap but absolutely, positively no substance or anything of value is given back to the employees.

Hence they'll always leave. Hence Hewitt, as large as it is, will pass into mediocrity some day. The benefits of large-scale volume pricing do no good if your employees-- the ones the employees of your clients will be talking to-- don't care.

Well, I could go on for hours here... but bottom line is everything about this company on the inside is cheap. Cheap things don't last.

NBender (< 20) Submitted: 1/3/2007 12:24:44 PM : Start Price: $25.71 HEW Score: -75.05

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