Snapshot

My Implied Share Price: $33.73

Situation

I reduced ownership in Movado (MOV).

MOV

Over the last year Movado has increased in share price over 136%. I still believe the company is great, however, it is approaching fair value. I was holding it because I thought it was undervalued and the dividend was above average. But, I also understand it’s a smaller company and controlled by a very few people. So, I did not want to hold too large of a stake, because expecting the value to be reflected in the price is not guaranteed, although I recognize its generally still under-valued.

Response

I reduced my ownership stake by more than half.

Reflections

I feel good about my decision and believe this is more of an appropriate size to hold. I also happy to increase my cash position, as I’ve rebalanced and reallocated cash to a new positions. Now my cash position is around 30%, which gives me a lot of optionality.