99% of Billionaire Abrams’ Portfolio is in These 11 Stocks

8. U-Haul Holding Co (NYSE:UHALB)

Abrams Capital Management’s Q3 2024 Investment: $245.07 Million

Percentage of Abrams Capital Management’s Portfolio: 3.93%

Number of Hedge Fund Holders: 22

U-Haul Holding Co (NYSE:UHALB) operates as a do-it-yourself moving and storage entity for household and commercial goods. It primarily rents trucks, trailers, portable moving and storage units, specialty rental items, and self-storage spaces to household movers. The stock is down by about 4% for the year on the back of disappointing financial results.

The underperformance comes from investors reacting to deteriorating macroeconomics hurting U-Haul Holding Co (NYSE:UHALB)’s core business. High interest rates have led to low consumer purchasing power resulting in reduced demand for the company’s storage and moving services.

On November 6, 2024, U-Haul Holding Co (NYSE:UHALB) reported disappointing second-quarter results. Their net earnings dropped to $186.8 million from $273.5 million in the previous year. Additionally, their US store segment is not growing as fast as they are adding new units.

Despite these challenges, U-Haul Holding Co (NYSE:UHALB) is planning for the future. The company has already acquired five former KO Storage facilities in Minnesota’s Cass as it looks to tap into new markets.