NasdaqGS:UHAL

Stock Analysis Report

Executive Summary

AMERCO operates as a do-it-yourself moving and storage operator for household and commercial goods in the United States and Canada.

Rewards

PE ratio (20.3x) is below the Transportation industry average (20.5x)

Earnings are forecast to grow 17.39% per year

Risk Analysis

High level of non-cash earnings

Has a high level of debt

Profit margins (9.5%) are lower than last year (22.3%)

Significant insider selling over the past 3 months



Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

Avis Budget Group

NasdaqGS:CAR

Share Price & News

How has AMERCO's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UHAL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.9%

UHAL

3.8%

US Transportation

2.0%

US Market


1 Year Return

6.7%

UHAL

19.0%

US Transportation

23.5%

US Market

Return vs Industry: UHAL underperformed the US Transportation industry which returned 21.9% over the past year.

Return vs Market: UHAL underperformed the US Market which returned 24.7% over the past year.


Shareholder returns

UHALIndustryMarket
7 Day0.9%3.8%2.0%
30 Day2.5%6.7%4.3%
90 Day-4.3%11.3%12.2%
1 Year7.1%6.7%21.2%19.0%26.1%23.5%
3 Year5.0%3.3%64.1%56.3%53.1%43.2%
5 Year34.5%29.7%68.5%35.5%75.5%56.1%

Price Volatility Vs. Market

How volatile is AMERCO's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is AMERCO undervalued compared to its fair value and its price relative to the market?

20.27x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: UHAL ($380.95) is trading above our estimate of fair value ($338.59)

Significantly Below Fair Value: UHAL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: UHAL is good value based on its PE Ratio (20.3x) compared to the Transportation industry average (20.5x).

PE vs Market: UHAL is poor value based on its PE Ratio (20.3x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: UHAL is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: UHAL is good value based on its PB Ratio (1.8x) compared to the US Transportation industry average (2.5x).


Next Steps

Future Growth

How is AMERCO forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

17.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UHAL's forecast earnings growth (17.4% per year) is above the savings rate (1.7%).

Earnings vs Market: UHAL's earnings (17.4% per year) are forecast to grow faster than the US market (14.3% per year).

High Growth Earnings: UHAL's earnings are forecast to grow, but not significantly.

Revenue vs Market: UHAL's revenue (1.3% per year) is forecast to grow slower than the US market (7.5% per year).

High Growth Revenue: UHAL's revenue (1.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if UHAL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has AMERCO performed over the past 5 years?

6.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UHAL has a high level of non-cash earnings.

Growing Profit Margin: UHAL's current net profit margins (9.5%) are lower than last year (22.3%).


Past Earnings Growth Analysis

Earnings Trend: UHAL's earnings have grown by 6.3% per year over the past 5 years.

Accelerating Growth: UHAL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: UHAL had negative earnings growth (-55.7%) over the past year, making it difficult to compare to the Transportation industry average (-45%).


Return on Equity

High ROE: UHAL's Return on Equity (9.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is AMERCO's financial position?


Financial Position Analysis

Short Term Liabilities: UHAL's short term assets ($1.1B) exceed its short term liabilities ($792.9M).

Long Term Liabilities: UHAL's short term assets ($1.1B) do not cover its long term liabilities ($8.0B).


Debt to Equity History and Analysis

Debt Level: UHAL's debt to equity ratio (89.7%) is considered high.

Reducing Debt: UHAL's debt to equity ratio has reduced from 100.4% to 89.7% over the past 5 years.

Debt Coverage: UHAL's debt is well covered by operating cash flow (27.8%).

Interest Coverage: UHAL's interest payments on its debt are well covered by EBIT (4.1x coverage).


Balance Sheet

Inventory Level: UHAL has a high level of physical assets or inventory.

Debt Coverage by Assets: UHAL's debt is not covered by short term assets (assets are 0.3x debt).


Next Steps

Dividend

What is AMERCO's current dividend yield, its reliability and sustainability?

0.53%

Current Dividend Yield


Dividend Yield vs Market

company0.5%marketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: UHAL's dividend (0.53%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: UHAL's dividend (0.53%) is low compared to the top 25% of dividend payers in the US market (3.66%).


Stability and Growth of Payments

Stable Dividend: UHAL is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: UHAL is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of UHAL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of AMERCO's salary, the management and board of directors tenure and is there insider trading?

10.6yrs

Average management tenure


CEO

Joe Shoen (70yo)

0yrs

Tenure

US$1,016,699

Compensation

Mr. Edward Joseph Shoen, also known as Joe, has been the President of AMERCO since 1987 and serves as its Chief Executive Officer. Mr. Shoen has been the Chairman of AMERCO since 1986 and serves as its Dir ...


CEO Compensation Analysis

Compensation vs Market: Joe's total compensation ($USD1.02M) is below average for companies of similar size in the US market ($USD6.46M).

Compensation vs Earnings: Joe's compensation has been consistent with company performance over the past year.


Management Age and Tenure

10.6yrs

Average Tenure

59yo

Average Age

Experienced Management: UHAL's management team is seasoned and experienced (10.6 years average tenure).


Board Age and Tenure

4.0yrs

Average Tenure

65yo

Average Age

Experienced Board: UHAL's board of directors are considered experienced (4 years average tenure).


Insider Trading

Insider Buying: UHAL insiders have bought and sold the same number of shares in the past 3 months.


Recent Insider Transactions

BuyUS$713,07930 Dec 19
Edward Shoen
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board
Shares1,910
Max PriceUS$373.34
SellUS$713,07930 Dec 19
Edward Shoen
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board
Shares1,910
Max PriceUS$373.34
SellUS$2,158,34206 Sep 19
Edward Shoen
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board
Shares6,019
Max PriceUS$370.68
SellUS$847,07206 Sep 19
Edward Shoen
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board
Shares2,427
Max PriceUS$349.02
SellUS$32,26705 Mar 19
Laurence De Respino
EntityIndividual
Role
Chief Legal Officer
General Counsel
Shares86
Max PriceUS$375.20

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Joe Shoen (70yo)

    Chairman of the Board

    • Compensation: US$1.02m
  • JT Taylor (61yo)

    President & Director of U-Haul International Inc.

    • Tenure: 30yrs
    • Compensation: US$562.54k
  • Mark Haydukovich (62yo)

    President of Oxford Life Insurance Company

    • Tenure: 22.6yrs
    • Compensation: US$422.13k
  • Jason Berg (46yo)

    Chief Financial Officer

    • Tenure: 3.6yrs
    • Compensation: US$619.60k
  • Laurence De Respino (58yo)

    General Counsel

    • Tenure: 14.3yrs
    • Compensation: US$439.24k
  • Sam Shoen (41yo)

    Vice Chairman of the Board & U-Box Project Manager

    • Tenure: 1.8yrs
    • Compensation: US$521.79k
  • Jennifer Settles

    Secretary

    • Doug Bell (60yo)

      President of Repwest Insurance Company

      • Tenure: 6.9yrs
    • Sebastien Reyes

      Director of Investor Relations

      • Maria Bell (49yo)

        Chief Accounting Officer

        • Tenure: 0.4yrs

      Board Members

      • James Acridge (78yo)

        Independent Director

        • Tenure: 7yrs
        • Compensation: US$147.50k
      • Joe Shoen (70yo)

        Chairman of the Board

        • Compensation: US$1.02m
      • JT Taylor (61yo)

        President & Director of U-Haul International Inc.

        • Tenure: 30yrs
        • Compensation: US$562.54k
      • John Brogan (75yo)

        Independent Director

        • Tenure: 22yrs
        • Compensation: US$200.00k
      • Jim Grogan (65yo)

        Independent Director

        • Tenure: 4yrs
        • Compensation: US$95.00k
      • Richard Herrera (65yo)

        Independent Director

        • Tenure: 2.3yrs
        • Compensation: US$82.50k
      • Sam Shoen (41yo)

        Vice Chairman of the Board & U-Box Project Manager

        • Tenure: 1.8yrs
        • Compensation: US$521.79k
      • Sissie Shank (52yo)

        Director

        • Tenure: 0.08yrs
        • Compensation: US$67.50k
      • Karl Schmidt (59yo)

        Independent Director

        • Tenure: 3.4yrs
        • Compensation: US$122.50k

      Company Information

      AMERCO's company bio, employee growth, exchange listings and data sources


      Key Information

      • Name: AMERCO
      • Ticker: UHAL
      • Exchange: NasdaqGS
      • Founded: 1945
      • Industry: Trucking
      • Sector: Transportation
      • Market Cap: US$7.547b
      • Shares outstanding: 19.61m
      • Website: https://www.amerco.com

      Number of Employees


      Location

      • AMERCO
      • 5555 Kietzke Lane
      • Suite 100
      • Reno
      • Nevada
      • 89511
      • United States

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      UHALNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 1994
      AUKDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1994

      Biography

      AMERCO operates as a do-it-yourself moving and storage operator for household and commercial goods in the United States and Canada. The company’s Moving and Storage segment rents trucks, trailers, portable moving and storage units, specialty rental items, and self-storage spaces primarily to the household movers; and sells moving supplies, towing accessories, and propane. It also provides uhaul.com, an online marketplace that connects consumers to independent Moving Help service providers and independent self-storage affiliates; auto transport and tow dolly options to transport vehicles; and specialty boxes for dishes, computers, and sensitive electronic equipment, as well as tapes, security locks, and packing supplies. This segment rents its products and services through a network of approximately 1,981 company operated retail moving stores and 20,000 independent U-Haul dealers. As of March 31, 2019, it had a rental fleet of approximately 167,000 trucks, 120,000 trailers, and 43,000 towing devices; and 1,631 self-storage locations with approximately 697,000 rentable storage units. The company’s Property and Casualty Insurance segment offers loss adjusting and claims handling services. It also provides moving and storage protection packages, such as Safemove and Safetow packages, which offer moving and towing customers with a damage waiver, cargo protection, and medical and life insurance coverage; Safestor that protects storage customers from loss on their goods in storage; Safestor Mobile, which protects customers stored belongings; and Safemove Plus, which provides rental customers with a layer of primary liability protection. The company’s Life Insurance segment provides life and health insurance products primarily to the senior market through the direct writing and reinsuring of life insurance, medicare supplement, and annuity policies. AMERCO was founded in 1945 and is based in Reno, Nevada. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/17 23:31
      End of Day Share Price2020/01/17 00:00
      Earnings2019/09/30
      Annual Earnings2019/03/31


      Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.