| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 0/6 |
| Past Performance | 3/6 |
| Financial Health | 5/6 |
| Dividends | 0/6 |
UHAL Stock Overview
AMERCO operates as a do-it-yourself moving and storage operator for household and commercial goods in the United States and Canada.
AMERCO Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$563.10 |
| 52 Week High | US$769.90 |
| 52 Week Low | US$447.92 |
| Beta | 0.95 |
| 1 Month Change | 20.88% |
| 3 Month Change | 6.17% |
| 1 Year Change | -14.03% |
| 3 Year Change | 62.14% |
| 5 Year Change | 56.94% |
| Change since IPO | 3,140.86% |
Recent News & Updates
Does AMERCO (NASDAQ:UHAL) Deserve A Spot On Your Watchlist?
For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...
East 72 Holdings - Amerco: Opacity Creates Significant Opportunity
Amerco's enterprise value, with an adjusted $3.4 billion in net debt, is a very low $12.7 billion. We see Amerco as being able to post significant growth over the next 3-5 years. We believe investing in UHAL represents ownership of an entity with near monopoly attributes in one-way DIY moving. The following segment was excerpted from this fund letter. Amerco (UHAL) is the fourth largest self-storage unit owner in the US, with ownership of just over 50 million square feet (4.65 million m2) of these properties, along with management of a further 23 million square feet. That's a pretty robust starting asset, but when you combine it with a fleet of 186,000 trucks, 128,000 trailers and 46,000 towing devices under the "U-Haul" banner, you have an astonishing integrated, moated moving and storage business across the USA. U-Haul has a storied history[1] having been established as a "one-way" rental company in 1945, and now having 23,000 locations across North America - 2,100 company owned and 21,100 independent franchise dealers. The company has a near monopoly in DIY inter-city moves having 10 times the number of locations as its nearest competitor Penske (PAG). Whilst Penske employs a fleet 52% the size of U-Haul, a likely significant (yet undisclosed) portion of the Penske fleet is made of commercial rental vehicles (refrigerated units, semi-trailers etc.). Next largest is Avis Budget (CAR) who have a truck rental fleet a little under 6% of that of U-Haul. Amerco is controlled by the Shoen family - Chairman Joe and family control 42.7% of the small float of only 19.6 million shares; at $478 a share, the equity pricing of the company is just under $9.4 billion. With an adjusted $3.4 billion in net debt, enterprise value is a very low $12.7 billion. We can compare UHAL's in-situ storage portfolio, which it has grown from around 15 million ft2 in nine years with five publicly listed large-scale peer REIT's. We acknowledge this is a theoretical exercise in splitting the "real assets" (storage) from "the business" (trucks) since the Shoen's are highly unlikely to ever securitise the properties because of the massive competitive advantage brought about by the combination. But it's an exercise worth doing to get to the bottom of the magnitude of undervaluation UHAL stock. By comparison with UHAL, REIT's have an obvious tax advantage, but also benefit in investors' eyes from transparency - if we ignore the fact that some have equity in highly geared unconsolidated JV's or have management income streams, or significant minority ownerships in sub-trusts. These minority interests are especially difficult to cater for. We have made an attempt to deal with these inconveniences for the peers but must concede that our math has more than the usual caveats. As a guide, the "average" facility in America has around 72,000 - 77,000 ft2 of available space at ~110ft2 per unit renting out at ~$18.75 per ft2pa. Valuations vary widely for obvious reasons. The table below shows the four largest public storage REITs by area, the smallest of which is a smaller size than Amerco, are valued by the equity market at an equivalent EV/ft2 of $273, which would value UHAL's owned portfolio at $13.6 billion, against a current company EV of $12.7 billion. The comparison becomes even more ludicrous when including managed properties. Even the second-lowest[2] rated of the five REIT peers (LSI: $153.64 psf) suggests the owned Amerco portfolio to be worth $7.7 billion on a standalone basis, leaving $4.9 billion of attributable value for the UHAL and insurance businesses. Millions/$mn Cube Smart Extra Space Life Storage National Storage Public Storage Aggregate Ticker CUBE EXR LSI NSA PSA Issued shares 224.4 134.3 84.3 91.5 175.2 Price (30 Jun 22) $42.72 $170.12 $111.66 $50.07 $312.67 Equity Capn. 9,586 22,839 9,414 4,577 54,770 101,186 Net debt/prefs 3,348 5,198 3,092 3,193 11,791 26,622 Assessed other assets (117) (500)† (215) (184) (2,569)†† (3,585) Enterprise value 12,817 27,537 12,291 7,586 63,992 124,223 Owned ft2 (million) 43.6 76 80 56 199 455 EV/ft2 $293.97 $360.55 $153.64 $136.19 $321.56 $273 Managed ft2 (million) 6.5 88 95 Owned & managed ft2 50.1 164 80 56 199 550 Adj. EV O&M 12,817 28,037 124,723 Adj EV/O&M ft2 $255.82 $170.00 $227 † management company valuation †† includes publicly listed stocks PBS and SHUR.BR Amerco owns two insurance businesses - a property casualty insurer (Repwest) which mainly does claims management for the U-Haul portfolio of vehicles and a life company, Oxford and its various subsidiaries. Both businesses are profitable and have combined equity bases of $736 million - not inconsequential. Over the past two years, the two companies combined have recorded average per annum pre-tax profits of $62 million. Based on Deloitte analysis[3], the typical global life company has transacted in a willing buyer- seller deal at 1.15x BV in the past year; the equivalent in the P/C business has been a slightly higher 1.2x. As a consequence, this suggests the Amerco businesses might be worth a combined $860 million, equivalent to 13.9x average pre-tax earnings in 2021 and 2022. The key piece of opacity within Amerco which mitigates against transparent analysis is the binding together in the segmental accounts of "moving and storage"; in other words, the self-storage rental returns - which we are valuing above on an asset basis - are not broken out from the truck and trailer rentals. Hence, the analysis which follows is our own work and not cross-checked with the company to establish what we believe the pure vehicle, trailer rental and parts sales might be valued at by the equity market. With that warning, the good news is that there is respectable consistency across the five large listed REIT peers in respect of costs and revenues per square foot. The good news is that Amerco does disclose REVENUES from self-storage - which have compounded at just under 17% per annum over the past nine years, as the portfolio has continued to grow and occupancy has improved. As an estimate, based on the cost structure of the peers, but where we expect Amerco to operate at a more parsimonious level; we believe operating cost of about $5 psf pa to be a reasonable and possibly conservative estimate. Self-storage revenues only ($ million) 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 153 182 211 248 287 324 367 419 477 617 On that basis, across the owned portfolio, this would imply operating profit of ~$380 million in the year to 31 March 2022 from self-storage ownership on revenues of $617 million. Hence, our portfolio estimate valuation of $7.7 billion represents an earnings yield of ~4.95%, on an asset which management in its latest earnings call notes is "continuing to fill at historically high rates". It explains why Amerco is not retiring equity despite the apparent discount to value (below). They see further opportunities in the ownership component of the business given demographic change in the US, and shortage of available sites - for others - as well as zoning difficulties in urban environments. With the self-storage "property" revenues backed out of the segmentals for "moving and storage", we can hazard an estimate of the profitability of "moving", encompassing vehicle and trailer rentals. Based on the UHAL segmental profit analysis (reproduced below), this would suggest the remaining "moving and storage" operations to have burgeoned in the past two years with an operating profit of $1.68 billion EBITDA in 2022, up from an estimated $1.25 billion in 2021 - excluding profits on vehicle sales. Why so strong? UHAL have been slowly expanding the truck fleet, adding 10,000 trucks between March 2020 and 2022; however, the key driver has been the average revenue per truck per annum, which has bounced from $15,700 in the 2020 year via $17,520 in 2021 to a hefty $21,872 in the latest year. That's inflation for you! 18% compound growth in revenue per truck for the two years. We are unsure how sustainable this growth over the past two years will prove to be, but managements insights from the latest earnings call is encouraging with their assessment that: "About half of the increase was coming from transactions and the other half was split between the number of miles driven by our customers and the rate that we were charging per mile."
AMERCO (NASDAQ:UHAL) Takes On Some Risk With Its Use Of Debt
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
U-Haul acquires land in Daphne for new self-storage facility
U-Haul, owned by DIY moving and storage operator Amerco (NASDAQ:UHAL), has acquired a 4.12 acres land in Daphne to establish a new retail, moving and self-storage facility. Scheduled for completion in 2024, U-Haul Moving & Storage of Daphne will include a three-story building encompassing at least 700 indoor, ADA-accessible self-storage units with climate-control options and high-tech security features at affordable price points. A separate warehouse for U-Box portable storage containers is also in the pipeline. The facility will feature a retail showroom and offer essential mobility services. At least 12 team members will be hired to staff the new store.
Shareholder Returns
| UHAL | US Transportation | US Market | |
|---|---|---|---|
| 7D | 4.9% | 3.9% | 1.3% |
| 1Y | -14.0% | -14.7% | -11.7% |
Return vs Industry: UHAL exceeded the US Transportation industry which returned -15.4% over the past year.
Return vs Market: UHAL underperformed the US Market which returned -11.6% over the past year.
Price Volatility
| UHAL volatility | |
|---|---|
| UHAL Average Weekly Movement | 4.1% |
| Transportation Industry Average Movement | 8.7% |
| Market Average Movement | 7.8% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: UHAL is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: UHAL's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1945 | 25,234 | Joe Shoen | https://www.amerco.com |
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, flat screen television, and sensitive electronic equipment, as well as tapes, security locks, and packing supplies.
AMERCO Fundamentals Summary
| UHAL fundamental statistics | |
|---|---|
| Market Cap | US$11.04b |
| Earnings (TTM) | US$1.11b |
| Revenue (TTM) | US$5.86b |
9.9x
P/E Ratio1.9x
P/S RatioIs UHAL overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| UHAL income statement (TTM) | |
|---|---|
| Revenue | US$5.86b |
| Cost of Revenue | US$3.47b |
| Gross Profit | US$2.12b |
| Other Expenses | US$1.01b |
| Earnings | US$1.11b |
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 56.72 |
| Gross Margin | 36.14% |
| Net Profit Margin | 18.96% |
| Debt/Equity Ratio | 80.2% |
How did UHAL perform over the long term?
See historical performance and comparisonDividends
0.3%
Current Dividend Yieldn/a
Payout RatioValuation
Is UHAL undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for UHAL?
Other financial metrics that can be useful for relative valuation.
| What is UHAL's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$11.04b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.4x |
| Enterprise Value/EBITDA | 6x |
| PEG Ratio | n/a |
Price to Earnings Ratio vs Peers
How does UHAL's PE Ratio compare to its peers?
| UHAL PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 13.7x | ||
KNX Knight-Swift Transportation Holdings | 10.1x | -2.7% | US$9.0b |
CAR Avis Budget Group | 3.8x | -50.0% | US$9.0b |
SAIA Saia | 19.5x | 4.3% | US$6.7b |
JBHT J.B. Hunt Transport Services | 21.3x | 3.2% | US$20.0b |
UHAL AMERCO | 9.9x | n/a | US$11.0b |
Price-To-Earnings vs Peers: UHAL is good value based on its Price-To-Earnings Ratio (9.9x) compared to the peer average (13.7x).
Price to Earnings Ratio vs Industry
How does UHAL's PE Ratio compare vs other companies in the US Transportation Industry?
Price-To-Earnings vs Industry: UHAL is good value based on its Price-To-Earnings Ratio (9.9x) compared to the US Transportation industry average (9.9x)
Price to Earnings Ratio vs Fair Ratio
What is UHAL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 9.9x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate UHAL's Price-To-Earnings Fair Ratio for valuation analysis.
Share Price vs Fair Value
What is the Fair Price of UHAL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: UHAL ($563.1) is trading above our estimate of fair value ($32.15)
Significantly Below Fair Value: UHAL is trading above our estimate of fair value.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
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Future Growth
How is AMERCO forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Future Growth Score
0/6Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
16.6%
Forecasted Transportation industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as AMERCO has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
Discover growth companies
- Examine AMERCO's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
Past Performance
How has AMERCO performed over the past 5 years?
Past Performance Score
3/6Past Performance Score 3/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
15.8%
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 (19%) are higher than last year (17.3%).
Past Earnings Growth Analysis
Earnings Trend: UHAL's earnings have grown by 15.8% per year over the past 5 years.
Accelerating Growth: UHAL's earnings growth over the past year (28.1%) exceeds its 5-year average (15.8% per year).
Earnings vs Industry: UHAL earnings growth over the past year (28.1%) underperformed the Transportation industry 62.5%.
Return on Equity
High ROE: UHAL's Return on Equity (18.3%) is considered low.
Discover strong past performing companies
Financial Health
How is AMERCO's financial position?
Financial Health Score
5/6Financial Health Score 5/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: UHAL's short term assets ($3.9B) exceed its short term liabilities ($1.2B).
Long Term Liabilities: UHAL's short term assets ($3.9B) do not cover its long term liabilities ($10.5B).
Debt to Equity History and Analysis
Debt Level: UHAL's net debt to equity ratio (28.6%) is considered satisfactory.
Reducing Debt: UHAL's debt to equity ratio has reduced from 89.7% to 80.2% over the past 5 years.
Debt Coverage: UHAL's debt is well covered by operating cash flow (37%).
Interest Coverage: UHAL's interest payments on its debt are well covered by EBIT (9.2x coverage).
Balance Sheet
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Dividend
What is AMERCO current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
0.27%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: UHAL's dividend (0.27%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.5%).
High Dividend: UHAL's dividend (0.27%) is low compared to the top 25% of dividend payers in the US market (4.05%).
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.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: UHAL is paying a dividend but the company has no free cash flows.
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Management
How experienced are the management team and are they aligned to shareholders interests?
13.2yrs
Average management tenure
CEO
Joe Shoen (73 yo)
35.58yrs
Tenure
US$1,011,744
Compensation
Mr. Edward Joseph Shoen, also known as Joe, has been the President of AMERCO since 1987 and serves as its Chief Executive Officer. Mr. Shoen has been the Chairman of AMERCO since 1986 and serves as its Dir...
CEO Compensation Analysis
Compensation vs Market: Joe's total compensation ($USD1.01M) is below average for companies of similar size in the US market ($USD12.88M).
Compensation vs Earnings: Joe's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: UHAL's management team is seasoned and experienced (13.2 years average tenure).
Board Members
Experienced Board: UHAL's board of directors are considered experienced (6.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: UHAL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
AMERCO's employee growth, exchange listings and data sources
Key Information
- Name: AMERCO
- Ticker: UHAL
- Exchange: NasdaqGS
- Founded: 1945
- Industry: Trucking
- Sector: Transportation
- Implied Market Cap: US$11.041b
- 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
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/08/11 00:00 |
| End of Day Share Price | 2022/08/11 00:00 |
| Earnings | 2022/06/30 |
| Annual Earnings | 2022/03/31 |
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.