Billionaire Bill Ackman’s 7 Stock Picks with Huge Upside Potential

2. Howard Hughes Holdings Inc. (NYSE:HHH)

Number of Hedge Fund Holders as of Q4: 39

Pershing Square’s Equity Stake: $1.45 Billion 

Upside Potential as of May 5: 34.39%

Howard Hughes Holdings Inc. (NYSE:HHH) is a real estate development and management company headquartered in The Woodlands, Texas. It was established in 2010 through a spin-off from General Growth Properties and has since focused primarily on developing and managing large-scale, master-planned communities. The company’s portfolio includes a range of residential, commercial, and mixed-use properties concentrated in high-growth regions of the United States. These master-planned communities are designed to be self-sustaining ecosystems, blending housing, commerce, and recreation to create long-term value.

Financially, Howard Hughes Holdings Inc. (NYSE:HHH) posted strong results in the fourth quarter of 2024. The company reported quarterly sales of $120.29 million, up from $103.81 million in the same period the previous year. Total revenue surged to $983.59 million from $312.96 million, marking a significant increase. Net income for the quarter rose to $156.32 million, a substantial jump from $34.3 million a year earlier. Basic earnings per share from continuing operations stood at $3.27, more than triple the $1.06 reported in the prior year.

For the full fiscal year, Howard Hughes Holdings Inc. (NYSE:HHH) continued this positive momentum. Sales totaled $466.86 million, up from $429.87 million in the previous year. Revenue nearly doubled to $1.75 billion from $908.75 million, while net income soared to $197.7 million, a stark reversal from the prior year’s net loss of $551.77 million. Basic earnings per share from continuing operations were $5.75, up from $1.68, highlighting the company’s strong operational turnaround and improved profitability.

The stock ranks second among Ackman’s holdings in terms of upside potential, with analysts projecting a gain of 34.39%. This strong financial performance and strategic positioning suggest that Howard Hughes Holdings Inc. (NYSE:HHH) is in a phase of robust growth, driven by the successful execution of its master-planned development model. Its focus on high-demand urban regions and its unique ability to design and control entire communities gives it a defensible competitive advantage. The stock’s high upside potential further reinforces the belief that HHH is well-positioned to capitalize on demographic and economic trends favoring mixed-use, sustainable real estate development.