East 72, an investment management company published its Q2, 2022 Investor Letter, a copy of which can be downloaded here. The quarterly gross return of the portfolio is -27.2% and the 12-month rolling return is -27.1%. The fund lost its value in the quarter and trails the S&P 500 Index, NASDAQ 100 Index, and ASX 200 Index. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.
In the Q2, 2022 investor letter East 72 mentioned AMERCO (NASDAQ:UHAL) and believe that the shares are underpriced. AMERCO (NASDAQ:UHAL) is a moving and storage operator, operates in the US and Canada for households and commercial goods, and has a market capitalization of $9.701 Billion. The one-month return of AMERCO (NASDAQ:UHAL) is 4.16% while its 12-month return is -14.42%. The stock of AMERCO (NASDAQ:UHAL) closed at $494.74 per share on July 25, 2022.
Here is what the fund specifically said about AMERCO (NASDAQ:UHAL):
“Amerco (NASDAQ:UHAL) is the fourth largest self-storage unit owner in the US, with ownership of just over a 50million square feet (4.65million m2) of these properties, along with management of a further 23million 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 history17 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 10times the number of locations as its nearest competitor Penske. Whilst Penske employ 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 Budget (Avis) who have a truck rental fleet a little under 6% of that of U-Haul…” (Click here to see the full text)
Although East 72 is invested in AMERCO (NASDAQ:UHAL), the stock isn’t in the list of 30 Most Popular Stocks Among Hedge Funds. At the end of the first quarter of 2022 AMERCO (NASDAQ:UHAL) was in 29 hedge fund portfolios which was unchanged from Q4,2021. AMERCO (NASDAQ:UHAL) shares lost 14.92% of their value over the last 52 weeks.
In April we have published another article on AMERCO (NASDAQ:UHAL). If you want to read more investor letters from hedge funds and other leading investors, check out our hedge fund investor letters 2022 page.
Disclosure: None. This article is originally published at Insider Monkey.
