United Airlines Holdings, Inc. (UAL): Among Billionaire Ken Fisher's Industrial Stock Picks with Huge Upside Potential

We recently published a list of Billionaire Ken Fisher’s 10 Industrial Stock Picks with Huge Upside Potential. In this article, we are going to take a look at where United Airlines Holdings, Inc. (NASDAQ:UAL) stands against other billionaire Ken Fisher’s industrial stock picks with huge upside potential.

The economy strongly influences industrial stocks, which have fallen during recent downturns. However, 2025 looks like a key year for this sector, with these companies working in manufacturing, shipping, and aerospace, and investors are now focusing on businesses that adapt quickly to global shifts. The industrial sector grew 26% in 2024, showing strength despite high inflation and weak global demand. Going into 2025, these stocks are getting more attention thanks to new growth drivers and better economic conditions.

Even with possible higher tariffs under Trump’s trade policies, the outlook remains positive. President Trump has proposed a 25% tariff on steel and aluminum from countries like South Korea, Vietnam, and Canada. These tariffs might raise costs and also boost U.S. infrastructure and manufacturing spending; as Canada’s Innovation Minister Francois-Philippe Champagne said,

“Canadian steel and aluminum support key industries in the U.S., from defense, shipbuilding, and auto. We will continue to stand up for Canada, our workers, and our industries.”

All in all, this trade shift could help American industrial companies, especially those bringing supply chains back home.

Moreover, lower interest rates should help the sector by increasing construction and housing projects in 2025. On the other hand, falling mortgage rates will attract more homebuyers, creating demand for building materials and equipment. Ken Fisher said, “Investors are ignoring some of these positive developments,” pointing to an overlooked chance in housing-related businesses.

Aerospace is also making a comeback through airlines’ need to replace aging planes, driving demand for maintenance and parts, which demonstrates significant progress in aerospace-based companies. Meanwhile, only 25% of the $1.9 trillion in planned North American infrastructure projects have started construction, suggesting big growth ahead for equipment providers and construction companies.

In 2025, industrial stocks look promising due to clean technology and automation advancements. As reported in Deloitte’s 2025 Manufacturing Industry Outlook, over $31 billion went into clean-tech manufacturing facilities in 2024, showing a move toward sustainability. With decreasing interest rates and high demand for environmentally friendly tech, these investments are highly probable to drive growth in the industry. Ken Fisher noted made the following comment about the current situation:

“The fear is bigger than the problem can be. Single-period stock market comparisons are always iffy, but it may well be this goes something like the 1998 stock market correction leading to a 26% annual return.”

His view suggests a more positive review of the industrial sector, predicting it will grow despite tariff concerns. With investments in automation, clean tech, and domestic production, these stocks have strong long-term potential even with short-term challenges.

Methodology

To compile this list, we reviewed Ken Fisher’s SEC Q4 2024 13F filings. We picked 10 stocks with the highest upside potential from their current levels as of time of writing this article. Finally, we ranked the stocks in ascending order based on their highest analyst upside potential while also outlining hedge fund sentiment regarding these stocks, as per Insider Monkey’s database of Q4 2024.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

United Airlines Holdings, Inc. (NASDAQ:UAL)

Number of Hedge Fund Holders: 86

Upside Potential: 37.92%

United Airlines Holdings, Inc. (NASDAQ:UAL) carries passengers and cargo in the U.S., Canada, and across Atlantic, Pacific, and Latin American routes. The company runs a mix of mainline and regional planes, while offering side businesses like maintenance for other airlines, flight training, and rewards programs.

During Q1 ending March 31, 2025, United Airlines Holdings, Inc. (NASDAQ:UAL) pulled in $13.2 billion in revenue, an increase of 5.4% from last year. The main drivers for this growth were a 4.9% increase in capacity, and revenue per seat mile growing slightly by 0.5%. The company’s pre-tax income hit $478 million, a 3.6% margin, with adjusted pre-tax income at $391 million, a 3.0% margin. It also made $400 million in net income with earnings of $1.16 per share, or $0.91 adjusted. Furthermore, UAL generated $3.7 billion from operations and $2.3 billion in free cash while buying back $451 million in shares, finishing with $18.3 billion in cash against $27.7 billion in debt.

United Airlines Holdings, Inc. (NASDAQ:UAL) had its best-ever Q1 performance in operations as premium seats jumped 9.2%, business travel grew 7.4%, and Basic Economy rose 7.6%. International flights stayed strong as Atlantic routes saw 4.7% higher revenue per seat, while Pacific routes jumped 8.5%. Additionally, future bookings in premium cabins are up 17%, and a record 85% of passengers checked in online. The airline also got FAA approval for Starlink WiFi, added international destinations, and flew its biggest Q1 schedule by seat miles ever.

Despite economic uncertainty, United expects solid earnings for Q2 and full-year 2025. United Airlines Holdings, Inc. (NASDAQ:UAL) is cutting domestic flights by 4%, starting in Q3, to boost profits. The company’s strategy focuses on premium seats, keeping costs down, and going green, including investing in the carbon capture company Heirloom. This approach should help United Airlines grow steadily in the worldwide airline business.

Overall, UAL ranks 3rd on our list of billionaire Ken Fisher’s industrial stock picks with huge upside potential. While we acknowledge the potential of UAL, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than UAL but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.