Pershing Square Inc. (PS) Q3 2026 Earnings Report

The call was predominantly positive. Management emphasized a clear long-term strategy built around permanent capital, concentrated ownership of businesses targeted to grow 15% to 25% annually, a 20%-plus return objective, progress at Howard Hughes and Vantage, and planned expansion into venture investing. The call also addressed meaningful challenges, including the 60% decline in Fannie Mae and Freddie Mac shares, Howard Hughes' discount, Uber's autonomous-vehicle overhang, temporarily slower Restaurant Brands growth, and higher cost comparisons expected in 2027. Highlights significantly outweighed the lowlights.

Pershing Square said organic growth will come primarily from returns, with a portfolio of 12 to 15 businesses that it believes can earn at least a 20% rate of return over a multiyear period, including earnings growth “generally speaking, with a high degree of confidence, anywhere between 15% and 25% a year,” with the combination expected to deliver “more than 20% return”; PS Ventures is targeted for a public launch in Q1, with a $500 million to $1 billion initial size, a 2% fee, and the goal of coming into existence by the end of Q1; an asymmetric fund could be launched later next year, using interest income of “4-ish percent” and spending 400 basis points on investments; Uber is expected to produce “25%-plus earnings per share growth over the next 3 to 5 years,” while Restaurant Brands targets about a 5% growth rate, about 8% annual operating-profit growth, a nearly 4% dividend, and earnings per share including its dividend growth of around a 15% rate; Pershing Square said public-company G&A is something in the order of $50 million a year and should grow nominally with inflation, while third-quarter expenses were down 1% and fourth-quarter year-over-year growth could be “something kind of similar.”