UBS Investment Research’s latest business jet update suggests that the pre-owned business jet market might be at or near the bottom. According to UBS researcher David Strauss, listings of used business jets slowed to a 1-percent month-over-month increase in March, although they are still 63 percent higher than prior-year levels. While available inventories continue to reach new highs, with 18 percent of the in-service business jet fleet now up for sale, “We think a slower growth rate over the past few months suggests inventories may be beginning to stabilize,” Strauss wrote. As a result of increased inventory, UBS estimates that inventories will continue to overhang orders, pressure existing backlogs and force further production cuts out of the manufacturers,” Strauss said.
UBS: Pre-owned Bizjet Inventory Stabilizing
- April 30, 2009, 6:52 AM