“Will the overhang finally abate enough in 2011 to drive new [business jet] orders?” JP Morgan North American Equity Research aerospace analyst Joseph Nadol III asked in his firm’s latest monthly business jet report, released on Tuesday. Citing a “significant overhang” of pre-owned jets available at attractive prices, the report said business jet demand remains “anemic” while new aircraft backlogs continue to decline.
According to the latest data from JPMorgan Research, pre-owned business jet inventories fell last month, reversing a three-month upward trend, though demand remains “weak.” Inventories decreased to 11.7 percent of in-production business jets, but JPMorgan said they remain elevated and noted that inventories have fallen less than 0.1 percentage point per month on average this year.
The recovery in the business jet market was mixed again last month, according to JPMorgan North American Equity Research’s latest monthly business jet report, released on Friday. Indicators for pre-owned business jets deteriorated a bit further last month, the firm said, while manufacturers saw increased order activity for new aircraft.
According to JPMorgan’s latest business jet monthly report, improvement in the pre-owned market has stalled. However, it expects the trend toward lower inventories to restart and continue. The nearly 3-percent decline in pre-owned inventories in
According to JPMorgan’s latest business jet monthly report, released on Friday, improvement in the pre-owned market has stalled. However, it expects the trend toward lower inventories to restart and continue. The nearly 3-percent decline in pre-owned inventories in the 12 months following the July 2009 peak has “lost some steam” as levels have increased slightly (up 0.1 percent) for the second consecutive month in September.
“Elevated used inventory, attractive used pricing and macro uncertainty continue to hold down demand for new business jets,” JPMorgan Equity Research noted in its latest business jet monthly report, issued this morning.
The recovery in the business jet market continues but is still a bit uneven, according to the JPMorgan monthly business jet report released this morning. Pre-owned jet inventory of in-production models fell to 11.9 percent last month–the first time it has dipped below 12 percent since October 2008–but it did not do so uniformly. Midsize and large-cabin jet inventories decreased, while the supply of light jets increased slightly.
Recovery in the pre-owned business jet market “remains on track,” but the pickup in the new aircraft market is still “elusive,” JPMorgan noted in its latest business jet monthly report, issued late last week. “Used inventories continued to move downward, consistent with their path over the past 10 months,” said Joseph Nadol III, the firm’s chief aerospace analyst.
In its latest monthly business jet market report, JPMorgan North American Equity Research said demand for new business jets is “still in the doldrums.” As proof, the firm said Cessna Citations aren’t even 70 percent sold out this year, while Embraer “has seen little pickup in demand” for its executive jets.
Last month showed further evidence of the “gradual” business jet recovery that has been under way for the past few months, including a shrinking pre-owned inventory and “some positive signals from the new market,” JPMorgan Global Equity Research said this week in its monthly business jet update.