Analyst expects boat sales growth in June - Trade Only Today

Analyst expects boat sales growth in June

Marine lending sources are indicating that June retail unit sales will be up 5 percent from last year.
Author:
Publish date:

Marine lending sources are indicating that June retail unit sales will be up 5 percent from last year, as virtually all segments exhibited growth.

That’s according to Wells Fargo industry analyst Timothy Conder, who says in a report released today that growth will be led by aluminum fishing, outboard saltwater fishing and large boats.

The towable segment — ski, wake and surf — and aluminum pontoon segments were also strong, Conder wrote.

“Aged channel inventory — i.e., one year and older — of new boats hit another seasonal historical low and overall channel inventories remain very lean,” Conder wrote in his report. “Additionally, our contacts indicate that May data will likely be revised upward from 2.0 percent in our traditional segment, plus ski/wake/surf boats to a positive number as additional reporting states are included.”

Statistical Surveys data for June are expected between July 15 and 21.

Although investors continue to be “excessively concerned” about boat equities after mixed weather and historically low seasonal trading patterns, Conder recommended buying public boat company shares aggressively prior to sales data releases.

Related