Business jet market sees rising inventories and falling prices: Jefferies report

Jefferies highlighted that Bombardier units for sale have increased by 8%, reaching 65 units and representing 3.7% of the OEM’s fleet. Available Globals have risen by 19% YOY; however, Challengers for sale have decreased by 17%, and Learjet inventory has fallen by 20%.

Gulfstream inventories have surged by 27% YOY to reach 85 units, also accounting for 3.7% of their fleet. This includes the availability of 21 G650s. Gulfstream has reserved registrations for up to 92 G700 models thus far, implying that approximately 85 would be produced for customers.

Cessna Citations available for sale have climbed by 29% YOY to a total of 134 on the market, including an increase in CJ2/CJ2+ series units by twenty. Dassault's available inventory is up by a significant margin at 47% YOY but from a low base of just twenty-five units.

Embraer stands out among major business jet manufacturers as its units for sale have declined by 17% YOY to thirty-four units, led primarily by reductions in Phenom-300 and Phenom-100 fleets.

Pricing across all manufacturers shows a downward trend ranging from a substantial decline of Gulfstreams at -16%, averaging $21 million asking prices, to a modest dip of -2% for Dassault models. Embraer models saw prices drop by -10%; Bombardier pricing fell -5%, while Cessna Citations saw a decrease of -4%.