Sandhills Global Market Data Shows Declining Inventory Across Used Equipment Markets Is Driving Up Values

April 21, 2021 12:12 PM EDT

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LINCOLN, Neb., April 21, 2021 /PRNewswire/ -- A new Sandhills Global Market Report highlights how the continuing decline in used inventory since the beginning of 2021 has affected the value of key equipment segments in the agriculture, construction, and commercial trucking industries. Reduced inventory numbers routinely exhibit an inverse relationship with used equipment values, and with inventory levels in some segments surpassing historically low inventory volumes, used equipment values are also trending upward to historic highs.

There is a continuing decline in used inventory.  Used equipment values are also trending upward to historic highs.

Chart TakeawaysMany used equipment markets experienced growing sales activity in last half of 2020, and inventory levels in 2021 have continued to drop in recent months as market demand for equipment has steadily increased. Notably, the Sandhills Equipment Value Index (EVI) is charting historically low inventory volumes in tractors in the 175- to 299-horsepower range, 18- to 36-ton crawler excavators, and heavy-duty sleeper trucks. The accompanying charts show the inverse relationship between the dropping inventory levels and increasing equipment values in these segments.

U.S. Used Heavy-Duty Sleeper Trucks

  • Since the start of 2021, used sleeper truck inventory has shown an average 10% to 15% month-over-month decline, continually surpassing previous historic lows in inventory.
  • Monthly sleeper truck values have increased by an average 2% over the last three quarters, according to the Sandhills EVI.

U.S. Used Excavators

  • 18- to 36-metric-ton crawler excavator asking values have increased over $7,000 since the end of 2020, with inventory volumes down 40% year-over-year. The current inventory level has fallen below any previous low seen over the last 5 years.

U.S. Used Tractors

  • Inventory for used tractors rated between 175 and to 299 horsepower are down 42% YOY, nearly reaching the historical lows of 2013.
  • Asking values for used tractors in the 175- to 299-horsepower group have trended upwards since Q3 2020 with steady month-over-month increases; March asking values were up 3% YOY.

Obtain the Full ReportFor more information, or to receive detailed analysis from Sandhills Global, contact us at marketreports@sandhills.com.

About Sandhills GlobalSandhills Global is an information processing company headquartered in Lincoln, Nebraska. Our products and services gather, process, and distribute information in the form of trade publications, websites, and online services that connect buyers and sellers across the construction, agriculture, forestry, oil and gas, heavy equipment, commercial trucking, and aviation industries. Our integrated, industry-specific approach to hosted technologies and services offers solutions that help businesses large and small operate efficiently and grow securely, cost-effectively, and successfully. Sandhills Global—we are the cloud.

About the Sandhills Equipment Value IndexThe Sandhills Equipment Value Index (EVI) is a principal gauge of the estimated market values of used assets—both currently and over time—across the construction, agricultural, and commercial trucking industries represented by Sandhills Global marketplaces, including AuctionTime.com, TractorHouse.com, MachineryTrader.com, TruckPaper.com, and other industry-specific equipment platforms. Powered by FleetEvaluator, Sandhills' proprietary asset valuation tool, Sandhills EVI provides useful insights into the ever-changing supply-and-demand conditions for each industry.

Contact Sandhillshttp://www.sandhills.com/contact-us 402-479-2181

 

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SOURCE Sandhills Global



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