MPX - Boat sales down 21% Y/Y in October as inventory levels remain low

Boat sales fell 21% Y/Y in October and has now decreased 9% YTD, according to Statistical Surveys. The data includes information from 38 states, representing 78% of the market. The ski/wake segment, a key segment for MasterCraft Boat Holdings (MCFT -0.4%) and Malibu Boats (MBUU +0.8%), decreased 10% in October. Aluminum fish boat sales fell the most (-22% Y/Y), while personal watercraft sales, including Sea-Doo (BRP +1.0%) sales, dropped 18% and pontoon sales are down 14%. Baird analysts led by Craig Kennison report that the decline "appears weaker than what our industry sources tell us" and most likely reflect depleted inventory levels. "Despite stubbornly weak preliminary retail data, the backdrop remains bullish for marine OEMs and suppliers, who have exceptional visibility into strong demand." he writes. Other impacted tickers: Marine Products (MPX +1.3%), OneWater Marine (ONEW -2.2%), Brunswick Corporation (BC +1.1%), MarineMax (HZO -0.9%)

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Boat sales down 21% Y/Y in October as inventory levels remain low