As expected, average retail pricing for 3-5 year-old sleeper tractors ticked up 4% in May, coming in similar to March’s figure. Unlike last month, there were no groups of unusually low-priced models negatively impacting our averages. In general, market performance is becoming more model-specific, with the proportional difference between makes and models increasing.

Specifically, trucks of model years 2014-2012 lost 12% of their value from January to May of 2016. This figure is very similar to the 13% lost from January to May of 2015. However, absolute pricing is lower this year, with the three to five year-old cohort running $6,961 (or 9%) lower in the first five months of 2016 compared to the same period of 2015.

In terms of individual model years, three-year-old trucks have lost 13% of their value since January, four-year-old trucks have lost 10%, and five-year-old trucks have lost 12%. These results mean the market is currently outperforming our monthly depreciation forecast of 4-5%.

The upward tick in average pricing is somewhat encouraging, as it suggests pricing on average has not decreased appreciably since March. The increased differentiation in pricing for individual models is also a positive indicator, suggesting the market may have absorbed the bulk of its across-the-board depreciation. Supply of sleepers in the retail and wholesale channels is more stable than this time last year.

Stay tuned for an update on wholesale pricing.