Wells Fargo Machinery Supply Tracker

Research evidence excerpt

Wells Fargo Machinery Supply Tracker

Equity Research

Industry Update — July 6, 2026

Machinery, Industrials & Environmental Services

Mixed June as Aerial Inventories Reverse May Gains; Truck

& Ag Trends Remain Positive

Our Call Jerry Revich, CFA

Aerial supply rose unexpectedly in June, reversing May's sharp decline driven by a single Equity Analyst | Wells Fargo Securities, LLC

Jerry.Revich@wellsfargo.com | 212-214-5458

participant (small sample vs. other categories). Earthmoving equipment inventories remained

Gary S. Liebowitz, CFAtight. Truck and ag trends were extremely positive.

Equity Analyst | Wells Fargo Securities, LLC

Gary.Liebowitz@wellsfargo.com | 212-214-5055

(i) Construction: Earthmoving used inventories were flat SAAR and -13% y/y (CAT Kevin Uherek, CFA

-23%). However, aerials supply grew 4.5% in June (SAAR), reversing May's gains due Associate Equity Analyst | Wells Fargo Securities, LLC

to one supplier. We believe aerial data points can be choppy at cyclical inflections, but Kevin.Uherek@wellsfargo.com | 212-214-6410

acknowledge the data point as a risk factor to our view. (ii) Truck: supply fell 9% SAAR Andrew Azzi, CPA

(-31% yoy). Positive for CMI. (iii) Ag: supply was down 3% SAAR (-17% yoy). The update Associate Equity Analyst | Wells Fargo Securities, LLC

was surprisingly positive for DE. We are hosting a DE dealer Friday. Andrew.Azzi@wellsfargo.com | 212-214-5322

Jake Kooyman

Our investment framework is focused on the supply picture in Machinery as (i) new Associate Equity Analyst | Wells Fargo Securities, LLC Jake.Kooyman@wellsfargo.com | 212-214-5345

equipment inventories are key to organic growth inflections; (ii) used inventories reflect

10x the market size of new equipment; and (iii) used equipment inventories lead used