U.S. Machinery & Construction: The Structural Edge in OEM Distribution Via Their Dealer Networks

研报英文原文证据摘录

U.S. Machinery & Construction: The Structural Edge in OEM Distribution Via Their Dealer Networks

Equity Research

10 June 2026

U.S. Machinery & Construction

The Structural Edge in OEM

Distribution Via Their Dealer

U.S. Machinery & ConstructionNetworks

POSITIVE

Dealer networks are a key moat with territory coverage (~65% U.S. Machinery & Construction

Adam Seiden, CFAsingle-dealer markets) supporting pricing and stability. CAT

and Deere drive higher productivity while Deere/CNH +1adam.seiden@barclays.com212 526 2212

dominate core ag regions. Ongoing dealer consolidation, BCI, US

especially for Deere, reinforces scale & aids cycle resilience. Vraj Patel

+1 212 526 2773

vraj.patel1@barclays.com

We appreciate your 5-star vote in the 2026 Extel All-America Research Survey in the Machinery, BCI, US

Engineering, & Construction category: Vote 5 Stars for Barclays » Tyler Russell

+1 212 526 7584

Dealer networks are a structural moat supporting OEM outperformance, with leaders

tyler.russell@barclays.com

benefiting from stronger geographic alignment and local market entrenchment. 1) Dealer BCI, US

density follows demand but remains imperfectly allocated, in our view, creating upside

potential for better-positioned players. Dealer territory exclusivity could be seen in our dataset.

2) CAT and Deere appear to generate higher productivity per dealer, particularly in top markets.

We surmise from finance data but acknowledge its an imperfect metric. 3) Deere and CNH

dominate core ag regions, controlling the majority of high-value acreage and counties. 4) Dealer

consolidation, especially for Deere, is increasing scale advantages and should reinforce Deere's

leadership over time. 5) Partially recognizing the value of a strong dealer base, companies like