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Sun, Dec 18, 2016

Trump Presidency Could Boost BizJet Demand, Analyst Says

Lower Taxes, Less Regulation Could Bring Economic Boom

The election of Donald Trump as President could mean a boost in business jet sales, according to Cowen analyst Cai von Rumohr.

CNBC reports that in a research note released Wednesday, von Rumohr said that the victory by Trump "looks positive for bizjet demand." He said Trump's stated policies of lowering taxes and decreasing regulations could provide the economic stimulus that might have companies looking at jets again.

The analyst also said that the shift away from the Obama administration's anti-businessjet rhetoric could help the market.

The President-elect has owned a private Boeing 757 for many years. It is reportedly worth some $100 million.

According to CNBC, a check of UBS showed a decline in the number of previously-flown G650 aircraft, with 14 on the market, down from the previous high of 18 aircraft. UBS analyst David Strauss said in a note that they have surveyed industry professionals, who say there is some "significant positive momentum" since Trump's election.

(Image from file)

FMI: www.ubs.com

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