US Auto SAAR May Update

May US light vehicle sales achieved a SAAR in the low 16 million range, exceeding consensus, though EV sales declined 20% yoy as consumer preference shifted toward hybrids.

Key Takeaways

• 1.May US light vehicle SAAR reached 16.1-16.2 million units, slightly beating the consensus estimate of 16.0 million.
• 2.Significant divergence in powertrain performance continues, with EV sales down 20% yoy while hybrid sales rose 32% yoy.
• 3.Incentive spending per vehicle is trending higher, increasing 6% year-over-year to approximately $3,502.

Table of Contents

• Synopsis
• SAAR was up slightly mom and up yoy
• EVs and hybrids
• Incentive spending per vehicle was up 6% yoy and up 3% sequentially in May
• Inventory declined sequentially to ~2,667K units in May from ~2,701K in April
• Implications
• Disclosure Appendix