According to Morgan Stanley analysts and WatchCharts, prices of pre-owned Rolex, Patek Philippe, and Audemars Piguet watches are expected to continue their decline due to a surplus in supply.

Although there is a slight decrease in total supply on the secondhand market, overall inventory levels remain high, as indicated in the report by Morgan Stanley analysts led by Edouard Aubin and WatchCharts.

During the first half of 2023, the WatchCharts Overall Market Index, which monitors the 60 most traded watches from the top 10 brands by value, experienced a decline of approximately 5%.

While some high-end brand watches still fetch prices well above their retail values, this is mainly because stores resort to waiting lists to meet the demand that surpasses supply. On the other hand, there is an increasing number of watches that trade at or below retail prices, as in-store prices rise and secondary market prices fall.