Otis Worldwide Corporation

Valuation Analysis

About the Company

Otis Worldwide Corporation engages in manufacturing, installation, and servicing of elevators and escalators in the United States, China, and internationally. The company operates in two segments, New Equipment and Service. The New Equipment segment designs, manufactures, sells, and installs a range of passenger and freight elevators, as well as escalators and moving walkways for residential and commercial buildings, and infrastructure projects. This segment serves real-estate and building developers, and general contractors. It sells its products directly to customers, as well as through agents and distributors. The Service segment performs maintenance and repair services, as well as modernization services to upgrade elevators and escalators. Otis Worldwide Corporation was founded in 1853

Otis Worldwide Corporation Stock at a Glance

Otis Worldwide Corporation (OTIS) is currently trading at $70.75 with a market capitalization of $27.1B. The trailing P/E ratio stands at 18.82x, with a forward P/E of 15x. The 52-week range spans from $69.16 to $101.42; the current price is 30.2% below the yearly high. Year-over-year revenue growth stands at +6.4%. The net profit margin stands at 10.11%.

💰 Dividend

Otis Worldwide Corporation pays an annual dividend of $1.70 per share, representing a yield of 2.4%. The payout ratio stands at 44.68%.

📊 Analyst Rating

15 analysts rate Otis Worldwide Corporation (OTIS) on consensus: Buy. The average price target is $94.20, implying +33.14% from the current price. Analyst price targets range from $77.00 to $120.00.

Otis Worldwide Corporation: The Investment Case in Detail

Otis Worldwide Corporation (OTIS) operates in the Industrials — specifically Specialty Industrial Machinery — and is headquartered in United States. Below is a structured read of the investment case built directly from the latest fundamentals, valuation multiples, analyst positioning and smart-money flows. Each section translates raw numbers into the investment logic they imply, so you can decide whether the risk/reward fits your portfolio.

The Bull Case

Earnings growth of 42.6% is outpacing revenue, a sign of operational leverage — fixed costs are being absorbed across a larger base. Wall Street consensus sits at Buy with an average price target implying roughly 33.14% upside from current levels — analyst sentiment is firmly constructive.

Valuation in Context

The PEG ratio at 1.35 sits in the reasonable zone — the price tag is roughly aligned with the company's growth profile, neither punishing nor euphoric.

What to Watch Next

• The forward P/E of 15x is meaningfully below the trailing 18.82x — analysts expect earnings to step up; the next earnings release is the test.
• The price sits in the lower quartile of the 52-week range — value hunters often start scaling in around this zone if fundamentals hold.
• The analyst consensus price target implies 33.14% upside — if the next two quarters confirm the underlying thesis, target hikes typically follow.

Investment Thesis: Strengths & Weaknesses

Technical Snapshot

Price is below both the 50- and 200-day moving averages, with 50d below 200d — a bearish picture (death-cross alignment).

Risk Profile

The data points to relatively defensive market behavior.

Trading Data

💵 Dividend Info

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