Otis Worldwide Corp (OTIS)
Industrials · Industrial Machinery & Supplies & Components · US stock · S&P 500 component
$75.60
▲ +3.25 (4.49%)
Fair valueFair
$81 +6.9% to fair value
$40fair band $69–$98$121
Day's range
$72.58 – $75.75
52-week range
$63.58 – $94.57
Red flags⚠ Negative equity⚠ Negative equity⚠ Negative equity⚠ Negative equity⚠ Negative equity
About Otis Worldwide Corp
Otis makes, installs and services elevators and escalators for buildings around the world. It earns money in two ways: selling and installing new equipment for construction projects, and providing maintenance, repair and modernization services for the large base of units it already has in operation. Service contracts are typically recurring and make up a large portion of the business, which supports steadier income than new construction alone.
The company reported revenue of $14.9 billion over the last twelve months. The three-year revenue growth rate is 1.8% a year. Profitability shows an operating margin of 15.4% and a return on invested capital of 93%. Net debt stands at 3.1 times EBITDA. Shareholders receive a dividend, yielding 2.3%. This gives an X-Ray Score of 55 out of 100.
Price chart
52-wk range $63.58 – $94.57Volume 5,248,255Daily, split-adjusted
Vitals
Market cap$29.0B
52-week range$63.58 – $94.57
Volume (last day)5,248,255
P/E (TTM)19.5
EBIT / EV yield6.2%
Free-cash-flow yield5.9%
Dividend yield2.3%
Revenue (TTM)$14.9B
Net income (TTM)$1.5B
Operating margin15.4%
Return on capital92.9%
Debt incl. leases$8.4B
Cash & securities$813M
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$81middle half of models $78 – $86
Fair
+6.9% to fair value
Average of the 14 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Medium, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $76
Undervalued < $69Fair $69 – $98Overvalued > $98
P/E multiple
$80
P/S multiple
$98
EV/EBITDA multiple
$84
EV/EBIT multiple
$91
EV/revenue multiple
$92
10-year DCF, EBITDA exit
$85
5-year DCF, EBITDA exit
$85
10-year DCF, revenue exit
$86
5-year DCF, revenue exit
$86
10-year DCF, growth exit
$68
5-year DCF, growth exit
$65
Dividend discount, stable
$52
Dividend discount, multi-stage
$77
Earnings power value
$85
Growth the price implies
8.1%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Weak business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Industrials peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Strong
79/100
Cheap against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield6.2%
Free-cash-flow yield5.9%
Fair value vs price1.1×
Growth
Weak
31/100
Growing slower than most of its sector.
See the numbers →
Revenue growth (3y)1.8%
EPS growth (3y)5.7%
Growth consistency70%
Profitability
Strong
75/100
Earns high returns on the capital it uses.
See the numbers →
Return on invested capital92.9%
Operating margin15.4%
Financial health
Weak
22/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score6 / 9
Net debt / EBITDA3.1×
Interest cover10.0×
Dividends
Fair
57/100
Dividend is typical for its sector.
See the numbers →
Dividend yield2.3%
Dividends vs free cash flow39%
Dividend growth11.6%
Quarterly results: last 6 quarters
-2.5%
Mar '25
-0.2%
Jun '25
+4.0%
Sep '25
+3.3%
Dec '25
+6.4%
Mar '26
+7.3%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $3.9B, diluted EPS $1.12.
Compare with peers
SNA Snap-on Inc66 PNR PENTAIR plc62 XYL Xylem Inc.55 GWW W.W. Grainger, Inc.55Other Industrial Machinery & Supplies & Components companies by X-Ray Score.
SWOT analysis: Otis Worldwide Corp
Strengthsinside the company
- Return on invested capital is 92.9%, against a median of 13.1% for industry peers.
- Free cash flow equals 5.9% of the market value, which funds dividends, buybacks or debt paydown.
Weaknessesinside the company
- Altman Z-score of 0.2 is in the zone linked with financial distress in past studies.
Opportunitiesvaluation and setting
- Dividends use only 39% of free cash flow, which leaves room to raise them.
- Trades at 19.1x earnings, 27% below the 26.2x median of industry peers.
Threatsvaluation and setting
- Our checks raised: Negative equity; Negative equity.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare OTIS with peers and sector
Medians of 13 Industrial Machinery & Supplies & Components peers and of 80 Industrials stocks in our universe.
Largest peers (X-Ray Score): PH 50, ITW 46, GWW 55, IR 47, DOV 49, XYL 55.
| Metric | OTIS | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 55 | 49 | 50 |
| Valuation | 79 | 52 | 44 |
| Growth | 31 | 40 | 51 |
| Profitability | 75 | 48 | 50 |
| Financial health | 22 | 56 | 49 |
| Dividends | 57 | 53 | 53 |
Sector leaders: highest X-Ray Score in Industrials
OTIS ranks #28 of 81 in Industrials and #4 of 14 in Industrial Machinery & Supplies & Components by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for OTIS
Each factor is rated by where OTIS stands among the 81 Industrials stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 5 Good · 7 Average · 7 Bad of 19
Growth: 0 · 1 · 2
Profitability: 1 · 2 · 0
Financial strength: 0 · 1 · 3
Valuation: 4 · 0 · 0
Cash flow: 0 · 3 · 1
Efficiency: 0 · 0 · 1
| Factor | OTIS | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +1.8% | Bad beats 28% | +5.6% | – | – |
| Revenue growth, last year | +1.2% | Bad beats 27% | +4.5% | +1.2% | ≈ In line |
| EPS growth, 3 years a year | +5.7% | Average beats 51% | +5.7% | – | – |
| Profitability | |||||
| Operating margin | 15.4% | Average beats 43% | 17.5% | 14.8% | ≈ In line |
| Net margin | 10.2% | Average beats 38% | 12.8% | 9.6% | ≈ In line |
| Return on invested capital | 92.9% | Good beats 99% | 14.9% | – | – |
| Financial strength | |||||
| Net debt / EBITDA | 3.1x | Bad beats 7% | 1.8x | 2.6x | ▼ Worse |
| Interest cover | 10.0x | Bad beats 31% | 21.4x | 14.1x | ▼ Worse |
| Current ratio | 0.83 | Bad beats 13% | 1.25 | 0.99 | ▼ Worse |
| Piotroski F-score | 6 / 9 | Average beats 41% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 19.1x | Good beats 80% | 28.9x | 26.4x | ▲ Better |
| Price / sales | 1.9x | Good beats 75% | 3.5x | 2.6x | ▲ Better |
| EV / EBITDA | 15.0x | Good beats 72% | 18.5x | 18.0x | ▲ Better |
| Free cash flow yield | 5.9% | Good beats 83% | 3.8% | 4.2% | ▲ Better |
| Cash flow | |||||
| Free cash flow margin | 11.5% | Average beats 35% | 13.8% | 10.5% | ≈ In line |
| Cash from operations / net income | 1.23 | Average beats 34% | 1.39 | 1.16 | ≈ In line |
| Free cash flow growth, 3 years a year | −0.0% | Bad beats 16% | +14.5% | – | – |
| Accruals (lower is better) | −3.2% | Average beats 51% | −3.2% | – | – |
| Efficiency | |||||
| Days sales outstanding | 98 days | Bad beats 6% | 57 days | 90 days | ≈ In line |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 4 Good · ● 5 Average · ● 6 BadCash quality
Earnings backed by cashAverage
Free-cash-flow yieldGood
Risk models
Altman Z''Bad
Piotroski F-ScoreAverage
Growth
EPS growth (3y)Average
Free-cash-flow growth (3y)Bad
Revenue growth (3y)Bad
Growth consistencyAverage
Balance sheet
Current ratioBad
Net debt / EBITDABad
Interest coverBad
Valuation
Fair value vs priceGood
EBIT / EV yieldGood
Profitability
Return on invested capitalGood
Operating marginAverage
Each check is graded against the company's sector, not a fixed number. Checklist score 51/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $14.3B | $13.7B | $14.2B | $14.3B | $14.4B |
| Operating income | $2.1B | $2.0B | $2.2B | $2.0B | $2.1B |
| Net income | $1.2B | $1.3B | $1.4B | $1.6B | $1.4B |
| Operating cash flow | $1.8B | $1.6B | $1.6B | $1.6B | $1.6B |
| Operating margin | 14.7% | 14.9% | 15.4% | 14.1% | 14.8% |
| Free cash flow | $1.6B | $1.4B | $1.5B | $1.4B | $1.4B |
| Diluted EPS | $2.89 | $2.96 | $3.39 | $4.07 | $3.50 |
Fiscal years, from SEC filings.
Technical summary
Daily
Bullish
11 bullish · 0 neutral · 5 bearish
Weekly
Neutral
5 bullish · 1 neutral · 6 bearish
Monthly
Bearish
2 bullish · 1 neutral · 5 bearish
Moving averages (daily)
| SMA 10 | 70.23 | Bullish |
| EMA 10 | 70.93 | Bullish |
| SMA 20 | 67.86 | Bullish |
| EMA 20 | 69.48 | Bullish |
| SMA 50 | 69.29 | Bullish |
| EMA 50 | 69.46 | Bullish |
| SMA 100 | 70.57 | Bullish |
| EMA 100 | 71.16 | Bullish |
| SMA 200 | 76.11 | Bearish |
| EMA 200 | 75.05 | Bullish |
Oscillators (daily)
| RSI (14) | 75.23 | Bearish |
| MACD (12, 26) | 1.23 | Bullish |
| Momentum (12) | 13.77 | Bullish |
| Stochastic %K (14) | 98.76 | Bearish |
| Williams %R (14) | -1.24 | Bearish |
| CCI (20) | 180.4 | Bearish |
Pivot points (classic, last session)
S3 70.37 | S2 71.47 | S1 73.54 | Pivot 74.64 | R1 76.71 | R2 77.81 | R3 79.88 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
1.72 USD
Yield on today's price
2.28%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.4400 | |
| 0.4400 | |
| 0.4200 | |
| 0.4200 | |
| 0.4200 | |
| 0.4200 | |
| 0.3900 | |
| 0.3900 | |
| 0.3900 | |
| 0.3900 | |
| 0.3400 | |
| 0.3400 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold OTIS
| ETF | Share of the fund |
|---|---|
| MOAT VanEck Morningstar Wide Moat | 2.24% |
| RSPN Invesco S&P 500 Equal Weight Industria... | 1.22% |
| COWZ Pacer US Cash Cows 100 | 0.51% |
| XLI Industrial Select Sector SPDR | 0.48% |
| VOE Vanguard Mid-Cap Value | 0.47% |
| FIDU Fidelity MSCI Industrials Index | 0.40% |
| VIS Vanguard Industrials | 0.39% |
| FVD First Trust Value Line Dividend Index | 0.39% |
The eight funds with the largest weight in OTIS among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
OTIS SEC filings
8-KSEC EDGAR
Director or officer change; Regulation FD disclosure
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Shareholder vote results
8-KSEC EDGAR
Other events
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
DEF 14ASEC EDGAR
Proxy statement
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.