Otis Worldwide (NYSE:OTIS) Issues FY 2026 Earnings Guidance

Key Points

• Otis issued FY 2026 guidance for EPS of $4.01–$4.05, broadly in line with the $4.04 consensus, and revenue of $15.1–$15.3 billion, with the midpoint below the $15.3 billion consensus.
• Third-quarter results beat expectations, with adjusted EPS of $1.05 versus $1.01 expected and revenue of $3.91 billion versus $3.85 billion, supported by service and modernization growth despite China weakness and lower New Equipment margins.
• Otis declared a quarterly dividend of $0.44 per share, equivalent to $1.76 annually and a yield of about 2.3%; analyst sentiment remains mixed, with a consensus “Hold” rating and average price target of $91.20.

Otis Worldwide (NYSE:OTIS - Get Free Report) issued an update on its FY 2026 earnings guidance on Friday morning. The company provided EPS guidance of 4.010-4.050 for the period, compared to the consensus EPS estimate of 4.040. The company issued revenue guidance of $15.1 billion-$15.3 billion, compared to the consensus revenue estimate of $15.3 billion.

Otis Worldwide Stock Up 1.1%

NYSE:OTIS traded up $0.84 on Friday, reaching $75.45. 302,883 shares of the company's stock were exchanged, compared to its average volume of 3,924,463. The firm has a market capitalization of $28.72 billion, a price-to-earnings ratio of 18.75, a price-to-earnings-growth ratio of 2.56 and a beta of 0.87. Otis Worldwide has a 52-week low of $63.58 and a 52-week high of $94.57. The business has a fifty day moving average of $69.60 and a 200-day moving average of $76.50.

Otis Worldwide (NYSE:OTIS - Get Free Report) last announced its earnings results on Wednesday, October 28th. The company reported $1.05 earnings per share for the quarter, topping the consensus estimate of $1.01 by $0.04. The firm had revenue of $3.91 billion for the quarter, compared to the consensus estimate of $3.85 billion. Otis Worldwide had a net margin of 10.28% and a negative return on equity of 28.45%. The firm's revenue for the quarter was up 6.1% on a year-over-year basis. During the same period in the prior year, the firm earned $1.05 EPS. As a group, equities analysts anticipate that Otis Worldwide will post 4.03 earnings per share for the current year.

Otis Worldwide Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, December 11th. Investors of record on Friday, November 13th will be paid a $0.44 dividend. The ex-dividend date is Friday, November 13th. This represents a $1.76 dividend on an annualized basis and a yield of 2.3%. Otis Worldwide's payout ratio is currently 45.24%.

Analyst Upgrades and Downgrades

OTIS has been the subject of several recent analyst reports. Evercore reaffirmed an "outperform" rating and set a $95.00 price objective on shares of Otis Worldwide in a research report on Thursday, July 23rd. Wells Fargo & Company decreased their target price on Otis Worldwide from $77.00 to $75.00 and set an "underweight" rating for the company in a research note on Thursday. Morgan Stanley set a $75.00 target price on shares of Otis Worldwide in a research report on Monday, August 10th. Sanford C. Bernstein upped their price objective on shares of Otis Worldwide from $90.00 to $94.00 and gave the company an "outperform" rating in a research note on Thursday. Finally, Royal Bank Of Canada set a $90.00 target price on Otis Worldwide in a research report on Tuesday, July 28th. Four analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $91.20.

Key Stories Impacting Otis Worldwide

Here are the key news stories impacting Otis Worldwide this week:

• Positive Sentiment: Third-quarter results exceeded expectations. Otis reported adjusted EPS of $1.05 versus the $1.01 consensus and revenue of $3.91 billion versus $3.85 billion. Service and modernization growth helped offset weakness in China and lower New Equipment margins. OTIS Q3 Earnings and Revenues Beat Estimates on Strong Service Growth
• Positive Sentiment: Otis declared its quarterly dividend of $0.44 per share. The payment is scheduled for December 11 for shareholders of record on November 13, representing an annualized dividend of $1.76 and an indicated yield of approximately 2.4%. Otis Declares Quarterly Dividend of $0.44 per Share
• Positive Sentiment: BNP Paribas raised its price target to $90 from $86, indicating improved expectations despite the quarter’s operational challenges. BNP Paribas Adjusts Price Target on Otis Worldwide
• Neutral Sentiment: Analysts continue to assess Otis against industrial peers. A comparison with Albany International provides context on valuation, profitability and business quality but does not represent a direct change to Otis’s outlook. Head-to-Head Contrast: Otis Worldwide and Albany International
• Negative Sentiment: Fiscal 2026 guidance is cautious. EPS guidance of $4.01-$4.05 brackets the $4.04 consensus, but revenue guidance of $15.1-$15.3 billion has a midpoint below the $15.3 billion consensus. Investors may view this as limited growth momentum.
• Negative Sentiment: Margin pressure remains a concern. New Equipment margins contracted, while China weakness persists, creating risk that service growth will not fully offset weaker lower-margin operations. Otis Beats Estimates as Elevator Service Growth Offsets China Weakness
• Negative Sentiment: Some analysts reduced their outlook. Evercore ISI cut its target to $95 from $100, while Wells Fargo lowered its target to $75 from $77 and maintained an Underweight rating. Evercore ISI Adjusts Price Target on Otis Worldwide

Otis Worldwide Company Profile

Otis Worldwide Corporation NYSE: OTIS is a global manufacturer and service provider for the elevator and escalator industry. The company designs, manufactures, installs, modernizes and maintains elevators, escalators and moving walkways for commercial buildings, residential developments, transportation hubs and other infrastructure projects.

Otis provides equipment for new construction as well as maintenance, repair and modernization services for existing systems. Its service operations support equipment from Otis and other manufacturers, helping building owners and operators manage the safety, performance and lifecycle of vertical transportation systems.

The company traces its history to 1853, when Elisha Otis demonstrated a safety device for elevators.

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