Otis Worldwide Corporation (NYSE:OTIS) Receives Consensus Rating of "Hold" from Brokerages

Key Points

• Consensus "Hold": Eleven brokerages rate Otis with a consensus Hold (1 sell, 7 hold, 3 buy) and an average 1‑year price target of $98.90.
• Quarterly results: Otis reported Q results with EPS of $1.03 (in line with estimates) and revenue of $3.80B (slightly below the $3.88B estimate), with revenue up 3.3% year‑over‑year and analysts projecting $4.04 EPS for the current year.
• Dividends and insider activity: The company pays a $0.42 quarterly dividend ($1.68 annual, ~2.1% yield, 48% payout ratio), while insiders sold 158,013 shares (~$14.34M) over the past 90 days, leaving insider ownership at 0.23%.

Shares of Otis Worldwide Corporation (NYSE:OTIS - Get Free Report) have received a consensus rating of "Hold" from the eleven brokerages that are covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating and three have given a buy rating to the company. The average 1-year price objective among brokers that have issued ratings on the stock in the last year is $98.90.

OTIS has been the subject of several research reports. Wolfe Research lowered Otis Worldwide from an "outperform" rating to a "peer perform" rating in a report on Wednesday, April 8th. Wall Street Zen lowered Otis Worldwide from a "buy" rating to a "hold" rating in a report on Saturday, January 10th. New Street Research set a $98.00 price target on Otis Worldwide in a report on Friday, January 30th. Evercore assumed coverage on Otis Worldwide in a research note on Monday. They issued an "outperform" rating and a $100.00 price objective on the stock. Finally, JPMorgan Chase & Co. downgraded Otis Worldwide from an "overweight" rating to a "neutral" rating and set a $98.00 price objective on the stock. in a research note on Friday, January 30th.

Otis Worldwide Price Performance

Shares of Otis Worldwide stock opened at $81.89 on Wednesday. The firm has a market cap of $31.83 billion, a price-to-earnings ratio of 23.40, a P/E/G ratio of 2.50 and a beta of 1.05. Otis Worldwide has a 52-week low of $75.27 and a 52-week high of $101.42. The stock has a 50-day simple moving average of $85.17 and a 200-day simple moving average of $87.89.

Otis Worldwide (NYSE:OTIS - Get Free Report) last announced its quarterly earnings results on Wednesday, January 28th. The company reported $1.03 earnings per share (EPS) for the quarter, meeting the consensus estimate of $1.03. The business had revenue of $3.80 billion during the quarter, compared to analyst estimates of $3.88 billion. Otis Worldwide had a negative return on equity of 30.42% and a net margin of 9.59%.The firm's revenue was up 3.3% on a year-over-year basis. During the same period in the previous year, the company earned $0.93 EPS. As a group, equities research analysts predict that Otis Worldwide will post 4.04 earnings per share for the current year.

Otis Worldwide Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 13th. Investors of record on Friday, February 13th were paid a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date of this dividend was Friday, February 13th. Otis Worldwide's dividend payout ratio (DPR) is presently 48.00%.

Insider Buying and Selling

In related news, insider Montlivault Stephane De sold 47,944 shares of the firm's stock in a transaction that occurred on Thursday, February 12th. The stock was sold at an average price of $92.25, for a total value of $4,422,834.00. Following the transaction, the insider directly owned 29,176 shares of the company's stock, valued at approximately $2,691,486. This trade represents a 62.17% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Neil Green sold 6,000 shares of the firm's stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $86.45, for a total value of $518,700.00. Following the completion of the transaction, the executive vice president directly owned 3,773 shares in the company, valued at $326,175.85. The trade was a 61.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 158,013 shares of company stock valued at $14,337,635 over the last 90 days. 0.23% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Root Financial Partners LLC bought a new position in Otis Worldwide in the 3rd quarter worth approximately $26,000. Camelot Portfolios LLC bought a new position in Otis Worldwide in the 4th quarter worth approximately $26,000. Stance Capital LLC bought a new position in Otis Worldwide in the 3rd quarter worth approximately $27,000. Garton & Associates Financial Advisors LLC bought a new position in Otis Worldwide in the 4th quarter worth approximately $27,000. Finally, Rakuten Investment Management Inc. bought a new position in Otis Worldwide in the 3rd quarter worth approximately $31,000. 88.03% of the stock is owned by institutional investors.

Otis Worldwide Company Profile

Otis Worldwide Corporation is a manufacturer, installer and servicer of vertical transportation systems, including elevators, escalators and moving walkways. The company designs and supplies new equipment for commercial, residential and industrial buildings, and provides ongoing maintenance and repair services aimed at maximizing equipment availability and safety. Otis also offers modernization solutions to upgrade aging systems and improve performance, accessibility and energy efficiency.

In addition to new equipment sales, a significant portion of Otis's business derives from long-term service contracts and responsive maintenance work.

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