Otis Worldwide (NYSE:OTIS) Price Target Cut to $105.00 by Analysts at Royal Bank Of Canada

Key Points

• Royal Bank of Canada cut its price target on Otis to $105 from $110 but kept an "outperform" rating, implying roughly a 32% upside from the current share price.
• Otis slightly missed Q1 EPS ($0.89 vs. $0.91) and reported revenue below some checks, but sales rose ~6% with strong service growth; management raised the quarterly dividend 5% and repurchased about $400M of stock.
• Analyst sentiment is mixed—the consensus is a Hold with an average target of $99.18—and insiders have been net sellers (158,013 shares sold in the last 90 days) while institutional ownership is about 88%.

Otis Worldwide (NYSE:OTIS - Get Free Report) had its target price lowered by investment analysts at Royal Bank Of Canada from $110.00 to $105.00 in a report issued on Thursday,Benzinga reports. The firm currently has an "outperform" rating on the stock. Royal Bank Of Canada's price target indicates a potential upside of 32.29% from the company's current price.

A number of other research analysts have also recently weighed in on OTIS. Wells Fargo & Company lowered their target price on shares of Otis Worldwide from $92.00 to $80.00 and set an "equal weight" rating on the stock in a research note on Wednesday, April 1st. UBS Group set a $105.00 price objective on shares of Otis Worldwide in a report on Thursday. Wall Street Zen downgraded shares of Otis Worldwide from a "buy" rating to a "hold" rating in a report on Saturday, January 10th. JPMorgan Chase & Co. lowered Otis Worldwide from an "overweight" rating to a "neutral" rating and set a $98.00 price objective for the company. in a research report on Friday, January 30th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of Otis Worldwide in a research note on Friday, March 27th. Three analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $99.18.

Otis Worldwide Stock Performance

Shares of NYSE OTIS traded up $1.49 during midday trading on Thursday, hitting $79.37. 2,659,618 shares of the company's stock traded hands, compared to its average volume of 3,730,611. The firm has a fifty day moving average of $83.98 and a 200 day moving average of $87.43. The stock has a market capitalization of $30.62 billion, a price-to-earnings ratio of 22.67, a price-to-earnings-growth ratio of 2.42 and a beta of 1.05. Otis Worldwide has a 1 year low of $75.27 and a 1 year high of $101.42.

Otis Worldwide (NYSE:OTIS - Get Free Report) last issued its quarterly earnings data on Wednesday, April 22nd. The company reported $0.89 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.91 by ($0.02). Otis Worldwide had a net margin of 9.59% and a negative return on equity of 30.42%. The business had revenue of $3.57 billion for the quarter, compared to the consensus estimate of $3.77 billion. During the same period in the previous year, the firm earned $0.92 EPS. The company's revenue was up 6.4% on a year-over-year basis. Otis Worldwide has set its FY 2026 guidance at 4.200-4.240 EPS. On average, equities analysts anticipate that Otis Worldwide will post 4.21 earnings per share for the current year.

Insider Buying and Selling

In other Otis Worldwide news, insider Montlivault Stephane De sold 47,944 shares of the business's stock in a transaction on Thursday, February 12th. The shares were sold at an average price of $92.25, for a total transaction of $4,422,834.00. Following the transaction, the insider owned 29,176 shares in the company, valued at $2,691,486. The trade was a 62.17% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CAO Michael Patrick Ryan sold 1,182 shares of the stock in a transaction on Tuesday, February 10th. The shares were sold at an average price of $90.06, for a total transaction of $106,450.92. Following the completion of the sale, the chief accounting officer directly owned 3,504 shares in the company, valued at approximately $315,570.24. This represents a 25.22% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 158,013 shares of company stock worth $14,337,635 in the last 90 days. Company insiders own 0.23% of the company's stock.

Institutional Trading of Otis Worldwide

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in OTIS. Oakworth Capital Inc. raised its holdings in shares of Otis Worldwide by 49.1% in the third quarter. Oakworth Capital Inc. now owns 343 shares of the company's stock worth $31,000 after buying an additional 113 shares during the period. Cookson Peirce & Co. Inc. increased its stake in Otis Worldwide by 1.8% in the third quarter. Cookson Peirce & Co. Inc. now owns 6,615 shares of the company's stock worth $605,000 after purchasing an additional 115 shares during the period. OLD National Bancorp IN lifted its position in shares of Otis Worldwide by 5.5% during the third quarter. OLD National Bancorp IN now owns 2,245 shares of the company's stock worth $205,000 after purchasing an additional 118 shares during the last quarter. Smartleaf Asset Management LLC boosted its stake in shares of Otis Worldwide by 5.7% during the fourth quarter. Smartleaf Asset Management LLC now owns 2,295 shares of the company's stock valued at $202,000 after purchasing an additional 123 shares during the period. Finally, Physician Wealth Advisors Inc. increased its stake in Otis Worldwide by 57.7% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 339 shares of the company's stock worth $31,000 after buying an additional 124 shares during the period. 88.03% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Otis Worldwide

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

• Positive Sentiment: Service-led revenue strength, backlog growth and cash generation — Q1 net sales rose ~6% with Service up 11% (repair +16%), modernization and new-equipment backlogs expanded, operating cash flow was $413M and the company repurchased about $400M of stock, underpinning near-term fundamentals. OTIS REPORTS FIRST QUARTER 2026 RESULTS
• Positive Sentiment: Board raised the quarterly dividend 5% to $0.44, signaling confidence in free cash flow and returning capital to shareholders. Otis Announces 5 Percent Increase in Quarterly Dividend to $0.44 per Share
• Positive Sentiment: Management lifted its sales outlook and revenue topped some street views, which investors interpreted as confirmation the top-line momentum (especially services) is resilient. Otis tops revenue view, lifts sales outlook as shares rise
• Neutral Sentiment: Full-year EPS guidance of $4.20–$4.24 is roughly in line with consensus but leaves little upside to estimates; investors will watch margin recovery and cadence of service vs. equipment mix. OTIS REPORTS FIRST QUARTER 2026 RESULTS
• Negative Sentiment: EPS missed by $0.02 (Q1 EPS $0.89 vs. $0.91 est.) and reported revenue was below some analyst checks, while margins were squeezed by higher labor and material costs. These near-term margin pressures are a key risk to beat-and-raise expectations. Otis Worldwide Q1 Earnings Fall Short of Estimates, Sales Beat
• Negative Sentiment: Geopolitical disruption: tariffs and shipment delays tied to the Middle East conflict are expected to pressure margins and supply chains in the near term. Elevator maker Otis flags tariff hit, shipment delays amid Middle East conflict

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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