Otis Worldwide (NYSE:OTIS) Rating Increased to Peer Perform at Wolfe Research

Key Points

• Wolfe Research has upgraded Otis Worldwide from an "underperform" rating to a "peer perform" rating, indicating a positive shift in analyst sentiment.
• Analysts have varied opinions, with target price reductions from firms like Royal Bank Of Canada and JPMorgan Chase, resulting in a consensus target price of $102.50.
• Despite reporting a slight year-over-year revenue decline, Otis Worldwide exceeded earnings expectations by posting $1.05 earnings per share against a consensus estimate of $1.03.

Wolfe Research upgraded shares of Otis Worldwide (NYSE:OTIS - Free Report) from an underperform rating to a peer perform rating in a research note released on Friday morning, Marketbeat Ratings reports.

A number of other equities research analysts have also recently commented on the stock. Deutsche Bank Aktiengesellschaft initiated coverage on shares of Otis Worldwide in a report on Monday, July 14th. They set a "hold" rating and a $109.00 price target on the stock. Wells Fargo & Company cut their target price on Otis Worldwide from $100.00 to $93.00 and set an "equal weight" rating on the stock in a research note on Thursday. Morgan Stanley boosted their price target on Otis Worldwide from $97.00 to $105.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 8th. Barclays lowered their price target on Otis Worldwide from $92.00 to $90.00 and set an "underweight" rating on the stock in a report on Thursday. Finally, Royal Bank Of Canada reduced their price objective on Otis Worldwide from $109.00 to $105.00 and set an "outperform" rating for the company in a report on Monday, April 28th. One analyst has rated the stock with a sell rating, five have given a hold rating and two have given a buy rating to the stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average price target of $102.50.

Otis Worldwide Price Performance

OTIS stock traded up $0.57 on Friday, reaching $89.77. 4,084,243 shares of the company traded hands, compared to its average volume of 2,628,104. The firm has a fifty day simple moving average of $96.96 and a 200-day simple moving average of $97.29. The company has a market cap of $35.43 billion, a P/E ratio of 23.75, a price-to-earnings-growth ratio of 2.46 and a beta of 0.98. Otis Worldwide has a one year low of $86.00 and a one year high of $106.83.

Otis Worldwide (NYSE:OTIS - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The company reported $1.05 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.03 by $0.02. Otis Worldwide had a net margin of 10.68% and a negative return on equity of 30.95%. The company had revenue of $3.60 billion for the quarter, compared to analysts' expectations of $3.73 billion. During the same quarter in the previous year, the business posted $1.06 EPS. Otis Worldwide's revenue was down .2% compared to the same quarter last year. On average, sell-side analysts forecast that Otis Worldwide will post 4.04 EPS for the current year.

Otis Worldwide Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, September 5th. Stockholders of record on Friday, August 15th will be paid a $0.42 dividend. The ex-dividend date is Friday, August 15th. This represents a $1.68 dividend on an annualized basis and a dividend yield of 1.87%. Otis Worldwide's dividend payout ratio (DPR) is currently 44.44%.

Institutional Trading of Otis Worldwide

A number of hedge funds have recently bought and sold shares of OTIS. Simon Quick Advisors LLC bought a new stake in shares of Otis Worldwide during the 1st quarter valued at $443,000. SG Americas Securities LLC bought a new position in Otis Worldwide in the 1st quarter worth $2,533,000. Quintet Private Bank Europe S.A. lifted its position in Otis Worldwide by 3.4% during the first quarter. Quintet Private Bank Europe S.A. now owns 289,936 shares of the company's stock valued at $29,921,000 after purchasing an additional 9,467 shares in the last quarter. Assenagon Asset Management S.A. grew its holdings in Otis Worldwide by 362.4% during the first quarter. Assenagon Asset Management S.A. now owns 438,896 shares of the company's stock valued at $45,294,000 after purchasing an additional 343,987 shares during the period. Finally, Kingswood Wealth Advisors LLC purchased a new stake in Otis Worldwide in the first quarter worth about $225,000. Hedge funds and other institutional investors own 88.03% of the company's stock.

About Otis Worldwide

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.