Otis Worldwide (NYSE:OTIS) Sets New 12-Month Low - Here's Why

Key Points

• Otis Worldwide shares hit a new 52-week low, falling to $65.13 and trading below both their 50-day and 200-day moving averages.
• Analyst sentiment is mixed, with four Buy, four Hold and two Sell ratings; the consensus rating is Hold, while the average price target of $92.64 remains well above the recent share price.
• The company reported quarterly revenue of $3.86 billion and adjusted earnings of $1.01 per share, while maintaining a $0.44 quarterly dividend, equivalent to a 2.7% yield.

Otis Worldwide Corporation (NYSE:OTIS - Get Free Report) reached a new 52-week low during trading on Monday. The stock traded as low as $65.13 and last traded at $66.4250, with a volume of 181847 shares trading hands. The stock had previously closed at $65.94.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on OTIS shares. Weiss Ratings reissued a "hold (c-)" rating on shares of Otis Worldwide in a research note on Wednesday, August 12th. Morgan Stanley set a $75.00 target price on Otis Worldwide in a research report on Monday, August 10th. Royal Bank Of Canada set a $90.00 price target on Otis Worldwide in a research note on Tuesday, July 28th. Wells Fargo & Company started coverage on shares of Otis Worldwide in a research report on Thursday. They issued an "underweight" rating and a $77.00 price target on the stock. Finally, Evercore reissued an "outperform" rating and set a $95.00 price objective on shares of Otis Worldwide in a research note on Thursday, July 23rd. Four analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Otis Worldwide presently has an average rating of "Hold" and a consensus target price of $92.64.

Otis Worldwide Stock Performance

The stock has a market cap of $25.12 billion, a price-to-earnings ratio of 17.04, a P/E/G ratio of 2.32 and a beta of 0.88. The business has a 50-day simple moving average of $71.11 and a two-hundred day simple moving average of $73.88.

Otis Worldwide (NYSE:OTIS - Get Free Report) last posted its quarterly earnings data on Wednesday, July 22nd. The company reported $1.01 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $1.01. The company had revenue of $3.86 billion for the quarter, compared to the consensus estimate of $3.76 billion. Otis Worldwide had a net margin of 10.17% and a negative return on equity of 28.50%. The firm's revenue was up 7.3% compared to the same quarter last year. During the same period last year, the company earned $1.05 earnings per share. Otis Worldwide has set its FY 2026 guidance at 4.010-4.050 EPS. On average, analysts expect that Otis Worldwide Corporation will post 4.03 earnings per share for the current fiscal year.

Otis Worldwide Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, September 11th. Shareholders of record on Friday, August 14th were given a dividend of $0.44 per share. This represents a $1.76 annualized dividend and a yield of 2.7%. The ex-dividend date of this dividend was Friday, August 14th. Otis Worldwide's dividend payout ratio is 45.24%.

Hedge Funds Weigh In On Otis Worldwide

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Envestnet Portfolio Solutions Inc. raised its position in shares of Otis Worldwide by 13.5% in the second quarter. Envestnet Portfolio Solutions Inc. now owns 13,170 shares of the company's stock valued at $943,000 after purchasing an additional 1,566 shares during the period. Envestnet Asset Management Inc. lifted its position in Otis Worldwide by 36.8% during the second quarter. Envestnet Asset Management Inc. now owns 634,538 shares of the company's stock worth $45,433,000 after acquiring an additional 170,600 shares during the last quarter. Andra AP fonden acquired a new stake in Otis Worldwide during the second quarter worth approximately $3,695,000. State Street Corp boosted its holdings in shares of Otis Worldwide by 2.9% during the second quarter. State Street Corp now owns 16,664,994 shares of the company's stock worth $1,193,214,000 after acquiring an additional 463,491 shares during the period. Finally, Sequoia Financial Advisors LLC grew its position in shares of Otis Worldwide by 12.6% in the second quarter. Sequoia Financial Advisors LLC now owns 10,387 shares of the company's stock valued at $744,000 after purchasing an additional 1,166 shares during the last quarter. 88.03% of the stock is owned by institutional investors.

Otis Worldwide Company Profile

Otis Worldwide Corporation NYSE: OTIS designs, manufactures, installs and services elevators, escalators and moving walkways. Its equipment is used in residential, commercial, institutional, transportation and industrial buildings, supporting the movement of people in high-rise and other densely occupied environments.

The company's offerings include passenger and freight elevators, escalators, moving walkways, destination-dispatch systems and related technologies. Otis also provides maintenance, repair, modernization and replacement services for its own equipment and products made by other manufacturers.

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