Otis Worldwide Corp (OTIS) Factsheet
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Otis Worldwide Corp (OTIS) Stock Analysis
Analysis from 10-Q filed 2026-07-23. Data as of Q2 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 68.4%. FCF margin 11.5%. D/E -1.5x. Source: 10-Q filed 2026-07-23.
| Metric | Value | Context |
|---|---|---|
| ROIC | 68.4% | Above industry average |
| FCF Margin | 11.5% | Healthy cash flow |
| Debt/Equity | -1.5x | Conservative leverage |
ROIC 68.4% — Top 5% of sector peers. FCF margin 11.5% — Top 50%.
Explore Otis Worldwide Corp: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for OTIS: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: Otis Worldwide Corp earns 68.4% ROIC, Top 5% in Technology
ROIC TTM 68.4%, sector median 3.7%, Top 5%. DuPont: NOPAT margin 11.7% × asset turnover 1.4x. Gross margin 30.7%. Operating margin 15.4%. Source: 10-Q filed 2026-07-23.
| Metric | OTIS | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 68.4% | Excellent | Above sector median of 3.7% |
| Return on Equity (ROE) | -27.5% | Red flag | Moderate equity returns |
| Gross Margin | 30.7% | Good | Competitive pricing environment |
| Operating Margin | 15.4% | Good | Efficient operations |
Cash Flow: Otis Worldwide Corp generates $1.7B FCF at 11.5% margin, positive NaN/8 quarters
FCF TTM $1.7B. FCF margin 11.5%, Top 50%. OCF/Net income 1.2x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-07-23.
| Metric | OTIS | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 11.5% | Good | Healthy cash generation |
| Free Cash Flow (TTM) | $1.7B | Good | Positive cash generation |
| OCF/Net Income | 1.2x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: Otis Worldwide Corp at -1.5x leverage, 10.0x interest coverage
Debt/Equity -1.5x. Total debt $8.4B, cash & investments $813.0M. Interest coverage 10.0x. Source: 10-Q filed 2026-07-23.
| Metric | OTIS | Rating | Context |
|---|---|---|---|
| Debt to Equity | -1.5x | Excellent | Conservative capital structure |
| Net Cash Position | $-7.6B | Warning | Net debt position |
| Interest Coverage | 10.0x | Good | Comfortable debt service |
Valuation: Otis Worldwide Corp trades at 16.5x earnings
P/E 16.5x. EV/Sales 2.2x. FCF yield 7.0%. Dividend yield 2.6%. Source: 10-Q filed 2026-07-23.
| Metric | OTIS | Rating | Context |
|---|---|---|---|
| P/E Ratio | 16.5x | Adequate | Reasonable valuation |
| EV/Sales | 2.2x | Good | Attractive revenue multiple |
| FCF Yield | 7.0% | Good | Attractive cash return |
| Dividend Yield | 2.6% | Adequate | Growth focus over income |
Capital Allocation: Otis Worldwide Corp returns 7.0% shareholder yield, reducing shares 3.0% YoY
Total shareholder yield 7.0% (div 2.6% + buyback 4.3%). Share count -3.0% YoY. Capital returned $1.7B TTM. Source: 10-Q filed 2026-07-23.
| Metric | OTIS | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 7.0% | Excellent | Dividend + buyback yield combined |
| Buyback Yield | 4.3% | Good | Active share repurchases |
| Share Count Change (YoY) | -3.0% | Good | Net share reduction (accretive) |
| Total Capital Returned (TTM) | $1.7B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 68.4% | Top 5% | 18.4x above |
| Free Cash Flow Margin | 11.5% | Top 50% | 1.1x above |
| Gross Margin | 30.7% | Bottom 25% | 0.6x below |
| Operating Margin | 15.4% | Top 25% | 3.5x above |
| Return on Equity (ROE) | -27.5% | Top 50% | -5.2x below |
| P/E Ratio | 16.5x | N/A | - |
Financial Scorecard
| Metric | OTIS | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 68.4% | Excellent | Top 5% of sector (median: 3.7%) |
| Free Cash Flow Margin | 11.5% | Good | Top 50% of sector (median: 10.3%) |
| Gross Margin | 30.7% | Good | Bottom 25% of sector (median: 50.5%) |
| Debt to Equity Ratio | -146.8% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 16.5x | Adequate | Fair value |
| Free Cash Flow Yield | 7.0% | Good | Solid cash yield |
Frequently Asked Questions
Q: What is Otis Worldwide Corp's Return on Invested Capital (ROIC)?
Otis Worldwide Corp (OTIS) has a trailing twelve-month Return on Invested Capital (ROIC) of 68.4%. The 8-quarter median ROIC is 64.3% with a improving trend. Sector median 3.7%. Source: 10-Q filed 2026-07-23.
Q: What is Otis Worldwide Corp's Free Cash Flow Margin?
Otis Worldwide Corp (OTIS) has a free cash flow margin of 11.5%, generating $1.7 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-07-23.
Q: What is Otis Worldwide Corp's P/E ratio and how does it compare to peers?
Otis Worldwide Corp (OTIS) trades at a P/E ratio of 16.5x, which is above the sector median of N/A. EV/Sales 2.2x. FCF yield 7.0%. Source: 10-Q filed 2026-07-23.
Q: Does Otis Worldwide Corp pay a dividend?
Otis Worldwide Corp (OTIS) currently pays a dividend yield of 2.6%. Total shareholder yield (dividend + buybacks) 7.0%. Source: 10-Q filed 2026-07-23.
Q: What is Otis Worldwide Corp's revenue and earnings growth?
Otis Worldwide Corp (OTIS) grew revenue by 5.2% year-over-year. EPS +2.8% YoY. Source: 10-Q filed 2026-07-23.
Q: Is Otis Worldwide Corp buying back stock?
Otis Worldwide Corp (OTIS) repurchased $1.1 billion of stock over the trailing twelve months. This represents a buyback yield of 4.3%. Share count -3.0% YoY. Source: 10-Q filed 2026-07-23.
Q: How does Otis Worldwide Corp compare to competitors in Technology?
Compared to other companies in Technology, Otis Worldwide Corp (OTIS) shows: ROIC 68.4%, sector median 3.7% (Top 5%). FCF margin 11.5%, sector median 10.3% (Top 50%). Gross margin 30.7%, 19.8pp below sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with Otis Worldwide Corp?
No quantitative warning flags fired for Otis Worldwide Corp (OTIS) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2026-07-23.
Data Source: Data sourced from 10-Q filed 2026-07-23. TTM metrics as of Q2 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.