OTIS

Industrials

Otis Worldwide Corporation · Industrial - Machinery · $28B

UQS Score — Balanced Preset
57.6
Good

Otis Worldwide Corporation scores 57.6/100 using the Balanced preset.

UQS vs Industrials Sector
OTIS
57.6
Sector avg
42.4
Quality
Good
Moat
Neutral
Growth
Weak
Risk
Neutral
Valuation
Good

What is Otis Worldwide Corporation?

Otis Worldwide Corporation is the world's largest elevator and escalator manufacturer, installer, and service provider. Operating globally since its founding in 1853, Otis connects people to places in buildings and infrastructure across more than 200 countries.

Otis operates through two segments: New Equipment and Service. The New Equipment segment designs, manufactures, and installs passenger and freight elevators, escalators, and moving walkways for residential, commercial, and infrastructure projects. The Service segment — the larger and more recurring of the two — provides maintenance, repair, and modernization services. With roughly 34,000 service mechanics across approximately 1,400 branches worldwide, the service business generates predictable, contract-based revenue that anchors the company's financial profile.

Otis was founded in 1853 and is headquartered in Farmington, Connecticut, though it became an independent publicly traded company in 2020.

  • Passenger and freight elevator manufacturing and installation
  • Escalators and moving walkways for commercial and public spaces
  • Ongoing elevator and escalator maintenance contracts
  • Modernization services to upgrade aging equipment
  • Digital and connected building solutions

Is OTIS a Good Stock to Buy?

UQS Score rates OTIS as Good overall, reflecting a balanced profile with identifiable strengths and areas to watch.

The Quality pillar registers as Good, supported by the company's large installed base and the recurring nature of its service contracts. Valuation also comes in at a Good rating relative to sector peers, suggesting the stock is not excessively priced for what it offers. The Risk pillar sits at Neutral, indicating a manageable risk profile for a large-cap industrial name.

Growth rates as Weak, which reflects the mature nature of the elevator industry and limited near-term expansion catalysts. The Moat pillar is Neutral, meaning competitive advantages exist but are not considered exceptional versus the broader industrials landscape.

See the exact pillar scores and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does OTIS pay dividends?

Yes — Otis Worldwide Corporation pays a dividend.

Otis pays a regular dividend, consistent with its position as a large-cap industrial company generating steady cash flows from long-term service contracts. The dividend reflects management's confidence in the durability of the service segment's recurring revenue. Income-oriented investors may find the payout cadence appealing, though the yield sits in a moderate range relative to the broader industrials sector.

When does OTIS report earnings?

Otis Worldwide reports earnings on a quarterly cadence, typical for US-listed large-cap equities.

The service segment has consistently been the primary driver of financial stability, with new equipment results more sensitive to construction activity in key markets like China and the United States. Investors tend to focus on service backlog growth and margin trends as leading indicators of overall health.

For the most recent quarter's results and guidance, visit Otis Worldwide's investor relations page directly.

OTIS Price History

+8.4% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Otis Worldwide Corporation?

$
Today it would be worth
$12,089
That's a +20.9% total return, or +3.9% annualized.

Based on Otis Worldwide Corporation's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

OTIS Long-term Outlook

The fundamental outlook for Otis is shaped by its Weak Growth pillar and Neutral Risk profile. The service segment provides a durable revenue floor, but meaningful top-line acceleration is constrained by the slow pace of new construction globally. Valuation rated as Good suggests the market has already priced in the modest growth trajectory without significant premium. The risk profile remains manageable given the company's geographic diversification and contract-based revenue model.

Growth drivers

  • Expanding global installed base driving long-term service contract growth
  • Modernization demand as aging elevator fleets require upgrades
  • Urbanization trends in emerging markets supporting new equipment demand

Key risks

  • Slowdown in Chinese real estate construction weighing on new equipment volumes
  • Mature market dynamics limiting organic growth acceleration
  • Input cost pressures and labor inflation affecting service margins

OTIS vs Peers

Otis competes broadly within the industrials sector against diversified industrial manufacturers, though its elevator-specific focus sets it apart from most peers.

IROTIS scores higher
Ingersoll Rand Inc.

Ingersoll Rand focuses on industrial technologies and compressed air systems, offering broader industrial exposure compared to Otis's vertical transportation niche.

DOVSimilar UQS
Dover Corporation

Dover operates across a wide range of industrial segments including pumps and refrigeration, making it a more diversified industrial conglomerate than Otis.

XYLSimilar UQS
Xylem Inc.

Xylem specializes in water technology and infrastructure solutions, serving a different end market but competing for similar large-cap industrials investor attention.

Frequently Asked Questions

What does Otis Worldwide do?

Otis Worldwide manufactures, installs, and services elevators, escalators, and moving walkways globally. The company operates in two segments: New Equipment, which covers design and installation, and Service, which handles maintenance, repair, and modernization of existing units across more than 200 countries.

Does OTIS pay dividends?

Yes, Otis pays a regular dividend. The company's large installed base and recurring service contract revenue support consistent dividend payments. For the current dividend amount and payment schedule, check Otis's investor relations page or your brokerage platform.

When does OTIS report earnings?

Otis reports earnings quarterly, in line with standard US-listed company practice. Exact dates vary each quarter. For upcoming earnings dates, refer to Otis Worldwide's investor relations page or a financial calendar service.

Is OTIS a good stock to buy?

UQS Score rates OTIS as Good overall. The Quality and Valuation pillars are rated Good, while Growth is rated Weak and Moat is Neutral. Whether it fits your portfolio depends on your goals — the full pillar breakdown is available to UQS Pro members.

Is OTIS overvalued?

The UQS Valuation pillar for OTIS is rated Good, suggesting the stock is not trading at an excessive premium relative to sector peers. That said, valuation is one of five pillars — view the complete analysis on UQS Score for a fuller picture.

How does OTIS compare to its competitors?

Otis is unique among large-cap industrials for its near-exclusive focus on vertical transportation. Peers like Ingersoll Rand and Dover are more diversified across industrial segments. Otis's recurring service revenue model differentiates it from most direct comparisons in the industrials space.

What is OTIS's market cap bracket?

Otis Worldwide is classified as a large-cap company, reflecting its scale as the world's leading elevator and escalator manufacturer with a global service network spanning roughly 34,000 mechanics across approximately 1,400 branches.

Who founded Otis Worldwide?

Otis was founded in 1853 by Elisha Otis, the inventor of the safety elevator — a breakthrough that made modern multi-story buildings practical. The company became an independent publicly traded entity in 2020 after separating from United Technologies Corporation.

Is OTIS a long-term quality stock?

As a long-term quality indicator, OTIS scores as Good on the UQS composite. The service segment's recurring revenue and global installed base provide durability, though the Weak Growth pillar signals limited near-term expansion. Long-term investors should weigh the full five-pillar profile available on UQS Score.

What is the main competitive advantage of Otis Worldwide?

Otis's primary advantage is its massive installed base — once an elevator is installed, building owners typically rely on the original manufacturer for ongoing maintenance. This creates a sticky, recurring service revenue stream that is difficult for competitors to displace over the long term.

What sector does OTIS belong to?

Otis Worldwide is classified in the Industrials sector. Within that sector, it occupies a specialized niche focused on vertical transportation equipment — elevators, escalators, and moving walkways — rather than the broader industrial manufacturing categories.

Is OTIS a growth stock or value stock?

Based on UQS pillar labels, OTIS leans toward value characteristics. The Valuation pillar is rated Good while Growth is rated Weak, suggesting the stock is reasonably priced for a mature, cash-generative business rather than one priced for rapid expansion.

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Pro Analysis

OTIS — Score History

50556065Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 16 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 18, 202657.867.656.038.650.277.8+1.6
May 7, 202656.263.556.038.548.875.40.0
May 3, 202656.263.556.038.548.875.3+0.1
May 1, 202656.163.556.038.548.874.80.0
Apr 26, 202656.163.556.038.348.874.8+0.2
Apr 25, 202655.963.556.038.248.873.5+0.1
Apr 24, 202655.863.556.037.748.873.6+0.1
Apr 23, 202655.763.556.037.348.873.6-0.1
Apr 19, 202655.863.556.037.748.873.70.0
Apr 18, 202655.863.556.037.748.873.6-0.4

OTIS — Pillar Breakdown

Quality

67.3/100 (25%)

Otis Worldwide Corporation shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Strong

How effectively capital is deployed to generate returns.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityModerate

Ability to convert revenue into operating profit.

Net ProfitabilityModerate

Bottom-line profit as a share of revenue.

Gross Profit / AssetsStrong

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationStrong

Free cash flow relative to market value.

Growth

38.6/100 (20%)

Otis Worldwide Corporation shows steady but unspectacular growth, typical for mature companies.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookModerate

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

50.2/100 (15%)

Otis Worldwide Corporation has some risk factors including moderate leverage or solvency concerns.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageModerate

Earnings capacity relative to interest payments.

Valuation

76.6/100 (15%)

Otis Worldwide Corporation appears attractively valued relative to its earnings, cash flows, and sector peers.

Earnings YieldModerate

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorModerate

Enterprise value multiple relative to sector median.

Moat

56/100 (25%)

Otis Worldwide Corporation has meaningful competitive advantages that should protect its market position. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for OTIS.

Score Composition

Quality
67.3×25%16.8
Growth
38.6×20%7.7
Risk
50.2×15%7.5
Valuation
76.6×15%11.5
Moat
56.0×25%14.0
Total
57.6Good

Financial Data

More Stock Analysis

How is the OTIS UQS Score Calculated?

The UQS (Unified Quality Score) for Otis Worldwide Corporation is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Otis Worldwide Corporation's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Otis Worldwide Corporation is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.