Otis Worldwide (OTIS)
NYSEIndustrialsIndustrial - MachinerySnapshot 2026-09-04
$71.21-0.38%
Close 2026-09-04 · 1-day change
NYSEIndustrialsIndustrial - MachinerySnapshot 2026-09-04
QuarterlyIQ Insights · OTIS
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within industrials on a research-validated quality screen. As of 2026-09-04.
The screen ranks OTIS against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 4 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 2 of the last 3 quarter-over-quarter moves. Historically, Industrials names rated neutral grew net income 51% of the time over the next year (vs 60% for the rest of the cohort, n=9249).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Grow net sales to a range of $15.1 to $15.3 billion in 2026, driven by organic sales growth in Service and stable New Equipment sales.
Stated as a priority in all 6 quarters from 2025-Q1 through 2026-Q2. Full year net sales guidance increased from $14.5-$14.8 billion in 2025 to $15.1-$15.3 billion in 2026. Revenue grew from approximately $14.5 billion in 2025 to a midpoint of $15.2 billion in 2026, reflecting delivering growth consistent with management's stated sales targets.
“Otis is revising our full year outlook: Net sales of $15.1 to $15.3 billion”
“Otis is revising our full year outlook: Net sales of $15.1 to $15.3 billion”
“Otis is announcing its full year outlook: Net sales of $15.0 to $15.3 billion”
“Otis is increasing the mid-point of the EPS outlook: Net sales of $14.5 to $14.6 billion, up ~2%”
“Otis is revising our full year outlook: Net sales of $14.5 to $14.6 billion, up 1 to 2%”
“Otis is revising its full year outlook: Net sales of $14.6 to $14.8 billion, up 3 to 4%”
Target adjusted earnings per share in the range of $4.20 to $4.24 for fiscal year 2026.
Management stated adjusted EPS guidance in all 6 quarters from 2025-Q1 through 2026-Q2, raising the target from about $4.00-$4.10 in 2025 to $4.20-$4.24 in 2026. Adjusted EPS grew from $4.05 in 2025 guidance to a midpoint of $4.22 in 2026 guidance, showing delivering progress consistent with stated EPS targets.
Achieve adjusted free cash flow in the range of $1.60 to $1.65 billion for fiscal year 2026.
Management stated adjusted free cash flow guidance in all 6 quarters from 2025-Q1 through 2026-Q2, increasing the target from about $1.45-$1.5 billion in 2025 to $1.60-$1.65 billion in 2026. Adjusted free cash flow grew from approximately $1.45 billion in 2025 to a midpoint of $1.625 billion in 2026 guidance, indicating delivering progress on cash flow generation.
Focus on growing Service segment sales and improving its operating profit despite margin pressure from investments and inflation.
Management emphasized Service segment growth and profitability in all 6 quarters from 2025-Q1 through 2026-Q2. Service net sales grew from $2.2 billion in 2025-Q1 to $2.6 billion in 2026-Q2, an 11% increase in the latest quarter, with operating profit rising from $537 million to $599 million. Despite margin contraction due to investments and inflation, the trajectory shows delivering growth and profitability consistent with management's stated priorities.
Over the trailing year it converted 1.09x of net income into operating cash flow. Historically, Industrials names rated neutral grew net income 59% of the time over the next year (vs 53% for the rest of the cohort, n=6654).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to the US dollar, real (inflation-adjusted) rates, Fed net liquidity, long-term interest rates (low R² over the window).
10 material management or governance events in the past 24 months, led by capital-allocation actions. Historically, Industrials names rated stable grew net income 55% of the time over the next year (vs 58% for the rest of the cohort, n=2546).
Not investment advice. As of 2026-09-04.
“Adjusted EPS of $4.20 to $4.24”
“Adjusted EPS of $4.20 to $4.24”
“Adjusted EPS of $4.05”
“Adjusted EPS of $4.04 to $4.08, up 5 to 7%”
“Adjusted EPS of $4.00 to $4.10, up 4 to 7%”
“Adjusted EPS of $4.00 to $4.10, up 4 to 7%”
“Adjusted free cash flow of $1.60 to $1.65 billion”
“Adjusted free cash flow of $1.60 to $1.65 billion”
“Adjusted free cash flow of $1.6 to $1.7 billion”
“Adjusted free cash flow of approximately $1.45 billion”
“Adjusted free cash flow of $1.4 - $1.5 billion”
“Adjusted free cash flow of approximately $1.6 billion”
“Organic Service sales up 9%, segment operating profit increased $21 million”
“Service net sales up 11% with organic sales up 5%, segment operating profit increased $19 million”
“Service net sales up 8% with organic sales up 5%, segment operating profit increased $69 million”
“Service net sales up 9% with organic sales up 6%, segment operating profit increased $66 million”
“Service net sales up 6% with organic sales up 4%, segment operating profit increased $40 million”
“Service net sales up 1% with organic sales up 4%, segment operating profit increased $14 million”