Otis Worldwide (NYSE:OTIS) Announces Quarterly Earnings Results

Otis Worldwide (NYSE:OTIS) posted its quarterly earnings data on Wednesday. The company reported $1.05 EPS for the quarter, beating analysts’ consensus estimates of $1.01 by $0.04, Zacks reports. During the same quarter last year, the business posted $1.05 EPS. The firm’s revenue for the quarter was up 6.1% compared to the same quarter last year.

Here are the key takeaways from Otis Worldwide’s conference call:

• Organic sales increased 6%, led by 7% service growth and the first increase in new-equipment sales since 2023. Service momentum was supported by 20% modernization sales growth and 9% repair growth.
• Modernization orders rose 10% and backlog grew 20% at constant currency, with strong contributions from all regions and particularly China. Management expects the aging installed base and customer demand to support a multiyear modernization opportunity.
• North American new-equipment orders increased for the ninth consecutive quarter, driving 13% regional sales growth and providing visibility through a 14% backlog increase. Management cited strength in data centers, hospitals, industrial facilities, and other higher-value projects.
• Adjusted operating margin contracted 110 basis points to 16%, while adjusted EPS was flat year over year. New-equipment operating profit declined 22% at constant currency, and China new-equipment sales fell more than 20% amid continued market weakness.
• Otis maintained its 2026 outlook, including $15.1 billion–$15.3 billion in sales, adjusted EPS of $4.01–$4.05, and approximately $1.5 billion of adjusted free cash flow. The company still expects service investments, higher modernization mix, and new-equipment weakness to weigh on profit growth.

Otis Worldwide Trading Down 1.0%

Otis Worldwide stock traded down $0.77 during midday trading on Wednesday, reaching $73.42. The stock had a trading volume of 1,889,286 shares, compared to its average volume of 3,913,158. The firm’s fifty day simple moving average is $69.50 and its two-hundred day simple moving average is $76.66. Otis Worldwide has a twelve month low of $63.58 and a twelve month high of $94.57.

Analysts Set New Price Targets

A number of research analysts recently issued reports on OTIS shares. Sanford C. Bernstein reaffirmed an “outperform” rating on shares of Otis Worldwide in a report on Monday, September 21st. Royal Bank Of Canada set a $90.00 target price on Otis Worldwide in a report on Tuesday, July 28th. Evercore reiterated an “outperform” rating and issued a $95.00 price target on shares of Otis Worldwide in a research report on Thursday, July 23rd. Weiss Ratings reissued a “hold (c-)” rating on shares of Otis Worldwide in a research note on Wednesday, August 12th. Finally, Morgan Stanley set a $75.00 price target on Otis Worldwide in a research note on Monday, August 10th. Four research analysts have rated the stock with a Buy rating, three have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $91.00.

About Otis Worldwide

Otis Worldwide Corporation (NYSE: OTIS) is a global manufacturer and service provider for the elevator and escalator industry. The company designs, manufactures, installs, modernizes and maintains elevators, escalators and moving walkways for commercial buildings, residential developments, transportation hubs and other infrastructure projects.

Otis provides equipment for new construction as well as maintenance, repair and modernization services for existing systems. Its service operations support equipment from Otis and other manufacturers, helping building owners and operators manage the safety, performance and lifecycle of vertical transportation systems.

The company traces its history to 1853, when Elisha Otis demonstrated a safety device for elevators.