NYSE:OTIS
Otis Worldwide Corp. (OTIS)
73.63
+1.00 (1.38%)
as of Jun 25, 2026, 8:00:00 pm Market Open.
95 watching
Financials 
Technical Analysis 0
Investor Insights
Jun 25, 2026, 12:00 amThis summary was created by AI, based on 2 opinions in the last 12 months.
Otis Worldwide Corp. operates in the elevator industry, which is characterized by an oligopolistic market structure. Though experiencing a slowdown in growth in China over the past three years, there are signs of growth in new lift installations in the Americas and India. The company's service segment, which has significantly higher margins than the new equipment side, is performing better as Otis works to attach maintenance services to new orders. Notably, a large portion of the installed elevator base is aging, with 40% of elevators over 15 years old, highlighting the need for modernization or replacement. Although new equipment sales have been weak, the improvement in service contracts is a positive development for the company moving forward.
Consensus
Positive
Valuation
Fair Value
Similar
Kone,KNEBV
PARTIAL BUY
TOP PICK
Number one in elevators, a business she likes. Their services and equipment divisions are thriving. Services amounts to 55% of revenues but 80% of profits, high-margin with long-term contracts. Renewals are high. Will benefit from the recovery and building construction. A third of its installed base is 20 years old so those elevators will need servicing or upgrades. Trades at a discount to European peers. Pays an okay dividend. (Analysts’ price target is $92.31)
Christine PooleOwned
machinery
PAST TOP PICK
(A Top Pick Nov 12/20, Up 30%) The service component is much more profitable than the OEM portion, accounting for 80% of revenues, and so less cyclical. Problems with Chinese real estate has caused the pullback. The exposure in China is reasonable. Global company. Added client money on the pullback.
Christine PooleOwned
machinery
PAST TOP PICK
(A Top Pick Oct 15/20, Up 29%) Best in class company in an oligopolistic space. They do elevators. Has hit a high of $91. About 20% exposure to China. This same story has happened to one of their competitor. Service side business does go up as well.
James TelfserOwned
machinery
PAST TOP PICK
(A Top Pick May 13/20, Up 66%) She likes the elevator space. The service side is very profitable. Their increasing their presence in China. After 25-30 years, elevators need to be refurbished, and we'll be seeing that in the UK especially. As offices and malls reopen, those elevators will need servicing.
Christine PooleOwned
machinery
PAST TOP PICK
(A Top Pick May 13/20, Up 49%) Almost an oligopoly. Very attractive business model. Profitable, recurring revenues. A much more defensive cyclical. Europe and China are growth areas. Reopening will increase service calls. Moving to digitization. Wait for a pullback to commit new money.
Christine PooleOwned
machinery
HOLD
It is a great company. The long driver here is the service side. It is a good business model. It has not moved much for the last 3 or 4 months as people move into the re-opening plays. He would feel comfortable holding this for the long term.
Jamie Murray No
machinery
BUY
Today they delivered an earnings beat based on higher than expected sales and they forecast a strong 2021. And yet the stock barely budged. Wall Street is worried about the future of non-residential construction, but Otis gets the bulk of its business from servicing existing elevators and they offer a new product plan.
machinery
TOP PICK
Long-term growth. #1 with a 17% global share. Service contract side is very attractive, with very high margins. Service accounts for 57% of revenue, but 80% of profit. High renewal rate, long contracts. Defensive cashflow, more recession-resistant. Great upgrade cycle coming up. Yield is 1.21%. (Analysts’ price target is $69.30)
Christine PooleOwned
machinery
TOP PICK
Four main players, but Otis has lots more emerging market exposure. EMs have come out of the pandemic faster. Covid will necessitate some technology changes, and those are in Otis' wheelhouse. Solid business with good margins for the long-term. Yield is 1.24%. (Analysts’ price target is $66.36)
James TelfserOwned
machinery
BUY
Was a top pick recently. A leader in elevators, a oligopoly in this sector. They're diversified geographically. She has bought more shares, liking their recurring revenues. It's sort of defensive/industrial with opportunities for growth in China. Pays a 2% dividend. Good for long-term price appreciation.
Christine PooleOwned
machinery
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She's likes the elevator industry; it's an oligopoly. The servicing side of the business has high, recurring margins. This would cushion the company if we enter weaker economic times. Last year saw growth for Otis in China. Also, elevators in Europe are aging, where Otis has a big slice of the market. Another tailwind is workers returning to offices and those buildings need elevators. Also, Otis is making their elevators go digital which helps servicing. Otis shares have pulled back with the market, but she would slowly add more shares.