The stock of Otis Worldwide Corporation (NYSE:OTIS) decreased by -$1.31 on Tuesday to finish at $85.74, down -1.50 percent. The last five days have seen an average of 1,840,760 shares of common stock traded. 22 times new highs were reached in the current year, with a gain of $7.43. The average number of shares traded over the last 20 days was 2,020,875, while the average volume over the last 50 days totaled 1,797,746.
OTIS stock dropped -3.16% since last month. On 07/26/23, the company’s shares reached a one-month low of $85.23. The stock touched a high of $91.33 on 07/27/23, after rallying from a low of $62.49 in 52 weeks. The price of OTIS stock has risen by 9.49% or $7.43 this year, reaching a new high 22 times. Still, the stock price is down -6.12% from the 52-week high.
Insider Transactions
OTIS stock investors should be aware that Otis Worldwide Corporation (OTIS) stock had its last reported insider trading activity 19 days ago on Jul 28. On Jul 28, VP, CAO & Controller Ryan Michael Patrick sold 6,372 shares at $90.50 each. This transaction resulted in the insider making $576,676. On Jul 28, Calleja Fernandez Bernardo sold 3,992 shares at a price of US$90.70. After the transaction, the insider now owns 42,097 shares. President, Otis EMEA Calleja Fernandez Bernardo had earlier sold 703 shares on Mar 06 for $86.85 a share. The transaction was completed for $61,058.
Valuation Metrics
Otis Worldwide Corporation (OTIS) has a trailing price-to-earnings (P/E) ratio of 27.01. Beta for the stock is 0.86. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.56, and the price-to-cash flow ratio of 27.13.
Company paid $0.34 per share in dividends, remained unchanged from $0.34 last year. A $0.05 dividend increase was reported on Tuesday April 25 2023.
Financial Health
For the three months ended June 29, Otis Worldwide Corporation’s quick ratio was 0.80, while its current ratio was 0.90, indicating its inability to pay off its debt. As far as profitability goes, gross margin for the trailing twelve months is 29.00% percent. Otis Worldwide Corporation’s EBITDA margin for the year ended June 29 was 16.56%, whereas its operating margin stood at 15.30% for the same period. Based on annual data, it had gross profit of $3.92 billion and revenue of $13.69 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. OTIS’s return on assets (ROA) during the last 12 months has been 13.60%. There was a 79.80% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -27.30%.
Earnings Surprise
According to Otis Worldwide Corporation’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $3.72 billion, while revenues rose by 6.24% to $3.35 billion. It was predicted that Otis Worldwide Corporation’s quarterly earnings would be $0.92, but it ended up being $0.86, beating the consensus by 7.00%. EBITDA was $632.0 million for the quarter. At the end of Otis Worldwide Corporation’s most recent quarter ended June 29, its liabilities totaled 14.89 billion, while its total debt was $7.17 billion. Equity owned by shareholders amounts to $411.75 million.
Technical Picture
Here’s a quick look at Otis Worldwide Corporation’s (OTIS) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 31.06%, suggesting the stock is Neutral, with a 15.49% historical volatility rate.
The stochastic %K and %D were 24.19% and 33.65% respectively, while the average true range (ATR) was 1.49. Based on the 14-day stochastic reading of 6.99%, the RSI (14) reading is 38.34%. On the 9-day MACD Oscillator, the stock is at -1.41, and the 14-day reading is at -2.09.
Analyst Ratings
In its most recent analyst report, Wells Fargo raised its rating on Otis Worldwide Corporation (NYSE: OTIS) to an Equal weight. Prior to this, analysts firm rated the stock as an Underweight. Analysts have assigned Otis Worldwide Corporation (OTIS) an Overweight rating. OTIS is a stock that is recommended for selling by 0 brokerage firms, while 7 companies recommend holding. The stock is underweighted by 1 analyst. Among the analysts who rate the stock, 1 rate it overweight and 5 others recommend it as a buy.
What is OTIS’s price target for the next 12 months?
The current consensus forecast for the stock is between $78.00 and $100.00, with a median target price of $92.00. In analyzing these forecasts, the average price target given by analysts for Otis Worldwide Corporation (OTIS) is $90.37.
