Brokerages Set Otis Worldwide Co. (NYSE:OTIS) Target Price at $103.88

Otis Worldwide Co. (NYSE:OTIS) has earned an average recommendation of “Hold” from the nine ratings firms that are presently covering the stock, MarketBeat.com reports. Two research analysts have rated the stock with a sell rating, five have assigned a hold rating and two have given a buy rating to the company. The average 1 year target price among brokerages that have issued a report on the stock in the last year is $103.88.

Several research firms have recently weighed in on OTIS. Wells Fargo & Company cut their price objective on Otis Worldwide from $105.00 to $100.00 and set an “equal weight” rating on the stock in a report on Tuesday, January 7th. Barclays cut their price target on shares of Otis Worldwide from $94.00 to $91.00 and set an “underweight” rating on the stock in a research note on Wednesday, January 8th. UBS Group began coverage on shares of Otis Worldwide in a research report on Wednesday, November 13th. They set a “neutral” rating and a $113.00 price objective for the company. Wolfe Research lowered shares of Otis Worldwide from a “peer perform” rating to an “underperform” rating and set a $104.00 price objective on the stock. in a report on Thursday, December 12th. Finally, JPMorgan Chase & Co. reduced their target price on shares of Otis Worldwide from $112.00 to $108.00 and set a “neutral” rating for the company in a research note on Wednesday, January 15th.

Otis Worldwide Stock Performance

Shares of NYSE OTIS opened at $95.42 on Monday. The firm has a 50 day moving average price of $96.48 and a 200 day moving average price of $97.25. The stock has a market cap of $38.11 billion, a P/E ratio of 23.79 and a beta of 1.06. Otis Worldwide has a 52-week low of $87.57 and a 52-week high of $106.33.

Otis Worldwide (NYSE:OTIS) last announced its quarterly earnings results on Wednesday, October 30th. The company reported $0.96 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.97 by ($0.01). Otis Worldwide had a net margin of 11.48% and a negative return on equity of 31.28%. The firm had revenue of $3.55 billion during the quarter, compared to analyst estimates of $3.59 billion. During the same period last year, the firm earned $0.95 EPS. Otis Worldwide’s quarterly revenue was up .7% on a year-over-year basis. Analysts predict that Otis Worldwide will post 3.86 earnings per share for the current fiscal year.

Otis Worldwide announced that its board has initiated a share repurchase plan on Thursday, January 16th that authorizes the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization authorizes the company to buy up to 5.4% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its shares are undervalued.

Otis Worldwide Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, December 6th. Stockholders of record on Friday, November 15th were paid a dividend of $0.39 per share. The ex-dividend date was Friday, November 15th. This represents a $1.56 dividend on an annualized basis and a dividend yield of 1.63%. Otis Worldwide’s dividend payout ratio is 38.90%.

Insider Buying and Selling

In other Otis Worldwide news, EVP Abbe Luersman sold 9,000 shares of the stock in a transaction on Thursday, November 7th. The shares were sold at an average price of $101.02, for a total value of $909,180.00. Following the completion of the sale, the executive vice president now owns 9,992 shares in the company, valued at $1,009,391.84. This trade represents a 47.39 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.23% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Otis Worldwide

A number of institutional investors and hedge funds have recently modified their holdings of the company. Riverview Trust Co bought a new position in Otis Worldwide during the third quarter worth $25,000. Northwest Investment Counselors LLC acquired a new stake in shares of Otis Worldwide during the 3rd quarter worth about $28,000. Ashton Thomas Securities LLC bought a new stake in shares of Otis Worldwide during the 3rd quarter worth about $29,000. Fortitude Family Office LLC grew its stake in Otis Worldwide by 485.5% in the 4th quarter. Fortitude Family Office LLC now owns 322 shares of the company’s stock valued at $30,000 after buying an additional 267 shares during the last quarter. Finally, Capital Performance Advisors LLP bought a new position in Otis Worldwide in the 3rd quarter valued at about $34,000. 88.03% of the stock is owned by institutional investors.

About Otis Worldwide

Otis Worldwide Corporation engages in manufacturing, installation, and servicing of elevators and escalators in the United States, China, and internationally. The company operates in two segments, New Equipment and Service. The New Equipment segment designs, manufactures, sells, and installs a range of passenger and freight elevators, as well as escalators and moving walkways for residential and commercial buildings, and infrastructure projects.