Otis Worldwide Corp's stock fell 4.15% as it hit a 20-day low amid disappointing revenue results.
The company reported adjusted earnings of $1.03 per share for Q4, meeting expectations, but its revenue of $3.8 billion fell short of forecasts by $70 million, indicating challenges in revenue growth. Additionally, new equipment sales declined by 5%, particularly in China, reflecting market demand weakness that pressured overall performance. Despite this, Otis anticipates organic sales growth in the low to mid-single digits for 2026, showing some confidence in future growth.
The decline in stock price suggests investor concerns over the company's ability to meet revenue expectations, despite a solid performance in service revenue. Analysts remain cautiously optimistic about Otis's long-term prospects as the construction sector recovers.
Wall Street analysts forecast OTIS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for OTIS is 100.67 USD with a low forecast of 92.00 USD and a high forecast of 111.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
Wall Street analysts forecast OTIS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for OTIS is 100.67 USD with a low forecast of 92.00 USD and a high forecast of 111.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Buy
3 Hold
1 Sell
Moderate Buy
Current: 88.600
Low
92.00
Averages
100.67
High
111.00
Current: 88.600
Low
92.00
Averages
100.67
High
111.00
Barclays
Underweight
downgrade
$92 -> $90
2026-01-29
New
Reason
Barclays
Price Target
$92 -> $90
AI Analysis
2026-01-29
New
downgrade
Underweight
Reason
Barclays lowered the firm's price target on Otis Worldwide to $90 from $92 and keeps an Underweight rating on the shares post the Q4 report. The company's "sub-par" organic profit growth could mean the stock's valuation continues to de-rate versus peers, the analyst tells investors in a research note.
JPMorgan
NULL -> Overweight
maintain
$111 -> $116
2026-01-16
Reason
JPMorgan
Price Target
$111 -> $116
2026-01-16
maintain
NULL -> Overweight
Reason
JPMorgan raised the firm's price target on Otis Worldwide to $116 from $111 and keeps an Overweight rating on the shares. The firm adjusted ratings and targets in the electrical equipment and multi-industry group as part of its Q4 earnings preview. JPMorgan is more positive on "growth related names into and out of the quarter."
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Wells Fargo
Joseph O'Dea
Equal Weight
downgrade
$95 -> $92
2025-12-15
Reason
Wells Fargo
Joseph O'Dea
Price Target
$95 -> $92
2025-12-15
downgrade
Equal Weight
Reason
Wells Fargo analyst Joseph O'Dea lowered the firm's price target on Otis Worldwide to $92 from $95 and keeps an Equal Weight rating on the shares. Through the firm's 2026 earnings bridge work, Wells expects initial guidance of positive 3%-5% organic growth and EPS of $4.40-$4.50. On FX, the firm bumps its 2026 EPS est up 2c to $4.44, however in sympathy with relative valuation compression, it lowers its price target.
BNPP
Neutral -> Outperform
upgrade
$105
2025-12-09
Reason
BNPP
Price Target
$105
2025-12-09
upgrade
Neutral -> Outperform
Reason
BNPP upgraded Otis Worldwide to Outperform from Neutral with a $105 price target.
About OTIS
Otis Worldwide Corporation is an elevator and escalator manufacturing, installation and service company. The Company’s segments include New Equipment and Service. The New Equipment segment designs, manufactures, sells and installs a range of passenger and freight elevators, and escalators and moving walkways for residential, commercial and infrastructure projects. Its elevator and escalator solutions include Gen2, Gen3, Gen360 and SkyRise. Through its Service segment, it performs maintenance and repair services, and modernization services to upgrade elevators and escalators. Through its network of service sales personnel, it sells its services directly to customers in all significant elevator and escalator verticals around the world. It serves customers in over 200 countries and territories around the world. The SkyRise advanced elevator platform combines cutting-edge technologies and precision engineering to deliver solutions for residential, commercial and mixed-use skyscrapers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
