Otis Reports Q4 Results Missing Revenue Expectations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 28 2026
0mins
Should l Buy OTIS?
Source: seekingalpha
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.
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Analyst Views on OTIS
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
3 Buy
3 Hold
1 Sell
Moderate Buy
Current: 91.240
Low
92.00
Averages
100.67
High
111.00
Current: 91.240
Low
92.00
Averages
100.67
High
111.00
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.
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