Otis Worldwide (NYSE:OTIS) Hits New 52-Week Low on Analyst Downgrade

Otis Worldwide Co. (NYSE:OTIS - Get Free Report)'s share price hit a new 52-week low on Tuesday after JPMorgan Chase & Co. lowered their price target on the stock from $105.00 to $88.00. JPMorgan Chase & Co. currently has a neutral rating on the stock. Otis Worldwide traded as low as $89.70 and last traded at $90.77, with a volume of 3377869 shares traded. The stock had previously closed at $91.96.

Other analysts also recently issued reports about the company. Wolfe Research downgraded Otis Worldwide from a "peer perform" rating to an "underperform" rating and set a $104.00 price objective for the company. in a research report on Thursday, December 12th. Wells Fargo & Company reduced their price target on shares of Otis Worldwide from $100.00 to $95.00 and set an "equal weight" rating on the stock in a research note on Thursday, January 30th. Finally, Barclays upped their price target on Otis Worldwide from $91.00 to $92.00 and gave the stock an "underweight" rating in a research note on Wednesday, March 26th. Two equities research analysts have rated the stock with a sell rating, four have issued a hold rating and two have issued a buy rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and an average price target of $100.88.

Insiders Place Their Bets

In related news, CEO Judith Fran Marks sold 28,440 shares of the firm's stock in a transaction that occurred on Monday, February 10th. The shares were sold at an average price of $95.77, for a total value of $2,723,698.80. Following the sale, the chief executive officer now owns 230,153 shares of the company's stock, valued at $22,041,752.81. This trade represents a 11.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Montlivault Stephane De sold 6,660 shares of the business's stock in a transaction that occurred on Monday, March 10th. The stock was sold at an average price of $105.30, for a total transaction of $701,298.00. Following the transaction, the insider now owns 63,931 shares of the company's stock, valued at $6,731,934.30. This trade represents a 9.43 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 112,281 shares of company stock worth $10,747,553 in the last ninety days. 0.23% of the stock is owned by corporate insiders.

Remove Ads

Hedge Funds Weigh In On Otis Worldwide

Institutional investors and hedge funds have recently modified their holdings of the company. M&T Bank Corp lifted its holdings in Otis Worldwide by 11.2% during the 3rd quarter. M&T Bank Corp now owns 183,984 shares of the company's stock worth $19,123,000 after buying an additional 18,536 shares during the last quarter. PineStone Asset Management Inc. lifted its stake in Otis Worldwide by 4.2% during the fourth quarter. PineStone Asset Management Inc. now owns 3,002,419 shares of the company's stock worth $278,054,000 after purchasing an additional 121,322 shares during the last quarter. JPMorgan Chase & Co. boosted its holdings in Otis Worldwide by 41.0% in the third quarter. JPMorgan Chase & Co. now owns 28,076,031 shares of the company's stock valued at $2,918,223,000 after purchasing an additional 8,161,946 shares in the last quarter. SVB Wealth LLC purchased a new position in Otis Worldwide in the fourth quarter valued at approximately $337,000. Finally, Charles Schwab Investment Management Inc. raised its holdings in Otis Worldwide by 3.0% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,304,482 shares of the company's stock worth $213,418,000 after purchasing an additional 67,937 shares in the last quarter. Institutional investors and hedge funds own 88.03% of the company's stock.

Otis Worldwide Stock Up 2.8 %

The business's fifty day simple moving average is $99.03 and its two-hundred day simple moving average is $98.78. The company has a market cap of $38.44 billion, a price-to-earnings ratio of 23.88 and a beta of 1.00.

Otis Worldwide (NYSE:OTIS - Get Free Report) last announced its quarterly earnings results on Wednesday, January 29th. The company reported $0.93 EPS for the quarter, missing the consensus estimate of $0.95 by ($0.02). Otis Worldwide had a negative return on equity of 31.76% and a net margin of 11.53%. Sell-side analysts predict that Otis Worldwide Co. will post 4.04 EPS for the current fiscal year.

Otis Worldwide Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 7th. Stockholders of record on Friday, February 14th were issued a $0.39 dividend. This represents a $1.56 annualized dividend and a dividend yield of 1.61%. The ex-dividend date of this dividend was Friday, February 14th. Otis Worldwide's payout ratio is currently 38.42%.

Otis Worldwide declared that its Board of Directors has approved a share repurchase plan on Thursday, January 16th that allows the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization allows the company to purchase up to 5.4% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's board of directors believes its stock is undervalued.

Otis Worldwide Company Profile

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.