Cullen Frost Bankers Inc. has significantly reduced its holdings in Otis Worldwide Corporation, selling 103,266 shares during the second quarter of 2023. This transaction marks a dramatic decrease of 93.7% in the bank’s ownership, leaving it with 6,980 shares valued at approximately $691,000 at the end of the quarter, according to HoldingsChannel.com.
This decision comes in the context of broader adjustments made by institutional investors in Otis Worldwide. Several funds have recently initiated or increased their stakes in the company. For instance, Wayfinding Financial LLC acquired a new stake valued at $31,000 in the first quarter. Similarly, Cheviot Value Management LLC and Toth Financial Advisory Corp purchased stakes worth $31,000 and $45,000, respectively, in the same timeframe. Overall, institutional investors now hold approximately 88.03% of Otis Worldwide’s stock.
Analysts Adjust Price Targets for Otis Worldwide
In addition to institutional shifts, analysts have been actively reassessing their outlook on Otis Worldwide. A research report from Deutsche Bank Aktiengesellschaft, published on July 14, 2023, initiated coverage of Otis Worldwide with a “hold” rating and a target price of $109.00. Conversely, Wells Fargo & Company raised their target from $93.00 to $95.00 while maintaining an “equal weight” rating. In contrast, Barclays reduced their price target from $92.00 to $90.00, applying an “underweight” rating.
Zacks Research upgraded Otis Worldwide from a “strong sell” to a “hold” rating on October 14, 2023, while JPMorgan Chase & Co. increased their price target from $105.00 to $111.00, assigning an “overweight” rating. Currently, the consensus rating among analysts stands at “hold,” with a target price averaging $104.63, according to MarketBeat.com.
Current Stock Performance and Earnings Report
As of the latest trading session, shares of Otis Worldwide (NYSE:OTIS) opened at $91.91. Over the past year, the stock has experienced a low of $84.25 and a high of $106.83. The company’s market capitalization is approximately $36.07 billion, with a price-to-earnings ratio of 24.31 and a beta of 1.00.
Otis Worldwide recently announced its earnings results on July 23, 2023, reporting earnings per share of $1.05, exceeding analysts’ expectations of $1.03 by $0.02. The company generated revenues of $3.60 billion, slightly below the anticipated $3.73 billion. The net margin for the quarter stood at 10.68%, with a negative return on equity of 30.95%. Revenue for this quarter decreased by 0.2% compared to the same quarter last year, where the business posted $1.06 earnings per share.
Looking ahead, research analysts project that Otis Worldwide Corporation will report earnings of $4.04 per share for the current year.
Founded in the United States, Otis Worldwide Corporation specializes in the manufacturing, installation, and servicing of elevators and escalators. The company operates through two primary segments: New Equipment and Service, catering to residential and commercial sectors, as well as various infrastructure projects.
