OTIS' Q2 earnings miss and revised 2025 outlook triggered a steep sell-off, with persistent headwinds, especially in China and New Equipment segment. Despite near-term volatility from tariffs and weak demand, OTIS' Uplift and China transformation programs should drive cost savings and future profitability. Dividend remains well-covered and buybacks continue, supporting shareholder returns even as free cash flow expectations are lowered.
The heavy selling pressure might have exhausted for Otis Worldwide (OTIS) as it is technically in oversold territory now. In addition to this technical measure, strong agreement among Wall Street analysts in revising earnings estimates higher indicates that the stock is ripe for a trend reversal.
Otis Worldwide Corporation (NYSE:OTIS ) Q2 2025 Earnings Conference Call July 23, 2025 8:30 AM ET Company Participants Robert Quartaro - Vice President of Investor Relations Judith Marks - Chair, President & CEO Cristina Mendez - Executive VP & CFO Conference Call Participants Jeffrey Sprague - Vertical Research Partners, LLC Nigel Coe - Wolfe Research, LLC Nicole DeBlase - Deutsche Bank AG, Research Division C. Stephen Tusa - JPMorgan Chase & Co, Research Division Robert Wertheimer - Melius Research LLC Julian Mitchell - Barclays Bank PLC, Research Division Christopher Snyder - Morgan Stanley, Research Division Joseph O'Dea - Wells Fargo Securities, LLC, Research Division Operator Good morning, and welcome to Otis' Second Quarter 2025 Earnings Conference Call.
The headline numbers for Otis Worldwide (OTIS) give insight into how the company performed in the quarter ended June 2025, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Otis Worldwide Corporation OTIS reported mixed results in the second quarter of 2025, wherein adjusted earnings surpassed the Zacks Consensus Estimate while net sales missed the same. On a year-over-year basis, the top line and the bottom line tumbled.
Otis Worldwide (OTIS) came out with quarterly earnings of $1.05 per share, beating the Zacks Consensus Estimate of $1.02 per share. This compares to earnings of $1.06 per share a year ago.
Evaluate the expected performance of Otis Worldwide (OTIS) for the quarter ended June 2025, looking beyond the conventional Wall Street top-and-bottom-line estimates and examining some of its key metrics for better insight.
Otis Worldwide (OTIS) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
I reiterate a Sell rating on Otis Worldwide Corporation, with a fair value of $82 per share, due to a persistently weak growth outlook. Otis faces ongoing headwinds from sluggish China real estate and global housing markets, resulting in declining new equipment sales. Management's optimism on China's recovery appears premature, especially amid continued property price declines and U.S.-China tariff uncertainties.
Otis Worldwide (OTIS) reported earnings 30 days ago. What's next for the stock?
Otis Worldwide chair, CEO and president Judy Marks discusses supply side options amid tariff talks on 'The Claman Countdown.' #trump #foxbusiness #tariffs
OTIS' first-quarter results are hurt by a dismal New Equipment segment performance but gain from the Service segment.