Is the business good?
How good a business is OTIS?
Otis Worldwide earns 96% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
96%
Return on invested capital · cost of capital 9.0% · 87 points above what the capital costs: growth creates value
- Operating margin
- 15%
Operating margin · Specialty Industrial Machinery median 15% · 12 months to Q2 2026
- Cash conversion
- 1.13×
Cash conversion · 0.89× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −3.1%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 13% |
| FY2021 | 15% |
| FY2022 | 15% |
| FY2023 | 15% |
| FY2024 | 14% |
| FY2025 | 15% |
Details›
- Operating margin12 months to Q2 2026
- 15%
- Net margin12 months to Q2 2026
- 10%
- Free cash flow margin
- 11%
- R&D as % of revenue
- 1.0%
- Revenue, trailing twelve months
- $14.9B
- Free cash flow, trailing twelve months
- $1.71B
- Net income, trailing twelve months
- $1.52B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 96%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Specialty Industrial Machinery
Ranks #14 of 44 by Smart Score