Otis Worldwide (Otis Worldwide) GF Value Rank : 5 (As of Apr. 28, 2024)

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What is Otis Worldwide GF Value Rank?

Otis Worldwide has the GF Value Rank of 5.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

Competitive Comparison of Otis Worldwide's GF Value Rank

For the Specialty Industrial Machinery subindustry, Otis Worldwide's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Otis Worldwide's GF Value Rank Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Otis Worldwide's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Otis Worldwide's GF Value Rank falls into.

Otis Worldwide GF Value Rank Related Terms

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Otis Worldwide (Otis Worldwide) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Otis Worldwide Corp (NYSE:OTIS) » Definitions » GF Value Rank

Comparable Companies

Traded in Other Exchanges

OTIS:Mexico 4PG:Germany 4PG:Germany O1TI34:Brazil

Address

One Carrier Place, Farmington, CT, USA, 06032

Website

https://www.otis.com

Otis is the largest global elevator and escalator supplier by revenue with around 18% global market share. In 1854 Otis' founder and namesake Elisha Graves Otis, invented a safety mechanism that prevented elevators from falling if the hoisting cable failed. The company's product and service lifecycle begins with installations of elevator units in new buildings, later selling maintenance services on the units, and eventually replacement of the units after the average 15- to 20-year useful life of an elevator. As the largest global OEM, Otis has amassed an installed base under service that exceeds 2 million elevators. Its business model is similar to that of its closest competitors Kone, Schindler, and TK Elevator.

Executives

Thomas A Bartlett	director	116 HUNTINGTON AVENUE, BOSTON MA 02116
Jill Brannon	director	942 S. SHADY GROVE ROAD, MEMPHIS TN 38120
Tracy A Embree	officer: President, Otis Americas	500 JACKSON STREET, COLUMBUS IN 47201
Viseras Enrique Minarro	officer: President, Otis EMEA	C/O INGERSOLL RAND INC., 525 HARBOUR PLACE DRIVE, SUITE 600, DAVIDSON NC 28036
Fernandez Bernardo Calleja	officer: President, Otis EMEA	1 CARRIER PLACE, FARMINGTON CT 06032
Michael Patrick Ryan	officer: VP, CAO and Controller	10 FARM SPRINGS ROAD, FARMINGTON CT 06032
Sally Loh	officer: President, Otis China	1 CARRIER PLACE, FARMINGTON CT 06032
James F. Cramer	officer: President, Otis Americas	1 CARRIER PLACE, FARMINGTON CT 06032
Nora E. Lafreniere	officer: EVP, Chief GC & Corp. Sec.	ONE CARRIER PLACE, FARMINGTON CT 06032
Montlivault Stephane De	officer: President, Otis Asia Pacific	ONE CARRIER PLACE, FARMINGTON CT 06032
Peiming Zheng	officer: President, Otis China	ONE CARRIER PLACE, FARMINGTON CT 06032
Nelda J Connors	director	BOSTON SCIENTIFIC CORPORATION, 300 BOSTON SCIENTIFIC WAY, MARLBOROUGH MA 01752-1234
Anurag Maheshwari	officer: EVP and CFO	1 CARRIER PLACE, FARMINGTON CT 06032
Rahul Ghai	officer: EVP & Chief Financial Officer	GENERAL ELECTRIC COMPANY, 5 NECCO STREET, BOSTON MA 02210
Abbe Luersman	officer: EVP & CPO	1 CARRIER PLACE, FARMINGTON CT 06032