Avanza Fonder AB Buys Shares of 42,729 Otis Worldwide Co. (NYSE:OTIS)

Avanza Fonder AB purchased a new position in Otis Worldwide Co. (NYSE:OTIS) during the fourth quarter, HoldingsChannel.com reports. The fund purchased 42,729 shares of the company’s stock, valued at approximately $3,957,000.

Other hedge funds have also recently made changes to their positions in the company. Riverview Trust Co purchased a new stake in Otis Worldwide during the 3rd quarter valued at about $25,000. Northwest Investment Counselors LLC purchased a new stake in shares of Otis Worldwide during the third quarter valued at approximately $28,000. Ashton Thomas Securities LLC bought a new stake in shares of Otis Worldwide during the third quarter valued at approximately $29,000. Fortitude Family Office LLC raised its holdings in Otis Worldwide by 485.5% in the 4th quarter. Fortitude Family Office LLC now owns 322 shares of the company’s stock worth $30,000 after acquiring an additional 267 shares during the last quarter. Finally, Capital Performance Advisors LLP bought a new position in Otis Worldwide in the 3rd quarter valued at approximately $34,000. 88.03% of the stock is owned by institutional investors.

Otis Worldwide Trading Up 1.7 %

Shares of NYSE OTIS opened at $94.76 on Friday. Otis Worldwide Co. has a 12-month low of $85.61 and a 12-month high of $106.33. The firm has a market capitalization of $37.85 billion, a price-to-earnings ratio of 23.63 and a beta of 1.06. The firm has a 50 day moving average of $96.91 and a 200 day moving average of $97.28.

Otis Worldwide (NYSE:OTIS) last issued its quarterly earnings data on Wednesday, October 30th. The company reported $0.96 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.97 by ($0.01). Otis Worldwide had a net margin of 11.48% and a negative return on equity of 31.28%. The business had revenue of $3.55 billion for the quarter, compared to the consensus estimate of $3.59 billion. During the same period in the previous year, the firm earned $0.95 EPS. The company’s revenue was up .7% on a year-over-year basis. Sell-side analysts predict that Otis Worldwide Co. will post 3.86 EPS for the current year.

Otis Worldwide announced that its Board of Directors has approved a stock buyback plan on Thursday, January 16th that permits the company to buyback $2.00 billion in outstanding shares. This buyback authorization permits the company to repurchase up to 5.4% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Otis Worldwide Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, December 6th. Stockholders of record on Friday, November 15th were paid a $0.39 dividend. This represents a $1.56 annualized dividend and a dividend yield of 1.65%. The ex-dividend date was Friday, November 15th. Otis Worldwide’s dividend payout ratio (DPR) is currently 38.90%.

Insider Activity

In other Otis Worldwide news, EVP Abbe Luersman sold 9,000 shares of the firm’s stock in a transaction that occurred on Thursday, November 7th. The shares were sold at an average price of $101.02, for a total transaction of $909,180.00. Following the sale, the executive vice president now owns 9,992 shares in the company, valued at approximately $1,009,391.84. This trade represents a 47.39 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.23% of the company’s stock.

Analysts Set New Price Targets

A number of research firms have commented on OTIS. JPMorgan Chase & Co. reduced their target price on Otis Worldwide from $112.00 to $108.00 and set a “neutral” rating for the company in a report on Wednesday. Wolfe Research lowered Otis Worldwide from a “peer perform” rating to an “underperform” rating and set a $104.00 target price for the company. in a research report on Thursday, December 12th. Wells Fargo & Company lowered their target price on shares of Otis Worldwide from $105.00 to $100.00 and set an “equal weight” rating on the stock in a research note on Tuesday, January 7th. Barclays reduced their price target on shares of Otis Worldwide from $94.00 to $91.00 and set an “underweight” rating for the company in a research note on Wednesday, January 8th. Finally, UBS Group initiated coverage on shares of Otis Worldwide in a research report on Wednesday, November 13th. They set a “neutral” rating and a $113.00 price objective on the stock. Two investment analysts have rated the stock with a sell rating, five have issued a hold rating and two have given a buy rating to the company’s stock. Based on data from MarketBeat.com, Otis Worldwide has an average rating of “Hold” and an average target price of $103.88.

Otis Worldwide 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.