Unlocking Q2 Potential of Otis Worldwide (OTIS): Exploring Wall Street Estimates for Key Metrics

In its upcoming report, Otis Worldwide (OTIS) is predicted by Wall Street analysts to post quarterly earnings of $1.02 per share, reflecting a decline of 3.8% compared to the same period last year. Revenues are forecasted to be $3.68 billion, representing a year-over-year increase of 2.3%.

The current level reflects an upward revision of 1.4% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.

While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.

Given this perspective, it's time to examine the average forecasts of specific Otis Worldwide metrics that are routinely monitored and predicted by Wall Street analysts.

Analysts forecast 'Net Sales- Service' to reach $2.32 billion. The estimate indicates a year-over-year change of +6.4%.

It is projected by analysts that the 'Net Sales- New Equipment' will reach $1.34 billion. The estimate suggests a change of -5.6% year over year.

The average prediction of analysts places 'Adjusted Operating Profit- New Equipment' at $78.03 million. Compared to the present estimate, the company reported $113.00 million in the same quarter last year.

Analysts expect 'Adjusted Operating Profit- Service' to come in at $576.18 million. The estimate is in contrast to the year-ago figure of $550.00 million.

Shares of Otis Worldwide have demonstrated returns of +5.7% over the past month compared to the Zacks S&P 500 composite's +5.4% change. With a Zacks Rank #2 (Buy), OTIS is expected to beat the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

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This article originally published on Zacks Investment Research (zacks.com).

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