OTISNEUTRAL

OTIS Current Ratio Analysis

0.83x

Updated 345h ago·SEC filings & market data

Key Takeaway

A current ratio of 0.83x means OTIS has $0.83 in current assets for every $1.00 of current liabilities due within a year, indicating it could face short-term liquidity pressure.

Sector Performance

22th percentile

OTIS

0.83x

Sector Median

1.26x

Sector Avg

2.61x

Prior Period

0.84x(Jul 2026)

↓ Declining

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Deep Analysis

A current ratio of 0.83x means OTIS has $0.83 in current assets for every $1.00 of current liabilities due within a year, indicating it could face short-term liquidity pressure.

This sits below the sector median of 1.25x, placing the company at the 21st percentile among peers, so most comparable firms hold a larger liquidity cushion. The trend is not assessable: the year-over-year change is N/A and the quarter-over-quarter change is N/A, as only a single historical value of 0.83x is provided. Because the level is low and no trend direction is available, the risk is a potential inability to cover near-term obligations, with no evidence of improvement or deterioration to offset that concern. This metric contradicts the overall NEUTRAL verdict, since a sub-1.0x current ratio is typically viewed as a negative factor for financial stability. Given the lack of trend data, the low level alone supports a cautious stance rather than a neutral one.

Frequently Asked Questions

What does the Current Ratio tell investors about OTIS?

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.

How is the Current Ratio calculated?

Current Ratio is calculated as: Current Assets / Current Liabilities.

Who are OTIS's closest peers by Current Ratio?

The closest peers by Current Ratio include: NWS (1.62x), ESTC (1.68x), DXCM (1.73x), GLW (1.81x), TEL (1.88x).

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Learn More About Current Ratio

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Working capital is more than current assets minus liabilities. Learn why working capital matters for liquidity, efficiency, and competitive advantage, with real data from AMZN, COST, HD, and XOM.

The Formula

Current Assets / Current Liabilities

Why It Matters

Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.