OTIS FCF Yield Analysis
Updated 345h ago·SEC filings & market data
Key Takeaway
A 5.4% FCF yield means OTIS generates free cash flow equal to 5.4% of its market value each year, a measure of how much cash profit the business returns to investors relative to its price.
Sector Performance
65th percentileOTIS
5.4%
Sector Median
4.2%
Sector Avg
9.2%
Prior Period
5.2%(Aug 2026)
Deep Analysis
A 5.4% FCF yield means OTIS generates free cash flow equal to 5.4% of its market value each year, a measure of how much cash profit the business returns to investors relative to its price.
This sits above the sector median of 4.2%, placing OTIS in the 64th percentile among peers, so the yield is better than most comparable companies. The trend is stable across the last eight quarters, with year-over-year change not available and a quarter-over-quarter increase of +3.8% from the prior reading. Since the level is moderately above the median and the trend holds steady, the risk profile is balanced: cash generation is solid but not accelerating strongly, offering limited upside surprise. This metric supports the overall NEUTRAL verdict, as the stable, above-median FCF yield confirms consistent value without signaling a compelling bargain or a clear catalyst.
Frequently Asked Questions
What does the FCF Yield tell investors about OTIS?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are OTIS's closest peers by FCF Yield?
The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master OTIS's Valuation
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5.4%
Sector Median
4.2%
Sector Avg
9.2%
How OTIS's FCF Yield compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.