OTISNEUTRAL

OTIS PEG Ratio Analysis

2.06x

Updated 345h ago·SEC filings & market data

Key Takeaway

The PEG ratio measures a stock's price-to-earnings multiple relative to its expected earnings growth, with lower values indicating a cheaper price for each unit of growth.

Sector Performance

74th percentile

OTIS

2.06x

Sector Median

0.77x

Sector Avg

2.65x

Prior Period

0.47x(Jul 2026)

↓ Declining
📊

Deep Analysis

The PEG ratio measures a stock's price-to-earnings multiple relative to its expected earnings growth, with lower values indicating a cheaper price for each unit of growth.

At 2.06x, OTIS is priced well above the sector median of 0.80x and lands in the 74th percentile among peers, meaning it is more expensive on a growth-adjusted basis than most comparable companies. Trend data is unavailable: the year-over-year change is N/A and the quarter-over-quarter change is N/A, so there is no trajectory to confirm or offset this valuation level. Given the high absolute level and no trend information, the metric points to elevated valuation risk if growth expectations are not met, while offering no evidence of improving affordability. This supports the NEUTRAL verdict: the PEG ratio indicates a premium that is not contradicted by any positive momentum, but it does not alone justify a bearish stance.

Frequently Asked Questions

What does the PEG Ratio tell investors about OTIS?

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

How is the PEG Ratio calculated?

PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.

Who are OTIS's closest peers by PEG Ratio?

The closest peers by PEG Ratio include: FORM (0.49x), HII (0.48x), CPRI (0.47x), CBOE (0.46x), CELH (0.46x).

The Formula

P/E Ratio / EPS Growth Rate

Why It Matters

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

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OTIS

2.06x

Sector Median

0.77x

Sector Avg

2.65x

How OTIS's PEG Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.