Otis Worldwide Corporation (4PG.DE) Stock Analysis & Winston Score

Otis Worldwide makes elevators, escalators, and moving walkways. Its customers include building owners, real estate developers, hotels, airports, and shopping malls around the world. Otis is one of the largest elevator companies on the planet and owns the Otis brand, which has been around for over 170 years. Otis makes money in two main ways: selling new equipment and, more importantly, charging building owners ongoing fees to maintain and repair their elevators and escalators. This service business is highly recurring and hard to replace, since building owners rarely switch maintenance providers once a contract is in place. Otis operates globally, with a large presence in North America, Europe, and China, and generates roughly $14 billion in annual revenue. The biggest growth driver is the expanding installed base of units needing service contracts, while a slowdown in global construction activity remains the key risk to new equipment sales.