Switch to:

Otis Worldwide Return-on-Tangible-Equity

: Negative Tangible Equity% (As of Sep. 2020)
View and export this data going back to 2020. Start your Free Trial

Return-on-Tangible-Equity is calculated as Net Income attributable to Common Stockholders divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Otis Worldwide's annualized net income attributable to common stockholders for the quarter that ended in Sep. 2020 was $1,064 Mil. Otis Worldwide's average shareholder tangible equity for the quarter that ended in Sep. 2020 was $-6,276 Mil. Therefore, Otis Worldwide's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2020 was Negative Tangible Equity%.

NYSE:OTIS' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0   Med: 0   Max: Negative Tangible Equity
Current: Negative Tangible Equity

0
Negative Tangible Equity

During the past 3 years, Otis Worldwide's highest Return-on-Tangible-Equity was Negative Tangible Equity%. The lowest was 0.00%. And the median was 0.00%.

NYSE:OTIS's Return-on-Tangible-Equity is ranked higher than
100% of the 2447 Companies
in the Industrial Products industry.

( Industry Median: 5.98 vs. NYSE:OTIS: Negative Tangible Equity )

Otis Worldwide Return-on-Tangible-Equity Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

Otis Worldwide Annual Data
Dec17 Dec18 Dec19
Return-on-Tangible-Equity 0.00 Negative Tangible Equity Negative Tangible Equity

Otis Worldwide Quarterly Data
Dec17 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
Return-on-Tangible-Equity Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

Competitive Comparison
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap.


Otis Worldwide Return-on-Tangible-Equity Distribution

* The bar in red indicates where Otis Worldwide's Return-on-Tangible-Equity falls into.



Otis Worldwide Return-on-Tangible-Equity Calculation

Otis Worldwide's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2019 is calculated as

Return-on-Tangible-Equity=Net Income attributable to Common Stockholders/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2019 )  (A: Dec. 2018 )(A: Dec. 2019 )
=Net Income attributable to Common Stockholders/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2019 )  (A: Dec. 2018 )(A: Dec. 2019 )
=985/( (-688+-437 )/ 2 )
=985/-562.5
=Negative Tangible Equity %

Otis Worldwide's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2020 is calculated as

Return-on-Tangible-Equity=Net Income attributable to Common Stockholders/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Sep. 2020 )  (Q: Jun. 2020 )(Q: Sep. 2020 )
=Net Income attributable to Common Stockholders/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Sep. 2020 )  (Q: Jun. 2020 )(Q: Sep. 2020 )
=1064/( (-6339+-6213)/ 2 )
=1064/-6276
=Negative Tangible Equity %

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

In the calculation of annual Return-on-Tangible-Equity, the net income attributable to common stockholders of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income attributable to common stockholders data used here is four times the quarterly (Sep. 2020) net income attributable to common stockholders data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Otis Worldwide  (NYSE:OTIS) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net income attributable to common stockholders is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Otis Worldwide Return-on-Tangible-Equity Related Terms


Otis Worldwide Return-on-Tangible-Equity Headlines

No Headline

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)