Otis Worldwide's Days Sales Outstanding for the
three
months ended in Mar. 2026 was 97.34.
Otis Worldwide's Days Inventory for the
three
months ended in Mar. 2026 was 23.55.
Otis Worldwide's Days Payable for the
three
months ended in Mar. 2026 was 75.62.
Therefore, Otis Worldwide's Cash Conversion Cycle (CCC) for the
three
months ended in Mar. 2026 was 45.27.
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
Otis Worldwide Cash Conversion Cycle Related Terms
Otis Worldwide Cash Conversion Cycle Historical Data
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The historical data trend for Otis Worldwide's Cash Conversion Cycle can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
OTIS vs INIO, XYL, DOV: Cash Conversion Cycle Comparison
For the Specialty Industrial Machinery subindustry, Otis Worldwide's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:
* 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. Note that "N/A" values will not show up in the chart.
Otis Worldwide Cash Conversion Cycle vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Otis Worldwide's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Otis Worldwide's Cash Conversion Cycle falls into.
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
Otis Worldwide's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Otis Worldwide (OTIS) has a Cash Conversion Cycle of 45.27 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Otis Worldwide and its competitors.
Is Otis Worldwide's Cash Conversion Cycle too high?
Otis Worldwide's current Cash Conversion Cycle is 45.27. The Industrial Products industry median Cash Conversion Cycle is 122.29. Otis Worldwide's value of 45.27 is 63% below this industry median. Overall, Otis Worldwide has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Otis Worldwide's Cash Conversion Cycle compare to INIO and XYL?
Otis Worldwide's Cash Conversion Cycle of 45.27 can be compared against companies in the Industrial Products industry. The industry median Cash Conversion Cycle is 122.29. Otis Worldwide's value of 45.27 is 63% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for an Industrial Products company?
The median Cash Conversion Cycle among Industrial Products companies is 122.29, based on 3,032 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Otis Worldwide's current Cash Conversion Cycle of 45.27 is 63% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Otis Worldwide and its competitors. For the Industrial Products industry, the median Cash Conversion Cycle is 122.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Otis Worldwide's current Cash Conversion Cycle is 45.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Otis Worldwide stock overvalued right now?
Based on GuruFocus' analysis, Otis Worldwide (OTIS) is currently considered Modestly Undervalued. The stock's GF Value™ is $101.24, compared to a current price of $72.65 — trading 28.2% below its estimated fair value. The current Cash Conversion Cycle is 45.27 and 63% below the Industrial Products industry median of 122.29. Otis Worldwide's overall GF Score™ is 76/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Otis Worldwide (OTIS), the current Cash Conversion Cycle is 45.27 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Otis Worldwide (OTIS) Overvalued in 2026?
Based on GuruFocus' analysis, Otis Worldwide stock appears to be undervalued.
The current stock price of $72.65 is trading 28.2% below its estimated GF Value™ of $101.24.
GuruFocus considers Otis Worldwide to be Modestly Undervalued.
Key valuation signals for OTIS:
Cash Conversion Cycle: 45.27
GF Value™: $101.24 vs. price of $72.65 (28.2% below fair value)
Industry Position: 63% below the Industrial Products median
No single metric tells the full story. See the OTIS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Otis is the largest global elevator and escalator supplier by revenue with around 18% global market share. In 1854 Otis' founder and namesake Elisha Graves Otis, invented a safety mechanism that prevented elevators from falling if the hoisting cable failed. The company's product and service lifecycle begins with installations of elevator units in new buildings, later selling maintenance services on the units, and eventually replacement of the units after the average 15- to 20-year useful life of an elevator. As the largest global OEM, Otis has amassed an installed base under service that exceeds 2 million elevators. Its business model is similar to that of its closest competitors Kone, Schindler, and TK Elevator.
76GF Score
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