OTIS (Otis Worldwide) Inventory Turnover: 3.88 (As of Mar. 2026)


OTIS Otis Worldwide Corp OTIS
76 GF Score
Price $73.14
GF Value $101.33
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Otis Worldwide Inventory Turnover?

Otis Worldwide OTIS +3.54% 76 Inventory Turnover is 3.88 as of Mar. 2026. GuruFocus rates OTIS with a GF Score™ of 76/100 and a GF Value™ of $101.33 (Modestly Undervalued). The stock has 3 warning signs investors should review.

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Otis Worldwide's Cost of Goods Sold for the three months ended in Mar. 2026 was $2,484 Mil. Otis Worldwide's Average Total Inventories for the quarter that ended in Mar. 2026 was $641 Mil. Otis Worldwide's Inventory Turnover for the quarter that ended in Mar. 2026 was 3.88.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Otis Worldwide's Days Inventory for the three months ended in Mar. 2026 was 23.55.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Otis Worldwide's Inventory-to-Revenue for the quarter that ended in Mar. 2026 was 0.18.

Otis Worldwide  (NYSE:OTIS) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Otis Worldwide's Days Inventory for the three months ended in Mar. 2026 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2026 )/Cost of Goods Sold (Q: Mar. 2026 )*Days in Period
=641/2484*365 / 4
=23.55

2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Otis Worldwide's Inventory to Revenue for the quarter that ended in Mar. 2026 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=641 / 3566
=0.18

* 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.

Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.

Otis Worldwide Inventory Turnover Related Terms

Otis Worldwide Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Otis Worldwide's Inventory Turnover 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 Worldwide Inventory Turnover Chart

Otis Worldwide Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only 15.78 15.76 16.30 17.12 17.20

Otis Worldwide Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.11 4.22 4.12 4.23 3.88
OTIS
76GF Score
Otis Worldwide Corp OTIS
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Otis Worldwide Inventory Turnover Calculation

Otis Worldwide's Inventory Turnover for the fiscal year that ended in Dec. 2025 is calculated as

Inventory Turnover (A: Dec. 2025 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2025 ) / ((Total Inventories (A: Dec. 2024 ) + Total Inventories (A: Dec. 2025 )) / count )
=10061 / ((557 + 613) / 2 )
=10061 / 585
=17.20

Otis Worldwide's Inventory Turnover for the quarter that ended in Mar. 2026 is calculated as

Inventory Turnover (Q: Mar. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2026 ) / ((Total Inventories (Q: Dec. 2025 ) + Total Inventories (Q: Mar. 2026 )) / count )
=2484 / ((613 + 669) / 2 )
=2484 / 641
=3.88

* 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.

Frequently Asked Questions Learn more about Inventory Turnover →
What does a Inventory Turnover of 3.88 mean?
Otis Worldwide (OTIS) has a Inventory Turnover of 3.88 as of Mar. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Otis Worldwide and its competitors.
Is Otis Worldwide's Inventory Turnover too high?
Otis Worldwide's current Inventory Turnover is 3.88. 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 Inventory Turnover compare to INIO and XYL?
Otis Worldwide's Inventory Turnover of 3.88 can be compared against companies in the Industrial Products industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Inventory Turnover for an Industrial Products company?
A good Inventory Turnover depends on the Industrial Products industry context. However, Inventory Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Inventory Turnover mean?
A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Otis Worldwide and its competitors. Otis Worldwide's current Inventory Turnover is 3.88. 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 $101.33, compared to a current price of $73.14 — trading 27.8% below its estimated fair value. The current Inventory Turnover is 3.88. 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 Inventory Turnover calculated?
Inventory Turnover is calculated from a company's financial statements. For Otis Worldwide (OTIS), the current Inventory Turnover is 3.88 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 $73.14 is trading 27.8% below its estimated GF Value™ of $101.33. GuruFocus considers Otis Worldwide to be Modestly Undervalued.

Key valuation signals for OTIS:

  • Inventory Turnover: 3.88
  • GF Value™: $101.33 vs. price of $73.14 (27.8% below fair value)
  • GF Score™: 76/100 with 3 warning signs

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 Worldwide Business Description

Address One Carrier Place, Farmington, CT, USA, 06032
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

Get the complete analysis for OTIS

Inventory Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$73.14
Price
$101.33
GF Value