ACM vs. OTIS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ACM and OTIS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
OTIS’s market capitalization of 39.27 billion USD is significantly greater than ACM’s 15.31 billion USD, highlighting its more substantial market valuation.
With betas of 0.97 for ACM and 0.97 for OTIS, both stocks show similar sensitivity to overall market movements.
| Symbol | ACM | OTIS |
|---|---|---|
| Company Name | Aecom | Otis Worldwide Corporation |
| Country | US | US |
| Sector | Industrials | Industrials |
| Industry | Engineering & Construction | Industrial - Machinery |
| CEO | W. Troy Rudd | Judith F. Marks |
| Price | 115.75 USD | 99.51 USD |
| Market Cap | 15.31 billion USD | 39.27 billion USD |
| Beta | 0.97 | 0.97 |
| Exchange | NYSE | NYSE |
| IPO Date | May 10, 2007 | March 19, 2020 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ACM and OTIS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ACM
27.52%
Engineering & Construction Industry
- Max
- 39.77%
- Q3
- 28.08%
- Median
- 13.64%
- Q1
- 7.13%
- Min
- -14.48%
ACM’s Return on Equity of 27.52% is on par with the norm for the Engineering & Construction industry, indicating its profitability relative to shareholder equity is typical for the sector.
OTIS
-30.82%
Industrial - Machinery Industry
- Max
- 36.51%
- Q3
- 18.65%
- Median
- 12.08%
- Q1
- 4.75%
- Min
- -15.57%
OTIS has a negative Return on Equity of -30.82%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Return on Invested Capital
ACM
6.55%
Engineering & Construction Industry
- Max
- 22.01%
- Q3
- 12.65%
- Median
- 8.09%
- Q1
- 4.79%
- Min
- -2.53%
ACM’s Return on Invested Capital of 6.55% is in line with the norm for the Engineering & Construction industry, reflecting a standard level of efficiency in generating profits from its capital base.
OTIS
33.42%
Industrial - Machinery Industry
- Max
- 22.35%
- Q3
- 12.64%
- Median
- 9.33%
- Q1
- 5.32%
- Min
- -5.42%
OTIS’s Return on Invested Capital of 33.42% is exceptionally high, placing it well beyond the typical range for the Industrial - Machinery industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.
Net Profit Margin
ACM
3.85%
Engineering & Construction Industry
- Max
- 11.23%
- Q3
- 6.47%
- Median
- 3.96%
- Q1
- 2.79%
- Min
- -2.45%
ACM’s Net Profit Margin of 3.85% is aligned with the median group of its peers in the Engineering & Construction industry. This indicates its ability to convert revenue into profit is typical for the sector.
OTIS
10.83%
Industrial - Machinery Industry
- Max
- 28.85%
- Q3
- 15.25%
- Median
- 10.02%
- Q1
- 5.33%
- Min
- -8.75%
OTIS’s Net Profit Margin of 10.83% is aligned with the median group of its peers in the Industrial - Machinery industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
ACM
5.98%
Engineering & Construction Industry
- Max
- 13.74%
- Q3
- 8.50%
- Median
- 6.20%
- Q1
- 4.58%
- Min
- 0.34%
ACM’s Operating Profit Margin of 5.98% is around the midpoint for the Engineering & Construction industry, indicating that its efficiency in managing core business operations is typical for the sector.
OTIS
13.26%
Industrial - Machinery Industry
- Max
- 28.19%
- Q3
- 19.04%
- Median
- 14.62%
- Q1
- 8.13%
- Min
- -5.76%
OTIS’s Operating Profit Margin of 13.26% is around the midpoint for the Industrial - Machinery industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ACM | OTIS |
|---|---|---|
| Return on Equity (TTM) | 27.52% | -30.82% |
| Return on Assets (TTM) | 5.24% | 13.73% |
| Return on Invested Capital (TTM) | 6.55% | 33.42% |
| Net Profit Margin (TTM) | 3.85% | 10.83% |
| Operating Profit Margin (TTM) | 5.98% | 13.26% |
| Gross Profit Margin (TTM) | 7.09% | 29.86% |
Financial Strength
Current Ratio
ACM
--
Engineering & Construction Industry
- Max
- 2.02
- Q3
- 1.66
- Median
- 1.38
- Q1
- 1.24
- Min
- 0.94
Current Ratio data for ACM is currently unavailable.
OTIS
0.94
Industrial - Machinery Industry
- Max
- 4.18
- Q3
- 2.75
- Median
- 2.07
- Q1
- 1.46
- Min
- 0.46
OTIS’s Current Ratio of 0.94 falls into the lower quartile for the Industrial - Machinery industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ACM
1.32
Engineering & Construction Industry
- Max
- 1.76
- Q3
- 0.91
- Median
- 0.67
- Q1
- 0.28
- Min
- 0.01
ACM’s leverage is in the upper quartile of the Engineering & Construction industry, with a Debt-to-Equity Ratio of 1.32. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
OTIS
-1.70
Industrial - Machinery Industry
- Max
- 1.46
- Q3
- 0.73
- Median
- 0.48
- Q1
- 0.17
- Min
- 0.00
OTIS has a Debt-to-Equity Ratio of -1.70, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.
Interest Coverage Ratio
ACM
5.28
Engineering & Construction Industry
- Max
- 20.20
- Q3
- 11.91
- Median
- 6.46
- Q1
- 3.18
- Min
- -2.69
ACM’s Interest Coverage Ratio of 5.28 is positioned comfortably within the norm for the Engineering & Construction industry, indicating a standard and healthy capacity to cover its interest payments.
OTIS
15.66
Industrial - Machinery Industry
- Max
- 28.91
- Q3
- 14.99
- Median
- 9.11
- Q1
- 3.95
- Min
- -11.30
OTIS’s Interest Coverage Ratio of 15.66 is in the upper quartile for the Industrial - Machinery industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | ACM | OTIS |
|---|---|---|
| Current Ratio (TTM) | -- | 0.94 |
| Quick Ratio (TTM) | -- | 0.87 |
| Debt-to-Equity Ratio (TTM) | 1.32 | -1.70 |
| Debt-to-Asset Ratio (TTM) | 0.26 | 0.78 |
| Net Debt-to-EBITDA Ratio (TTM) | 1.23 | 3.24 |
| Interest Coverage Ratio (TTM) | 5.28 | 15.66 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ACM and OTIS. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ACM
0.86%
Engineering & Construction Industry
- Max
- 1.31%
- Q3
- 0.40%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 0.86%, ACM offers a more attractive income stream than most of its peers in the Engineering & Construction industry, signaling a strong commitment to shareholder returns.
OTIS
1.60%
Industrial - Machinery Industry
- Max
- 4.40%
- Q3
- 1.47%
- Median
- 0.74%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.60%, OTIS offers a more attractive income stream than most of its peers in the Industrial - Machinery industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
ACM
20.16%
Engineering & Construction Industry
- Max
- 32.30%
- Q3
- 7.09%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ACM’s Dividend Payout Ratio of 20.16% is in the upper quartile for the Engineering & Construction industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
OTIS
40.59%
Industrial - Machinery Industry
- Max
- 78.48%
- Q3
- 36.22%
- Median
- 20.24%
- Q1
- 0.00%
- Min
- 0.00%
OTIS’s Dividend Payout Ratio of 40.59% is in the upper quartile for the Industrial - Machinery industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | ACM | OTIS |
|---|---|---|
| Dividend Yield (TTM) | 0.86% | 1.60% |
| Dividend Payout Ratio (TTM) | 20.16% | 40.59% |
Valuation
Price-to-Earnings Ratio
ACM
24.84
Engineering & Construction Industry
- Max
- 95.41
- Q3
- 56.70
- Median
- 32.28
- Q1
- 22.94
- Min
- 4.72
ACM’s P/E Ratio of 24.84 is within the middle range for the Engineering & Construction industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
OTIS
25.71
Industrial - Machinery Industry
- Max
- 47.62
- Q3
- 34.41
- Median
- 27.36
- Q1
- 21.62
- Min
- 10.96
OTIS’s P/E Ratio of 25.71 is within the middle range for the Industrial - Machinery industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ACM
2.51
Engineering & Construction Industry
- Max
- 4.99
- Q3
- 3.64
- Median
- 2.51
- Q1
- 1.64
- Min
- 0.03
The Forward PEG Ratio is often not a primary valuation metric in the Engineering & Construction industry.
OTIS
2.64
Industrial - Machinery Industry
- Max
- 6.15
- Q3
- 3.53
- Median
- 2.82
- Q1
- 1.71
- Min
- 0.09
The Forward PEG Ratio is often not a primary valuation metric in the Industrial - Machinery industry.
Price-to-Sales Ratio
ACM
0.95
Engineering & Construction Industry
- Max
- 3.34
- Q3
- 2.05
- Median
- 1.50
- Q1
- 0.83
- Min
- 0.44
ACM’s P/S Ratio of 0.95 aligns with the market consensus for the Engineering & Construction industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
OTIS
2.77
Industrial - Machinery Industry
- Max
- 8.37
- Q3
- 4.59
- Median
- 3.34
- Q1
- 1.83
- Min
- 0.32
OTIS’s P/S Ratio of 2.77 aligns with the market consensus for the Industrial - Machinery industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ACM
6.71
Engineering & Construction Industry
- Max
- 10.70
- Q3
- 7.33
- Median
- 4.69
- Q1
- 2.53
- Min
- 0.79
ACM’s P/B Ratio of 6.71 is within the conventional range for the Engineering & Construction industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
OTIS
-7.70
Industrial - Machinery Industry
- Max
- 7.49
- Q3
- 5.01
- Median
- 3.41
- Q1
- 2.45
- Min
- 0.01
OTIS has a negative P/B Ratio of -7.70, indicating its liabilities exceed its assets and result in negative shareholder equity. This is a critical warning sign of financial distress.
Valuation at a Glance
| Symbol | ACM | OTIS |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 24.84 | 25.71 |
| Forward PEG Ratio (TTM) | 2.51 | 2.64 |
| Price-to-Sales Ratio (P/S, TTM) | 0.95 | 2.77 |
| Price-to-Book Ratio (P/B, TTM) | 6.71 | -7.70 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 18.31 | 27.03 |
| EV-to-EBITDA (TTM) | 14.51 | 21.90 |
| EV-to-Sales (TTM) | 1.04 | 3.25 |