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EMR vs. OTIS: Emerson Electric vs. Otis Worldwide Stock Comparison

How do Emerson Electric (EMR) and Otis Worldwide (OTIS) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Emerson Electric (EMR) and Otis Worldwide (OTIS) both fall under the Capital Goods industry group, but EMR is classified in Electrical Equipment while OTIS is classified in Machinery.

Emerson Electric (EMR) has more than two decades of public-market history since June 1, 1972, whereas Otis Worldwide (OTIS) listed on March 19, 2020 and has a much shorter record to draw on.

Company profile comparison for Emerson Electric (EMR) and Otis Worldwide (OTIS)
Profile ItemEMROTIS
NameEmerson Electric Co.Otis Worldwide Corporation
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryElectrical EquipmentMachinery
GICS Sub-IndustryElectrical Components & EquipmentIndustrial Machinery & Supplies & Components
Market Capitalization90.56 billion USD30.06 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJune 1, 1972March 19, 2020
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

EMR
OTIS
GSPC
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Emerson Electric (EMR) and Otis Worldwide (OTIS). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Emerson Electric (EMR) and Otis Worldwide (OTIS). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
Total Return (1Y)34.39%-10.81%
Total Return (3Y, Annualized)28.46%1.33%
Total Return (5Y, Annualized)14.17%0.66%

Risk Profile

Drawdown History

EMR
OTIS
GSPC
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Emerson Electric (EMR) and Otis Worldwide (OTIS). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
Volatility (1Y, Annualized)32.47%23.24%
Beta (5Y)1.200.85
Max Drawdown (5Y)-29.61%-37.22%
Avg. Volume (3M)2.61M4.42M

Risk-Adjusted Performance

Risk-Return Positioning

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EMR and OTIS are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
Sharpe Ratio (1Y)0.93-0.65
Sortino Ratio (1Y)1.37-0.92

Profitability

ROE (TTM)

Capital efficiency shows on one side only: Emerson Electric (EMR) earns 13.12% on shareholders’ equity, ranked against its industry; Otis Worldwide (OTIS) has no ROE this period.

EMR

Capital Goods industry group

13.12%

Max
40.55%
Q3
19.29%
EMR
13.12%
Median
12.12%
Q1
4.08%
Min
-17.12%

OTIS

Capital Goods industry group

--

Max
40.55%
Q3
19.29%
Median
12.12%
Q1
4.08%
Min
-17.12%
OTIS
--
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): OTIS does not report ROE, so it has no value marker; EMR is benchmarked against the Capital Goods industry group.

Net Margin (TTM)

Emerson Electric (EMR) at 14.18% retains a top-quartile share of revenue as profit, ahead of Otis Worldwide (OTIS) at 10.28%, which keeps about the industry-typical share.

EMR

Capital Goods industry group

14.18%

Max
27.47%
EMR
14.18%
Q3
12.10%
Median
6.30%
Q1
1.40%
Min
-12.89%

OTIS

Capital Goods industry group

10.28%

Max
27.47%
Q3
12.10%
OTIS
10.28%
Median
6.30%
Q1
1.40%
Min
-12.89%
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Emerson Electric (EMR) at 25.90% operates in the top operating margin quartile, ahead of Otis Worldwide (OTIS) at 15.97%, which runs around its industry’s norm.

EMR

Capital Goods industry group

25.90%

Max
36.60%
EMR
25.90%
Q3
18.33%
Median
11.12%
Q1
5.14%
Min
-12.63%

OTIS

Capital Goods industry group

15.97%

Max
36.60%
Q3
18.33%
OTIS
15.97%
Median
11.12%
Q1
5.14%
Min
-12.63%
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
ROE (TTM)13.12%--
ROA (TTM)5.98%13.26%
Net Margin (TTM)14.18%10.28%
Operating Margin (TTM)25.90%15.97%
Gross Margin (TTM)53.36%29.95%

Growth

Revenue Growth

Only one side can be read here: Otis Worldwide (OTIS) reports revenue growth of 1.19%, ranked against its industry; Emerson Electric (EMR) has no revenue growth figure this period.

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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Emerson Electric (EMR) at 18.56% and Otis Worldwide (OTIS) at -14.00% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
Revenue Growth (YoY)--1.19%
Revenue Growth (3Y CAGR)--1.79%
EPS Growth (YoY)18.56%-14.00%
EPS Growth (3Y CAGR)-40.62%5.74%

Financial Strength

Current Ratio (MRQ)

Both Emerson Electric (EMR) at 0.94 and Otis Worldwide (OTIS) at 0.86 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

EMR

Capital Goods industry group

0.94

Max
5.22
Q3
2.95
Median
2.08
Q1
1.43
EMR
0.94
Min
0.36

OTIS

Capital Goods industry group

0.86

Max
5.22
Q3
2.95
Median
2.08
Q1
1.43
OTIS
0.86
Min
0.36
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Only one side’s leverage can be read here: Emerson Electric (EMR) carries debt-to-equity ratio of 0.59 against its industry range, while Otis Worldwide (OTIS) reports no figure this period.

EMR

Capital Goods industry group

0.59

Max
2.33
Q3
1.12
Median
0.60
EMR
0.59
Q1
0.29
Min
0.00

OTIS

Capital Goods industry group

--

Max
2.33
Q3
1.12
Median
0.60
Q1
0.29
Min
0.00
OTIS
--
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): OTIS does not report debt-to-equity ratio, so it has no value marker; EMR is benchmarked against the Capital Goods industry group.

Financial Strength Metrics

Financial strength metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
Current Ratio (MRQ)0.940.86
Debt / Equity (MRQ)0.59--
Net Debt / EBITDA1.893.12

Dividends

Dividend Yield (TTM)

Emerson Electric (EMR) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Otis Worldwide (OTIS) reports a yield of 2.16%, ranking against industry peers normally.

EMR

Capital Goods industry group

0.00%

Max
2.66%
Q3
1.14%
Median
0.24%
EMR
0.00%
Q1
0.00%
Min
0.00%

OTIS

Capital Goods industry group

2.16%

Max
2.66%
OTIS
2.16%
Q3
1.14%
Median
0.24%
Q1
0.00%
Min
0.00%
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Both Emerson Electric (EMR) at 48.51% and Otis Worldwide (OTIS) at 42.79% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

EMR

Capital Goods industry group

48.51%

Max
67.39%
EMR
48.51%
Q3
28.02%
Median
6.86%
Q1
0.00%
Min
0.00%

OTIS

Capital Goods industry group

42.79%

Max
67.39%
OTIS
42.79%
Q3
28.02%
Median
6.86%
Q1
0.00%
Min
0.00%
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
Dividend Yield (TTM)0.00%2.16%
Dividend Payout Ratio (TTM)48.51%42.79%

Valuation

P/E Ratio (TTM)

Both Emerson Electric (EMR) at 33.89 and Otis Worldwide (OTIS) at 19.64 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

EMR

Capital Goods industry group

33.89

Max
59.38
Q3
35.92
EMR
33.89
Median
25.41
Q1
19.47
Min
3.03

OTIS

Capital Goods industry group

19.64

Max
59.38
Q3
35.92
Median
25.41
OTIS
19.64
Q1
19.47
Min
3.03
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Otis Worldwide (OTIS) at 1.99 is priced about in line with its industry on P/S ratio, while Emerson Electric (EMR) at 4.77 sits in the pricier quartile — EMR costs more per dollar of sales.

EMR

Capital Goods industry group

4.77

Max
7.54
EMR
4.77
Q3
3.76
Median
2.15
Q1
1.03
Min
0.03

OTIS

Capital Goods industry group

1.99

Max
7.54
Q3
3.76
Median
2.15
OTIS
1.99
Q1
1.03
Min
0.03
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Otis Worldwide (OTIS) reports a negative P/B ratio of -5.54, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Emerson Electric (EMR) reports 4.38, ranking against industry peers normally.

EMR

Capital Goods industry group

4.38

Max
9.66
Q3
5.00
EMR
4.38
Median
3.12
Q1
1.81
Min
-1.08

OTIS

Capital Goods industry group

-5.54

Max
9.66
Q3
5.00
Median
3.12
Q1
1.81
Min
-1.08
OTIS
-5.54
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Emerson Electric (EMR) vs. Otis Worldwide (OTIS): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Emerson Electric (EMR) and Otis Worldwide (OTIS)
MetricEMROTIS
P/E Ratio (TTM)33.8919.64
P/S Ratio (TTM)4.771.99
P/B Ratio (MRQ)4.38-5.54
Free Cash Flow Yield (TTM)3.85%4.61%