Critical Analysis: GE Vernova (NYSE:GEV) vs. Otis Worldwide (NYSE:OTIS)

GE Vernova (NYSE:GEV) and Otis Worldwide (NYSE:OTIS) are both large-cap oils/energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, profitability, dividends, valuation, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

88.0% of Otis Worldwide shares are owned by institutional investors. 0.2% of Otis Worldwide shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares GE Vernova and Otis Worldwide’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GE Vernova	$33.24 billion	1.38	-$438.00 million	N/A	N/A
Otis Worldwide	$14.21 billion	2.67	$1.41 billion	$3.46	27.14

Otis Worldwide has lower revenue, but higher earnings than GE Vernova.

Analyst Ratings

This is a summary of recent recommendations for GE Vernova and Otis Worldwide, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GE Vernova	0	2	7	0	2.78
Otis Worldwide	0	6	2	0	2.25

GE Vernova presently has a consensus price target of $158.56, suggesting a potential downside of 5.26%. Otis Worldwide has a consensus price target of $96.86, suggesting a potential upside of 3.16%. Given Otis Worldwide’s higher probable upside, analysts clearly believe Otis Worldwide is more favorable than GE Vernova.

Profitability

This table compares GE Vernova and Otis Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GE Vernova	N/A	N/A	N/A
Otis Worldwide	9.99%	-31.02%	14.79%

Summary

Otis Worldwide beats GE Vernova on 7 of the 11 factors compared between the two stocks.

About GE Vernova

GE Vernova LLC, an energy business company, generates electricity. It operates under three segments: Power, Wind, and Electrification. The Power segments generates and sells electricity through hydro, gas, nuclear, and steam power. Wind segment engages in the manufacturing and sale of wind turbine blades; and Electrification segment provides grid solutions, power conversion, solar, and storage solutions. The company was incorporated in 2023 and is based in Cambridge, Massachusetts. GE Vernova operates as a subsidiary of General Electric Company.

About Otis Worldwide

Otis Worldwide Corporation engages in manufacturing, installation, and servicing of elevators and escalators in the United States, China, and internationally. The company operates in two segments, New Equipment and Service. The New Equipment segment designs, manufactures, sells, and installs a range of passenger and freight elevators, as well as escalators and moving walkways for residential and commercial buildings, and infrastructure projects. This segment serves real-estate and building developers, and general contractors. It sells its products directly to customers, as well as through agents and distributors. The Service segment performs maintenance and repair services, as well as modernization services to upgrade elevators and escalators. Otis Worldwide Corporation was founded in 1853 and is headquartered in Farmington, Connecticut.