Otis Worldwide Corporation

OTIS: Is Otis Worldwide Corporation Halal?

Otis Worldwide Corporation

NYSEIndustrialsUS

$73.09

+1.51%

Market Cap: 28.0B

Compliance Status

Doubtful

Screened on Jul 19, 2026 · AAOIFI Standard 21

B+

Good

71Score

Is Otis Worldwide Corporation (OTIS) halal? Doubtful. Based on AAOIFI screening, Otis Worldwide Corporation passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 71/100 (Grade: B+).

Business activity

What the company sells is permissible.

Passed

Company debt

Close to the limit

How much the company borrows, compared to its total value. AAOIFI allows up to 30%.

27.5% of 30.0% limit

What this means for you

You may own OTIS, with caution

Its numbers sit close to AAOIFI limits. Cautious investors may prefer alternatives or ask a scholar first.

About Otis Worldwide Corporation

Otis Worldwide Corporation is a global leader specializing in the manufacturing, installation, and servicing of elevators and escalators, with significant operations in the United States, China, and numerous other international markets. The company's business is organized into two primary divisions: New Equipment and Service. Its New Equipment segment is responsible for the design, fabrication, sale, and fitting of a diverse array of passenger and freight elevators, escalators, and moving walkways, catering to residential and commercial properties, as well as large-scale infrastructure endeavors. Conversely, the Service segment offers extensive maintenance, repair, and modernization services aimed at upgrading existing elevator and escalator systems. Otis maintains a substantial global service footprint, employing approximately 34,000 service technicians across roughly 1,400 branches and offices. The company, established in 1853, is headquartered in Farmington, Connecticut.

Sector: Industrials · Industry: Industrial - Machinery

Why This Stock Is Doubtful

  • Debt is 27.5% of market cap, only 2.5 points below the 30% AAOIFI limit

Stocks are marked Doubtful when financial ratios pass but approach AAOIFI thresholds. Consider consulting a qualified scholar for a definitive ruling.

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 19, 2026

Compliance History

Doubtful, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Fiscal: Q1 2026Data source: EDGAR
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Frequently Asked Questions

Is Otis Worldwide Corporation (OTIS) halal to invest in?
Otis Worldwide Corporation (OTIS) is rated Doubtful under AAOIFI Standard 21. It passes the business activity screen but one or more financial ratios are approaching (though not yet exceeding) the AAOIFI thresholds (30% for debt and interest deposits, 5% for prohibited income). Consult a qualified Islamic finance scholar for a personal ruling.
Why did Otis Worldwide Corporation get a B+ compliance rating?
Otis Worldwide Corporation (OTIS) received a grade of B+ (Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 27.5% (limit 30%); interest-bearing deposits of 6.8% (limit 30%); prohibited income of 0.00% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Otis Worldwide Corporation's Shariah verdict?
Otis Worldwide Corporation's verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is Otis Worldwide Corporation re-screened for Shariah compliance?
Otis Worldwide Corporation (OTIS) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jul 19, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.