OTIS vs. NET

Last updated Jun 4, 2026

OTIS (Otis Worldwide Corporation) and NET (Cloudflare, Inc.) are both stocks. OTIS operates in Specialty Industrial Machinery (Industrials), while NET operates in Software - Infrastructure (Technology). Over the past 5 years, OTIS returned -1.06%/yr vs 26.14%/yr for NET. At a 0.20 correlation, their price movements are largely independent.

Performance

OTIS vs. NET - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Otis Worldwide Corporation (OTIS) and Cloudflare, Inc. (NET). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, OTIS achieves a -19.10% return, which is significantly lower than NET's 34.58% return.

OTIS

• 1D: -0.58%
• 1M: -7.30%
• YTD: -19.10%
• 6M: -18.72%
• 1Y: -24.82%
• 3Y*: -4.88%
• 5Y*: -1.06%
• 10Y*: —

NET

• 1D: -2.69%
• 1M: 18.36%
• YTD: 34.58%
• 6M: 29.84%
• 1Y: 53.75%
• 3Y*: 55.45%
• 5Y*: 26.14%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

OTIS vs. NET - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
OTIS Otis Worldwide Corporation	-19.10%	-3.99%	5.17%	16.04%	-8.76%	30.41%	50.78%
NET Cloudflare, Inc.	34.58%	83.09%	29.33%	84.16%	-65.62%	73.05%	267.28%

Correlation

The correlation between OTIS and NET is -0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.04
Correlation (3Y) Calculated over the trailing 3-year period	0.13
Correlation (5Y) Calculated over the trailing 5-year period	0.24
Correlation (All Time) Calculated using the full available price history since Mar 20, 2020	0.20

The correlation between OTIS and NET shifts across timeframes, from -0.04 (1 year) to 0.24 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap OTIS : $27.24B NET : $93.56B
EPS OTIS : $3.77 NET : -$0.25
PS Ratio OTIS : 1.88 NET : 39.70
Total Revenue (TTM) OTIS : $14.65B NET : $2.33B
Gross Profit (TTM) OTIS : $4.45B NET : $1.71B
EBITDA (TTM) OTIS : $2.44B NET : $168.53M

Return for Risk

OTIS vs. NET — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

OTIS

OTIS Risk / Return Rank: 6
OTIS Sharpe Ratio Rank: 3
OTIS Sortino Ratio Rank: 7
OTIS Omega Ratio Rank: 7
OTIS Calmar Ratio Rank: 9
OTIS Martin Ratio Rank: 2

NET

NET Risk / Return Rank: 67
NET Sharpe Ratio Rank: 69
NET Sortino Ratio Rank: 63
NET Omega Ratio Rank: 66
NET Calmar Ratio Rank: 68
NET Martin Ratio Rank: 67

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

OTIS vs. NET - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Otis Worldwide Corporation (OTIS) and Cloudflare, Inc. (NET). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	OTIS	NET	Difference
Sharpe ratio Return per unit of total volatility	-1.07	0.91	-1.98
Sortino ratio Return per unit of downside risk	-1.33	1.44	-2.77
Omega ratio Gain probability vs. loss probability	0.82	1.21	-0.39
Calmar ratio Return relative to maximum drawdown	-0.83	1.47	-2.30
Martin ratio Return relative to average drawdown	-1.73	3.18	-4.91
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

OTIS vs. NET - Sharpe Ratio Comparison

The current OTIS Sharpe Ratio is -1.07, which is lower than the NET Sharpe Ratio of 0.91. The chart below compares the historical Sharpe Ratios of OTIS and NET, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	OTIS	NET	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.07	0.91	-1.98
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.05	0.38	-0.43
Sharpe Ratio (All Time) Calculated using the full available price history	0.35	0.73	-0.38

Drawdowns

OTIS vs. NET - Drawdown Comparison

The maximum OTIS drawdown since its inception was -32.44%, smaller than the maximum NET drawdown of -82.58%. Use the drawdown chart below to compare losses from any high point for OTIS and NET.

Drawdown Indicators

	OTIS	NET	Difference
Max Drawdown Largest peak-to-trough decline	-32.44%	-82.58%	+50.14%
Max Drawdown (1Y) Largest decline over 1 year	-30.00%	-36.76%	+6.76%
Max Drawdown (3Y) Largest decline over 3 years	-32.44%	-45.00%	+12.56%
Max Drawdown (5Y) Largest decline over 5 years	-32.44%	-82.58%	+50.14%
Current Drawdown Current decline from peak	-31.88%	-2.69%	-29.19%
Average Drawdown Average peak-to-trough decline	-8.90%	-37.64%	+28.74%
Ulcer Index Depth and duration of drawdowns from previous peaks	14.34%	16.95%	-2.61%

Volatility

OTIS vs. NET - Volatility Comparison

The current volatility for Otis Worldwide Corporation (OTIS) is 5.87%, while Cloudflare, Inc. (NET) has a volatility of 34.25%. This indicates that OTIS experiences smaller price fluctuations and is considered to be less risky than NET based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	OTIS	NET	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.87%	34.25%	-28.38%
Volatility (6M) Calculated over the trailing 6-month period	16.06%	52.77%	-36.71%
Volatility (1Y) Calculated over the trailing 1-year period	23.33%	59.15%	-35.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.07%	68.40%	-46.33%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	25.34%	67.78%	-42.44%

Dividends

OTIS vs. NET - Dividend Comparison

OTIS's dividend yield for the trailing twelve months is around 2.43%, while NET has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020
NET Cloudflare, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
OTIS Otis Worldwide Corporation	2.43%	1.89%	1.63%	1.46%	1.42%	1.06%	0.89%

Financials

OTIS vs. NET - Profitability Comparison

The chart below illustrates the profitability comparison between Otis Worldwide Corporation and Cloudflare, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

OTIS - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Otis Worldwide Corporation reported a gross profit of 1.08B and revenue of 3.57B. Therefore, the gross margin over that period was 30.3%.

NET - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Cloudflare, Inc. reported a gross profit of 455.60M and revenue of 639.76M. Therefore, the gross margin over that period was 71.2%.

OTIS - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Otis Worldwide Corporation reported an operating income of 539.00M and revenue of 3.57B, resulting in an operating margin of 15.1%.

NET - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Cloudflare, Inc. reported an operating income of -61.99M and revenue of 639.76M, resulting in an operating margin of -9.7%.

OTIS - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Otis Worldwide Corporation reported a net income of 340.00M and revenue of 3.57B, resulting in a net margin of 9.5%.

NET - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Cloudflare, Inc. reported a net income of -22.93M and revenue of 639.76M, resulting in a net margin of -3.6%.

Frequently Asked Questions

Can I hold both OTIS and NET in my portfolio?

OTIS and NET have a correlation of -0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, OTIS or NET?

NET has higher volatility (34.25%) compared to OTIS (5.87%). In terms of maximum drawdown, OTIS dropped -32.44% vs NET's -82.58%.

Which has better risk-adjusted returns?

NET currently has the higher Sharpe Ratio (0.91 vs -1.07), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.