Zoetis Inc.
- Open
- 77.20
- Day high
- 78.05
- Day low
- 75.68
- Prev close
- 76.89
- Volume
- 7.3M
- Mkt cap
- $32.1B
- P/E (TTM)
- 12.7
- EPS (TTM)
- $6.04
- P/B
- 9.9
- P/S
- 3.4
- Yield
- 0.69%
- Per share
- $0.53
- ▲Insiders net buying $886K over the last 3 months (3 open-market buys, 0 sales)
- ◆Cluster buying — multiple insiders bought within days
- 🏛Institutions reducing (13F)
Zoetis Inc. (ZTS) is a Healthcare company listed on NYSE. The stock is down 48% over the past year. Over the trailing 3 months, insiders filed 3 open-market buys and 0 sales (SEC Form 4). Drillr has 1 published research article covering ZTS.
Zoetis Inc. (ZTS) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 8 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
ZTS earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 7, 2026 | $1.60 | $1.53 | -4.4% | $2.3B | -1.7% |
| Feb 12, 2026 | $1.40 | $1.48 | +5.7% | $2.4B | +1.1% |
| Feb 13, 2025 | $1.37 | $1.40 | +2.2% | $2.3B | +0.9% |
| May 2, 2024 | $1.34 | $1.38 | +3.0% | $2.2B | +1.7% |
| Feb 13, 2024 | $1.32 | $1.24 | -6.1% | $2.2B | +1.1% |
| Nov 2, 2023 | $1.36 | $1.36 | +0.0% | $2.2B | -1.4% |
| May 4, 2023 | $1.26 | $1.31 | +4.0% | $2.0B | -0.6% |
| Feb 14, 2023 | $1.05 | $1.15 | +9.5% | $2.0B | +1.8% |
| Nov 3, 2022 | $1.24 | $1.21 | -2.4% | $2.0B | -3.9% |
| Aug 4, 2022 | $1.22 | $1.20 | -1.6% | $2.1B | +1.3% |
| May 5, 2022 | $1.23 | $1.32 | +7.3% | $2.0B | +0.4% |
| Feb 15, 2022 | $0.96 | $1.00 | +4.2% | $2.0B | +1.8% |
ZTS insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 14, 2026 | PECK KRISTIN Cdirector, officer: Chief Executive Officer | Grant | 616 | — |
| Jul 14, 2026 | Nayak Abhay Uofficer: Executive Vice President | Grant | 215 | — |
| Jul 14, 2026 | Ferran Astorga Jeannetteofficer: Executive Vice President | Grant | 45 | — |
| Jul 14, 2026 | Joseph Wettenyofficer: Chief Financial Officer | Grant | 363 | — |
| Jul 14, 2026 | Esch Kevinofficer: Executive Vice President | Grant | 308 | — |
| Jul 14, 2026 | FULLER JULIEofficer: Executive Vice President | Grant | 315 | — |
| Jul 14, 2026 | Driscoll Rimmaofficer: Executive Vice President | Grant | 238 | — |
| Jul 14, 2026 | Lagano Roxanneofficer: Executive Vice President | Grant | 315 | — |
| Jul 14, 2026 | Sarbaugh Keithofficer: Executive Vice President | Grant | 260 | — |
| Jun 22, 2026 | Stetter Markdirector | Grant | 318 | — |
| May 26, 2026 | Stetter Markdirector | Option | 1,572 | — |
| May 26, 2026 | Stetter Markdirector | Option | 1,572 | — |
| May 21, 2026 | PARENT LOUISE Mdirector | Option | 10,186 | — |
| May 21, 2026 | PARENT LOUISE Mdirector | Option | 10,187 | — |
| May 21, 2026 | PARENT LOUISE Mdirector | Option | 1,944 | — |
Source: ZTS SEC Form 4 filings, latest Jul 14, 2026. For informational purposes only — not investment advice.
See the full ZTS insider & 13F page →ZTS research & analysis
Zoetis Inc. company profile
Overview
Zoetis Inc. (NYSE:ZTS) is the world's largest animal health company, founded in 1952 and spun off from Pfizer in 2013 through an initial public offering. Headquartered in Parsippany, New Jersey, the company has evolved from a pharmaceutical division into an independent leader in veterinary medicine, serving both companion animals and livestock across global markets. With operations spanning the United States and international markets, Zoetis has established itself as a dominant force in animal healthcare through decades of scientific innovation and strategic market expansion.
Business
Zoetis operates in the animal health industry, which encompasses veterinary medicines, vaccines, diagnostics, and related products for both companion animals (pets) and livestock. The animal health sector is a specialized segment of the broader pharmaceutical industry, focused specifically on preventing, treating, and managing diseases in animals rather than humans. The company's business is organized around two primary market segments. The Companion Animal segment represents approximately 70% of total revenue and focuses on dogs, cats, and horses. This segment includes parasiticides (products that prevent or eliminate fleas, ticks, and worms), dermatology treatments for skin conditions and allergies, pain management solutions including breakthrough monoclonal antibody therapies, vaccines, and diagnostic products. Key flagship products include Simparica Trio (a triple-combination oral parasiticide), Apoquel (a dermatology treatment for itching and allergic conditions), and Librela/Solensia (monoclonal antibody treatments for osteoarthritis pain in dogs and cats respectively). The Livestock segment accounts for roughly 30% of revenue and serves cattle, swine, poultry, fish, and sheep producers. This segment provides vaccines to prevent respiratory, gastrointestinal, and reproductive tract diseases, anti-infectives that combat bacteria and other pathogens, parasiticides for internal and external parasites, and medicated feed additives that deliver medicines through animal feed. The livestock business also includes reproductive products, nutritionals, and precision animal health services including genetic testing and biodevices. Additionally, Zoetis operates a growing diagnostics business that provides portable blood and urine analysis equipment, point-of-care diagnostic products, laboratory testing services, and blood glucose monitors for veterinary practices. This segment supports both companion animal and livestock markets by enabling faster, more accurate disease detection and health monitoring.
Revenue model
Zoetis generates revenue primarily through direct product sales to veterinarians, livestock producers, and retail outlets, as well as through third-party veterinary distributors. The company employs a traditional pharmaceutical business model where it discovers, develops, manufactures, and commercializes proprietary animal health products, then sells them at premium prices during patent protection periods. The company's customer base consists of veterinarians who prescribe and dispense companion animal products, livestock producers who purchase vaccines and treatments for their animals, and retail outlets that sell over-the-counter animal health products. For companion animals, pet owners ultimately bear the cost but veterinarians serve as the primary decision-makers and purchasers. In livestock, farmers and producers make direct purchasing decisions based on economic returns from healthier, more productive animals. Zoetis benefits from several factors that support pricing power and margin expansion. The human-animal bond drives pet owners' willingness to spend on essential healthcare regardless of economic conditions, creating relatively inelastic demand for companion animal products. An aging pet population requires more medical interventions, while younger pet owners (millennials and Gen Z) demonstrate higher spending propensity on pet healthcare. The company's innovative products, particularly in growing categories like dermatology and pain management, command premium pricing due to superior efficacy and safety profiles. However, margins face pressure from generic competition as patents expire, particularly in the livestock segment where price sensitivity is higher. Manufacturing costs, raw material inflation, and regulatory compliance expenses also impact profitability. Currency fluctuations affect international revenue translation, while potential tariffs and trade restrictions could increase supply chain costs. The company's significant investment in research and development (necessary to maintain its innovation pipeline) represents an ongoing margin headwind, though successful product launches ultimately drive long-term profitability growth.
Competitive moat
Zoetis possesses a strong competitive moat built on multiple reinforcing advantages that create significant barriers to entry and competitive threats. The company's primary moat stems from its extensive regulatory expertise and patent portfolio. Developing animal health products requires navigating complex regulatory pathways across multiple species and jurisdictions, a capability that takes decades to build and represents a substantial barrier for new entrants. The company's deep regulatory knowledge and established relationships with agencies like the FDA's Center for Veterinary Medicine provide significant advantages in bringing new products to market efficiently. The company benefits from powerful network effects in its veterinary relationships. With over 10,000 veterinarians trained on Zoetis products and established distribution channels, the company enjoys preferred access to the primary decision-makers in companion animal healthcare. Veterinarians tend to be conservative in switching products due to familiarity, proven efficacy, and established protocols, creating customer stickiness that protects market share. Scale advantages in research and development provide another moat layer. Zoetis invests heavily in R&D across multiple therapeutic areas and species, spreading costs across a large revenue base that smaller competitors cannot match. The company's manufacturing scale enables cost efficiencies and quality consistency that are difficult for competitors to replicate. However, the moat faces several challenges. Patent expiration creates ongoing threats as generic competitors can enter with significantly lower-priced alternatives, particularly in livestock markets where price sensitivity is higher. Large pharmaceutical companies with human health expertise (like Elanco, Merck Animal Health, and Boehringer Ingelheim) possess the resources and capabilities to compete effectively. The emergence of new therapeutic modalities, particularly in biotechnology and precision medicine, could potentially disrupt existing treatment paradigms. Additionally, the companion animal market's attractiveness continues to draw new entrants, including venture-backed startups and established companies expanding into animal health.
Risks & safety
Zoetis demonstrates a strong margin of safety with solid financial fundamentals and reasonable valuation metrics, though not exceptionally cheap. • Financial Strength: The company maintains $1.98 billion in cash and short-term investments with strong free cash flow generation of $2.3 billion annually. Current ratio of 1.75 indicates adequate liquidity, though debt-to-equity of 1.41 shows moderate leverage. • Profitability: Strong return on equity of 52% (annual) and consistent EBITDA margins around 42% demonstrate efficient capital allocation and profitable operations. • Valuation Metrics: Trading at 29.8x P/E ratio and 20.3x EV/EBITDA, which represents a premium to broader market but reasonable for a quality healthcare company with strong growth prospects. • Debt Management: While debt levels are moderate, the company generates substantial operating cash flow ($2.95 billion annually) providing ample coverage for debt service and capital allocation. • Other Considerations: Diversified revenue streams across companion animal and livestock segments, strong recurring revenue characteristics, and defensive end-market demand provide stability during economic downturns.
Recent development
Over the past several years, Zoetis has executed a strategic transformation focused on high-growth, high-margin companion animal products while selectively investing in livestock innovation. The company's most significant development has been the successful launch and rapid scaling of Librela and Solensia, monoclonal antibody therapies for osteoarthritis pain in dogs and cats. These products have achieved remarkable growth, reaching $581 million in global revenue by 2024 with 80% operational growth, representing a breakthrough in pain management that has expanded the treatable market significantly. The company has strengthened its position in parasiticides through continued investment in the Simparica franchise, which reached $1.4 billion in revenue by 2024 with 28% operational growth. The triple-combination Simparica Trio has become the number one prescribed parasiticide in the U.S., capturing 35% of the puppy market and treating over 13 million dogs annually. This success demonstrates Zoetis's ability to innovate within established categories and capture market share through superior product profiles. In dermatology, the company has maintained leadership with its Key Dermatology franchise generating $1.6 billion in revenue with 17% operational growth. Despite competitive pressures, products like Apoquel continue to expand the market by converting previously untreated cases, with significant opportunities remaining among the estimated 11 million dogs with dermatological conditions in the U.S. Strategically, Zoetis has focused its portfolio by divesting non-core assets, including the planned sale of its Medicated Feed Additives business to Phibro Animal Health. This divestiture allows the company to concentrate resources on higher-growth, higher-margin opportunities while maintaining focus on innovation-driven categories. The company has also expanded its precision animal health capabilities through partnerships, including a genetic testing collaboration with Danone, positioning for future growth in data-driven animal health solutions.
ZTS company profile · for informational purposes only — not investment advice.
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