Zoetis (NYSE:ZTS) Trading Down 6.2% on Analyst Downgrade

Zoetis Inc. (NYSE:ZTS) shares were down 6.2% during mid-day trading on Friday after JPMorgan Chase & Co. lowered their price target on the stock from $130.00 to $115.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. Zoetis traded as low as $72.34 and last traded at $72.5090. 7,805,101 shares traded hands during mid-day trading, an increase of 35% from the average session volume of 5,760,366 shares. The stock had previously closed at $77.27.

Several other research firms have also recently weighed in on ZTS. William Blair reissued a “market perform” rating on shares of Zoetis in a research report on Thursday. Citigroup cut their target price on shares of Zoetis from $145.00 to $112.00 and set a “buy” rating for the company in a research note on Monday, May 18th. Argus reissued a “hold” rating on shares of Zoetis in a report on Wednesday, May 27th. Barclays dropped their price objective on shares of Zoetis from $136.00 to $85.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 1st. Finally, Morgan Stanley set a $85.00 price objective on shares of Zoetis in a research report on Friday. Seven investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $115.92.

Insider Buying and Selling at Zoetis

In other Zoetis news, Director Frank A. Damelio purchased 6,650 shares of the stock in a transaction on Wednesday, May 13th. The shares were purchased at an average price of $75.39 per share, with a total value of $501,343.50. Following the acquisition, the director directly owned 21,458 shares of the company’s stock, valued at $1,617,718.62. This represents a 44.91% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Michael B. Mccallister acquired 3,000 shares of Zoetis stock in a transaction dated Monday, May 11th. The shares were acquired at an average cost of $77.76 per share, with a total value of $233,280.00. Following the completion of the acquisition, the director directly owned 24,524 shares in the company, valued at $1,906,986.24. This trade represents a 13.94% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have acquired 11,650 shares of company stock valued at $886,384 in the last 90 days. 0.22% of the stock is currently owned by company insiders.

Key Headlines Impacting Zoetis

Here are the key news stories impacting Zoetis this week:

• Positive Sentiment: Q2 earnings beat estimates: Zoetis reported adjusted earnings of $1.87 per share, ahead of the approximately $1.85 consensus and up from $1.76 a year earlier. However, revenue of $2.47 billion slightly missed expectations and was essentially flat year over year. Zoetis Surpasses Q2 Earnings Estimates
• Neutral Sentiment: Finance leadership change: Zoetis appointed James “Jay” Saccaro as executive vice president and chief financial officer, with reports also describing an expanded chief operating officer role. The change could support execution, but it is unlikely to offset the near-term demand concerns. Zoetis Appoints Jay Saccaro
• Negative Sentiment: 2026 guidance was cut materially: Zoetis now expects adjusted earnings per share of $6.15-$6.25, below the roughly $6.87 analyst consensus, and revenue of $9.1-$9.3 billion versus estimates near $9.8 billion. The reduced forecast signals that management expects softer growth and lower profitability for the year. Zoetis Q2 Earnings Beat, Revenue Miss, 2026 View Cut
• Negative Sentiment: Companion Animal weakness deepened: Management cited lower veterinary traffic, greater customer price sensitivity and increased competition. Zoetis plans additional promotions to defend market share, which may pressure pricing and margins. ZTS Q2 Earnings Call Flags Deeper Companion Animal Pressure

Institutional Trading of Zoetis

Large investors have recently bought and sold shares of the stock. RFG Advisory LLC raised its holdings in shares of Zoetis by 4.9% during the fourth quarter. RFG Advisory LLC now owns 1,708 shares of the company’s stock worth $215,000 after purchasing an additional 80 shares during the period. Quest 10 Wealth Builders Inc. boosted its holdings in shares of Zoetis by 4.7% in the 4th quarter. Quest 10 Wealth Builders Inc. now owns 1,904 shares of the company’s stock valued at $240,000 after buying an additional 86 shares during the period. Financial Engines Advisors L.L.C. grew its position in shares of Zoetis by 4.4% during the 3rd quarter. Financial Engines Advisors L.L.C. now owns 2,043 shares of the company’s stock valued at $299,000 after buying an additional 87 shares during the last quarter. Generali Investments Towarzystwo Funduszy Inwestycyjnych grew its position in shares of Zoetis by 20.9% during the 4th quarter. Generali Investments Towarzystwo Funduszy Inwestycyjnych now owns 520 shares of the company’s stock valued at $65,000 after buying an additional 90 shares during the last quarter. Finally, Physician Wealth Advisors Inc. raised its stake in Zoetis by 17.4% during the first quarter. Physician Wealth Advisors Inc. now owns 615 shares of the company’s stock worth $73,000 after acquiring an additional 91 shares during the period. 92.80% of the stock is currently owned by institutional investors.

Zoetis Trading Down 6.1%

The company has a quick ratio of 1.91, a current ratio of 3.15 and a debt-to-equity ratio of 2.80. The firm’s 50 day moving average is $76.76 and its two-hundred day moving average is $100.95. The stock has a market cap of $30.43 billion, a price-to-earnings ratio of 12.00, a price-to-earnings-growth ratio of 1.16 and a beta of 0.74.

Zoetis (NYSE:ZTS) last posted its earnings results on Thursday, August 6th. The company reported $1.87 EPS for the quarter, beating the consensus estimate of $1.85 by $0.02. The company had revenue of $2.47 billion during the quarter, compared to analyst estimates of $2.50 billion. Zoetis had a return on equity of 66.85% and a net margin of 27.80%.The business’s revenue was down .2% compared to the same quarter last year. During the same period in the prior year, the company earned $1.76 earnings per share. Zoetis has set its FY 2026 guidance at 6.150-6.250 EPS. Equities analysts anticipate that Zoetis Inc. will post 6.87 EPS for the current year.

Zoetis Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Monday, July 20th will be given a dividend of $0.53 per share. The ex-dividend date is Monday, July 20th. This represents a $2.12 dividend on an annualized basis and a yield of 2.9%. Zoetis’s payout ratio is currently 35.16%.

Zoetis Company Profile

Zoetis Inc (NYSE: ZTS) is a global animal health company that develops, manufactures and markets a broad portfolio of products and services for companion animals and livestock. The company’s offerings include pharmaceuticals, vaccines and biologics, parasiticides and anti-infectives, as well as diagnostic instruments, consumables and laboratory testing services. Zoetis serves the veterinary community, livestock producers and other animal-health customers with products designed to prevent, detect and treat disease and to support animal productivity and welfare.

Zoetis traces its roots to the animal health business of Pfizer and became an independent, publicly traded company following a 2013 separation and initial public offering.