# Zoetis Inc. (ZTS)

> Source: Nexqual · https://nexqual.com/ZTS · data as of 2026-10-22 20:03 UTC · cite as "Nexqual, Zoetis Inc. (ZTS), nexqual.com/ZTS" · informational, not investment advice.

**Price:** USD 82 (+2.99% on the day) · last close of Oct 22, 2026; US market pre market, not a live price. Prev close 79.62 · day 79.91–82.29 · 52w 68.77–147.93 · market cap $33.9B · NYQ

## Key facts
- Last four reported quarters (through Jun 30, 2026): revenue $9.52B, net income $2.62B (27.5% margin), free cash flow $2.32B (SEC filings).
- Valuation: P/E 13.0x (avg 29.9x at the last 3 fiscal year-ends), net debt $7.37B.
- 5 of 80 tracked superinvestors hold ZTS (13F, Q2 2026): 2 new, 1 added, 2 reduced, 0 unchanged.
- Insider open-market purchases, last ~7 months: 3 Form 4 filings, $886K; 0 by opportunistic insiders, 0 by routine insiders.
- Analysts: Buy (mean 2.47 on a 1–5 scale) (17 analysts), mean target USD 93 (range 74–155).
- Total return with dividends: 1Y -42.9% vs S&P 500 +14.9%; 5Y -58.4% vs S&P 500 +80.3%.
- Next earnings: 2026-11-05, EPS estimate USD 1.51, revenue estimate $2.30B.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $7.78B | $8.08B | $8.54B | $9.26B | $9.47B | $9.52B |
| Gross profit | $5.47B | $5.63B | $5.98B | $6.54B | $6.80B | — |
| Net income | $2.04B | $2.11B | $2.34B | $2.49B | $2.67B | $2.62B |
| EPS (diluted) | $4.27 | $4.49 | $5.07 | $5.47 | $6.02 | — |
| Free cash flow | $1.74B | $1.33B | $1.62B | $2.30B | $2.28B | $2.32B |
| Gross margin | 70.4% | 69.6% | 70.0% | 70.6% | 71.8% | — |
| Net margin | 26.2% | 26.2% | 27.4% | 26.9% | 28.2% | 27.5% |
| Revenue growth | +16.5% | +3.9% | +5.7% | +8.3% | +2.3% | — |
| Cash + short-term investments | — | $3.58B | $2.04B | $1.99B | $2.45B | — |
| Total debt | $6.59B | $7.90B | $6.56B | $6.57B | $9.04B | — |
Fiscal years end Dec. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 30, 2026)
P/E 13.0x · P/S 3.6x · EV/Sales 4.3x · P/FCF 14.6x · P/B 10.8x · FCF yield 6.84% · Earnings yield 7.72% · Buyback yield (TTM) 10.75% · Net debt $7.37B · EV $41.3B
P/E at fiscal year-ends: Dec 2025 20.9x, Dec 2024 29.8x, Dec 2023 38.9x.

## Superinvestors (SEC 13F-HR, Q2 2026)
5 of 80 tracked investors hold ZTS. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| Tweedy Browne |  | 3.03% | $40.0M | New position |
| Ruane Cunniff | Ruane Cunniff LP | 2.63% | $169M | Reduced -3.0% |
| Mairs & Power | Mairs & Power Funds | 0.31% | $33.6M | Added +54.2% |
| Polen Capital | Polen Capital Management | 0.20% | $23.0M | Reduced -92.4% |
| Thomas Gayner | Markel Group | 0.04% | $4.8M | New position |

## Insider purchases (SEC Form 4, open-market, last ~7 months)
3 purchases, $886K. Private placements, offerings, dividend reinvestment and employee stock purchase plan buys are excluded.
| Trade date | Insider | Role | Shares | Value | Avg price | Insider type |
|---|---|---|---|---|---|---|
| 2026-05-13 | Damelio Frank A | Director | 6,650 | $501K | 75.39 | Too little history (no open-market trades in 2023–2025) |
| 2026-05-13 | Bisaro Paul | Director | 2,000 | $152K | 75.88 | Too little history (no open-market trades in 2023–2025) |
| 2026-05-11 | McCallister Michael B | Director | 3,000 | $233K | 77.76 | Too little history (no open-market trades in 2023–2025) |
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.

## Analysts
Consensus Buy (mean 2.47 on a 1–5 scale), 17 analysts; mean target USD 93 (low 74, high 155).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-10-20 | Jefferies | Downgrade | Buy → Hold | $103 → $83 |
| 2026-10-16 | Goldman Sachs | Initiated | Neutral | $74 |
| 2026-08-25 | TD Cowen | Target lowered | Buy | $104 → $94 |
| 2026-08-20 | Stifel | Target lowered | Hold | $85 → $80 |
| 2026-08-11 | Citigroup | Target lowered | Buy | $112 → $96 |
| 2026-08-11 | BNP Paribas | Target lowered | Outperform | $146 → $110 |
| 2026-08-10 | Piper Sandler | Target lowered | Neutral | $90 → $80 |
| 2026-08-07 | UBS | Target lowered | Neutral | $85 → $80 |
| 2026-08-07 | JP Morgan | Target lowered | Overweight | $130 → $115 |
| 2026-08-06 | William Blair | Downgrade | Outperform → Market Perform |  |
| 2026-07-27 | UBS | Target lowered | Neutral | $99 → $85 |
| 2026-07-22 | Morgan Stanley | Target lowered | Overweight | $115 → $99 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-18) |
|---|---|---|
| Total return | -42.9% | -58.4% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | -43.0% | -16.1% |
| Volatility (annualized) | 40.5% | 31.7% |
| Max drawdown | -52.3% (Oct 2025→Oct 2026) | -69.8% (Dec 2021→Sep 2026) |

## Peers (Drug Manufacturers - Specialty & Generic)
HLN (Haleon plc) USD 10.37 +3.49% · UTHR (United Therapeutics Corporation) USD 584.79 +3.78% · TEVA (Teva Pharmaceutical Industries ) USD 40.21 -1.01% · VTRS (Viatris Inc.) USD 18.48 +0.16% · TAK (Takeda Pharmaceutical Company L) USD 20.36 +2.16% · NBIX (Neurocrine Biosciences, Inc.) USD 143.29 +1.40%

## More
Full page: https://nexqual.com/ZTS · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Supply chain and relationships (SEC annual reports)

Named in ZTS's own 10-K filed 2026-02-12 (https://www.sec.gov/Archives/edgar/data/1555280/000155528026000011/zts-20251231.htm):

| Relationship | Company | Sentence in the filing |
|---|---|---|
| Partner | Pfizer (PFE) | "Under the Patent and Know-How License Agreement (Pfizer as licensor) Pfizer licenses to us certain of its intellectual property." |

## Revenue by business segment (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| U.S. | $1.27B | 51.3% | -6.6% |
| International | $1.17B | 47.5% | +8.1% |
| Total revenue | $2.47B | 100% | — |

## Revenue by product line (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Total products and services | $2.44B | 98.8% | -0.1% |
| Dogs and Cats | $1.63B | 66.2% | -4.9% |
| Companion Animal | $1.04B | 42.3% | -11.2% |
| Parasiticides | $698.0M | 28.3% | +5.8% |
| Vaccines | $521.0M | 21.1% | +2.2% |
| — Livestock (part of Vaccines) | $222.0M | 9.0% | +23.3% |
| — Swine (part of Vaccines) | $117.0M | 4.7% | -0.8% |
| — Fish (part of Vaccines) | $83.0M | 3.4% | +2.5% |
| — Horses (part of Vaccines) | $74.0M | 3.0% | +4.2% |
| — Sheep and other (part of Vaccines) | $26.0M | 1.1% | +4.0% |
| Dermatology | $398.0M | 16.1% | -15.9% |
| Cattle | $390.0M | 15.8% | +20.7% |
| — Other pharmaceutical (part of Cattle) | $168.0M | 6.8% | -4.0% |
| — Animal health diagnostics (part of Cattle) | $123.0M | 5.0% | +11.8% |
| — Other Non Pharmaceuticals (part of Cattle) | $70.0M | 2.8% | +2.9% |
| — Contract manufacturing & human health (part of Cattle) | $29.0M | 1.2% | -12.1% |
| Anti-infectives | $244.0M | 9.9% | +9.9% |
| Pain and sedation | $217.0M | 8.8% | -2.7% |
| Poultry | $115.0M | 4.7% | +10.6% |
| Total revenue | $2.47B | 100% | — |
The lines above cover 312% of total revenue.

## Revenue by region (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Total geographical area | $2.44B | 98.8% | -0.1% |
| United States | $1.27B | 51.3% | -6.6% |
| Other emerging markets | $269.0M | 10.9% | +20.6% |
| — Brazil (part of Other emerging markets) | $103.0M | 4.2% | +10.8% |
| — Australia (part of Other emerging markets) | $94.0M | 3.8% | +13.3% |
| — Canada (part of Other emerging markets) | $72.0M | 2.9% | +1.4% |
| Other developed markets | $187.0M | 7.6% | +6.9% |
| — Germany (part of Other developed markets) | $69.0M | 2.8% | +21.1% |
| — Spain (part of Other developed markets) | $43.0M | 1.7% | +7.5% |
| — Japan (part of Other developed markets) | $41.0M | 1.7% | -4.7% |
| — Chile (part of Other developed markets) | $34.0M | 1.4% | +0.0% |
| United Kingdom | $72.0M | 2.9% | -11.1% |
| China | $62.0M | 2.5% | -7.5% |
| Mexico | $47.0M | 1.9% | +20.5% |
| France | $40.0M | 1.6% | -4.8% |
| Italy | $40.0M | 1.6% | +8.1% |
| Total revenue | $2.47B | 100% | — |
The lines above cover 179.2% of total revenue.

## Customer concentration

Period ended 2025-12-31: 16% of revenue from unnamed direct customers (10-K, filed 2026-02-12).

## Company outlook (8-K filed 2026-08-06)

- "Guidance to $9.120 - $9.320 Billion to Organic Operational Revenue Growth of (3)% to (1)% • Revises Full Year 2026 Adjusted Net Income Guidance to Organic Operational Growth of (9)% to (5)% • Revises Guidance for Adjusted Diluted EPS to $6.15 - $6.25 PARSIPPANY, N.J. – August 6, 2026 – Zoetis Inc ."

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-09-30) | $1.51 | $1.84 | -18.3% | $2.30B | 13 |
| Next quarter (ends 2026-12-31) | $1.31 | $1.64 | -20.3% | $2.24B | 12 |
| Current fiscal year (ends 2026-12-31) | $6.21 | $6.87 | -9.6% | $9.25B | 14 |
| Next fiscal year (ends 2027-12-31) | $6.45 | $7.39 | -12.8% | $9.39B | 15 |

## Options: expected move (Cboe, 15-min delayed)

Expected move by 2026-11-20 (includes earnings 2026-11-05): ±11.1%; last 8 reports averaged ±8%.

| Expiration | Days | ATM IV | Expected move |
|---|---|---|---|
| 2026-11-20 | 28 | 45.6% | ±11.1% |
| 2026-12-18 | 56 | 43.1% | ±13.4% |
| 2027-01-15 | 84 | 39.0% | ±14.9% |
| 2027-03-19 | 147 | 40.4% | ±20.1% |
| 2027-04-16 | 175 | 40.2% | ±21.8% |
| 2027-06-17 | 237 | 39.8% | ±25.0% |
| 2027-09-17 | 329 | 40.1% | ±29.1% |