California Public Employees Retirement System Sells 97,206 Shares of Zoetis Inc. $ZTS

Key Points

• California Public Employees Retirement System reduced its Zoetis stake by 9.4% in the first quarter, selling 97,206 shares and leaving it with 936,362 shares valued at about $110.7 million.
• Zoetis reported mixed recent results, with Q1 earnings of $1.53 per share and revenue of $2.26 billion, both slightly below analyst expectations, though revenue still rose 2.9% year over year.
• The stock faces both optimism and pressure: analysts currently rate Zoetis a Hold on average, while ongoing securities class-action notices remain a legal overhang despite some positive news such as a new VitalRADS acquisition and a quarterly dividend of $0.53 per share.

California Public Employees Retirement System cut its stake in Zoetis Inc. (NYSE:ZTS - Free Report) by 9.4% in the 1st quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 936,362 shares of the company's stock after selling 97,206 shares during the quarter. California Public Employees Retirement System owned about 0.22% of Zoetis worth $110,687,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Clifford Swan Investment Counsel LLC increased its position in shares of Zoetis by 115.7% during the first quarter. Clifford Swan Investment Counsel LLC now owns 148,151 shares of the company's stock valued at $17,513,000 after buying an additional 79,463 shares during the period. Kesler Norman & Wride LLC boosted its position in shares of Zoetis by 7.6% in the first quarter. Kesler Norman & Wride LLC now owns 31,853 shares of the company's stock valued at $3,765,000 after acquiring an additional 2,240 shares during the period. Kera Capital Partners Inc. bought a new position in shares of Zoetis in the first quarter valued at approximately $285,000. Modera Wealth Management LLC grew its stake in Zoetis by 3.5% during the first quarter. Modera Wealth Management LLC now owns 29,952 shares of the company's stock valued at $3,541,000 after acquiring an additional 1,026 shares in the last quarter. Finally, Townsend Asset Management Corp NC ADV grew its stake in Zoetis by 7.9% during the first quarter. Townsend Asset Management Corp NC ADV now owns 25,517 shares of the company's stock valued at $3,016,000 after acquiring an additional 1,874 shares in the last quarter. 92.80% of the stock is currently owned by institutional investors.

Zoetis News Roundup

Here are the key news stories impacting Zoetis this week:

• Positive Sentiment: Zoetis was named as title sponsor of PawsitiveIntelligence.ai, adding a small brand-visibility and industry-partnership angle. Pawsitive Holdings Announces Zoetis as Title Sponsor of PawsitiveIntelligence.ai
• Positive Sentiment: Some commentary argued Zoetis offers an attractive risk-reward setup, suggesting a more constructive long-term view despite recent volatility. Zoetis: An Attractive Risk-Reward Opportunity
• Neutral Sentiment: Zoetis’ upcoming second-quarter earnings report is getting attention, with analysts expecting modest growth and investors watching for updated guidance and commentary on diagnostics demand. Zoetis Earnings Preview: What to Expect
• Neutral Sentiment: Zoetis announced it will acquire VitalRADS, a veterinary teleradiology platform, which could support its diagnostics strategy and AI-enabled offerings. Zoetis Gains as VitalRADS Deal Boosts Diagnostics Narrative
• Negative Sentiment: Multiple law firms issued reminders and investor alerts tied to a securities class action against Zoetis, reinforcing concerns about litigation risk and possible reputational damage. Deadline Alert for CALX, AVAV, ZTS, LCID
• Negative Sentiment: Additional class-action notices specifically target Zoetis shareholders, underscoring that the lawsuit remains an active overhang for the stock. ZTS Shareholder Alert
• Negative Sentiment: The legal backdrop follows earlier reports alleging investor harm and reminding shareholders of the same July 27 deadline, keeping sentiment cautious. Zoetis Inc. (ZTS) Shareholders Who Lost Money Have Opportunity to Lead Securities Fraud Lawsuit

Wall Street Analyst Weigh In

Several analysts have issued reports on ZTS shares. Morgan Stanley reiterated an "overweight" rating and issued a $115.00 target price on shares of Zoetis in a research note on Friday, May 15th. JPMorgan Chase & Co. reduced their price target on shares of Zoetis from $190.00 to $130.00 and set an "overweight" rating for the company in a research report on Friday, May 8th. Argus reaffirmed a "hold" rating on shares of Zoetis in a report on Wednesday, May 27th. Weiss Ratings downgraded Zoetis from a "sell (d+)" rating to a "sell (d)" rating in a research report on Friday, June 12th. Finally, UBS Group dropped their price objective on Zoetis from $130.00 to $99.00 and set a "neutral" rating for the company in a research note on Friday, May 8th. Eight equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $120.83.

Insider Buying and Selling

In other news, Director Paul Bisaro purchased 2,000 shares of the stock in a transaction on Wednesday, May 13th. The shares were acquired at an average price of $75.88 per share, for a total transaction of $151,760.00. Following the completion of the transaction, the director directly owned 27,862 shares of the company's stock, valued at approximately $2,114,168.56. This trade represents a 7.73% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this link. Also, Director Frank A. Damelio purchased 6,650 shares of the company's stock in a transaction on Wednesday, May 13th. The shares were purchased at an average cost of $75.39 per share, with a total value of $501,343.50. Following the purchase, the director owned 21,458 shares of the company's stock, valued at approximately $1,617,718.62. The trade was a 44.91% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last ninety days, insiders purchased 11,650 shares of company stock worth $886,384. Corporate insiders own 0.22% of the company's stock.

Zoetis Trading Down 0.6%

Shares of ZTS opened at $76.44 on Friday. The firm's 50 day simple moving average is $77.33 and its 200 day simple moving average is $106.03. The company has a market capitalization of $32.05 billion, a P/E ratio of 12.68, a P/E/G ratio of 1.19 and a beta of 0.75. The company has a debt-to-equity ratio of 2.80, a current ratio of 3.15 and a quick ratio of 1.91. Zoetis Inc. has a 1-year low of $71.47 and a 1-year high of $160.48.

Zoetis (NYSE:ZTS - Get Free Report) last announced its earnings results on Thursday, May 7th. The company reported $1.53 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.60 by ($0.07). The company had revenue of $2.26 billion for the quarter, compared to the consensus estimate of $2.30 billion. Zoetis had a net margin of 27.80% and a return on equity of 66.85%. The company's revenue for the quarter was up 2.9% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.48 earnings per share. Zoetis has set its FY 2026 guidance at 6.850-7.000 EPS. Sell-side analysts forecast that Zoetis Inc. will post 6.87 earnings per share for the current fiscal year.

Zoetis Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Monday, July 20th will be issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend is Monday, July 20th. 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.

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