Tandem Investment Advisors Inc. Sells 82,466 Shares of Zoetis Inc. $ZTS

Key Points

• Tandem Investment Advisors cut its Zoetis stake by 10.4% in the fourth quarter, selling 82,466 shares and leaving it with 707,775 shares worth about $89.1 million.
• Zoetis reported mixed quarterly results, with EPS of $1.53 missing estimates and revenue of $2.26 billion slightly below expectations, though revenue still rose 2.9% year over year.
• Analysts remain cautious overall, with an average Hold rating and a consensus price target of $133.92, while the stock was trading at $81.26 and the company reaffirmed FY 2026 EPS guidance of $6.85 to $7.00.

Tandem Investment Advisors Inc. trimmed its holdings in shares of Zoetis Inc. (NYSE:ZTS - Free Report) by 10.4% in the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 707,775 shares of the company's stock after selling 82,466 shares during the quarter. Zoetis comprises about 3.3% of Tandem Investment Advisors Inc.'s holdings, making the stock its 17th largest position. Tandem Investment Advisors Inc. owned 0.16% of Zoetis worth $89,052,000 at the end of the most recent quarter.

A number of other institutional investors have also added to or reduced their stakes in the business. Vanguard Group Inc. increased its position in shares of Zoetis by 12.9% in the fourth quarter. Vanguard Group Inc. now owns 47,780,974 shares of the company's stock worth $6,011,802,000 after purchasing an additional 5,474,210 shares during the last quarter. Nordea Investment Management AB lifted its position in Zoetis by 79.2% during the fourth quarter. Nordea Investment Management AB now owns 4,932,787 shares of the company's stock valued at $622,222,000 after purchasing an additional 2,179,578 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. grew its stake in Zoetis by 14.6% in the 3rd quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 4,312,779 shares of the company's stock worth $631,046,000 after buying an additional 550,859 shares in the last quarter. Alliancebernstein L.P. grew its stake in Zoetis by 13.3% in the 3rd quarter. Alliancebernstein L.P. now owns 4,241,357 shares of the company's stock worth $620,595,000 after buying an additional 496,320 shares in the last quarter. Finally, Fundsmith LLP increased its holdings in shares of Zoetis by 25.3% in the 3rd quarter. Fundsmith LLP now owns 3,615,131 shares of the company's stock worth $528,966,000 after buying an additional 730,300 shares during the last quarter. 92.80% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

ZTS has been the subject of several research reports. Bank of America upped their target price on shares of Zoetis from $135.00 to $140.00 and gave the stock a "neutral" rating in a research report on Friday, February 13th. UBS Group lowered their price target on Zoetis from $130.00 to $99.00 and set a "neutral" rating on the stock in a research report on Friday, May 8th. Wall Street Zen cut Zoetis from a "buy" rating to a "hold" rating in a report on Saturday, May 2nd. JPMorgan Chase & Co. reduced their price objective on Zoetis from $190.00 to $130.00 and set an "overweight" rating on the stock in a research report on Friday, May 8th. Finally, William Blair reissued an "outperform" rating on shares of Zoetis in a report on Monday, March 2nd. Seven investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $133.92.

Zoetis Price Performance

Shares of NYSE:ZTS opened at $81.26 on Tuesday. 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 stock has a market cap of $34.06 billion, a PE ratio of 13.48, a PEG ratio of 1.33 and a beta of 0.87. The company's fifty day moving average is $107.43 and its 200 day moving average is $118.17. Zoetis Inc. has a 52 week low of $72.38 and a 52 week high of $172.23.

Zoetis (NYSE:ZTS - Get Free Report) last posted its quarterly 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 business had revenue of $2.26 billion for the quarter, compared to analysts' expectations of $2.30 billion. Zoetis had a net margin of 27.80% and a return on equity of 66.85%. The business's quarterly revenue was up 2.9% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.48 earnings per share. Zoetis has set its FY 2026 guidance at 6.850-7.000 EPS. Research analysts anticipate that Zoetis Inc. will post 6.88 earnings per share for the current year.

Zoetis Dividend Announcement

The business also recently declared 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. This represents a $2.12 annualized dividend and a yield of 2.6%. The ex-dividend date is Monday, July 20th. Zoetis's dividend payout ratio (DPR) is presently 35.16%.

Insiders Place Their Bets

In related news, Director Michael B. Mccallister acquired 3,000 shares of the stock in a transaction on Monday, May 11th. The stock was purchased at an average price of $77.76 per share, for a total transaction of $233,280.00. Following the completion of the transaction, the director owned 24,524 shares of the company's stock, valued at $1,906,986.24. This trade represents a 13.94% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Paul Bisaro acquired 2,000 shares of the company's stock in a transaction dated Wednesday, May 13th. The shares were bought at an average cost of $75.88 per share, with a total value of $151,760.00. Following the purchase, the director 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 SEC filing for this purchase provides additional information. Insiders have purchased 11,650 shares of company stock valued at $886,384 in the last ninety days. Company insiders own 0.22% of the company's stock.

About Zoetis

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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