Zacks Research Issues Negative Forecast for Zoetis Earnings

Key Points

• Zacks Research has reduced its Q3 2025 earnings per share estimate for Zoetis from $1.67 to $1.62, while maintaining a full-year estimate of $6.07 per share.
• In recent analyst reports, Piper Sandler raised Zoetis' price target to $215.00 while other firms, like Leerink Partners, downgraded their ratings and lowered their targets significantly.
• The stock has a current market valuation of $68.87 billion and trades with a price-to-earnings ratio of 26.75, showing mixed investor sentiment with four analysts rating it as a "Buy" and four as a "Hold."

Zoetis Inc. (NYSE:ZTS - Free Report) - Analysts at Zacks Research decreased their Q3 2025 EPS estimates for shares of Zoetis in a research note issued to investors on Monday, August 25th. Zacks Research analyst Team now anticipates that the company will post earnings per share of $1.62 for the quarter, down from their prior forecast of $1.67. The consensus estimate for Zoetis' current full-year earnings is $6.07 per share. Zacks Research also issued estimates for Zoetis' Q4 2025 earnings at $1.50 EPS, FY2025 earnings at $6.36 EPS, Q2 2026 earnings at $1.76 EPS, Q3 2026 earnings at $1.70 EPS, Q4 2026 earnings at $1.73 EPS, FY2026 earnings at $6.77 EPS, Q1 2027 earnings at $1.71 EPS, Q2 2027 earnings at $1.89 EPS and FY2027 earnings at $7.36 EPS.

Several other research firms have also issued reports on ZTS. UBS Group reduced their target price on shares of Zoetis from $189.00 to $170.00 and set a "neutral" rating for the company in a report on Wednesday, May 7th. Leerink Partnrs downgraded Zoetis from a "strong-buy" rating to a "hold" rating in a research report on Thursday, July 17th. Piper Sandler boosted their price objective on Zoetis from $210.00 to $215.00 and gave the company an "overweight" rating in a report on Monday, August 11th. Leerink Partners cut Zoetis from an "outperform" rating to a "market perform" rating and dropped their price objective for the company from $180.00 to $155.00 in a report on Thursday, July 17th. Finally, Stifel Nicolaus downgraded Zoetis from a "buy" rating to a "hold" rating and dropped their price target for the stock from $165.00 to $160.00 in a research report on Wednesday, June 18th. Four analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Zoetis presently has an average rating of "Moderate Buy" and an average target price of $202.43.

Zoetis Stock Performance

Shares of NYSE:ZTS traded up $1.66 during trading on Thursday, hitting $156.45. The company's stock had a trading volume of 1,534,551 shares, compared to its average volume of 3,151,983. The company has a 50-day moving average of $153.51 and a 200-day moving average of $157.85. Zoetis has a 12 month low of $139.70 and a 12 month high of $200.33. The company has a debt-to-equity ratio of 1.05, a current ratio of 1.76 and a quick ratio of 1.04. The firm has a market cap of $69.34 billion, a price-to-earnings ratio of 26.93, a P/E/G ratio of 2.51 and a beta of 0.88.

Zoetis (NYSE:ZTS - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $1.76 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.62 by $0.14. The firm had revenue of $2.46 billion for the quarter, compared to the consensus estimate of $2.41 billion. Zoetis had a net margin of 27.83% and a return on equity of 56.90%. The business's quarterly revenue was up 4.2% compared to the same quarter last year. During the same quarter last year, the firm posted $1.56 EPS. Zoetis has set its FY 2025 guidance at 6.300-6.400 EPS.

Insider Activity at Zoetis

In related news, EVP Roxanne Lagano sold 652 shares of the company's stock in a transaction dated Tuesday, June 3rd. The shares were sold at an average price of $170.00, for a total transaction of $110,840.00. Following the completion of the transaction, the executive vice president owned 15,129 shares in the company, valued at $2,571,930. This represents a 4.13% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.18% of the stock is owned by company insiders.

Hedge Funds Weigh In On Zoetis

Several institutional investors and hedge funds have recently bought and sold shares of ZTS. Nova Wealth Management Inc. purchased a new stake in shares of Zoetis in the 1st quarter valued at approximately $25,000. 1248 Management LLC purchased a new position in Zoetis in the first quarter worth approximately $27,000. Saudi Central Bank acquired a new stake in Zoetis during the first quarter worth approximately $29,000. Navigoe LLC acquired a new stake in Zoetis during the fourth quarter worth approximately $30,000. Finally, Cornerstone Planning Group LLC raised its holdings in Zoetis by 79.3% during the first quarter. Cornerstone Planning Group LLC now owns 199 shares of the company's stock worth $30,000 after purchasing an additional 88 shares in the last quarter. 92.80% of the stock is currently owned by institutional investors and hedge funds.

About Zoetis

Zoetis Inc engages in the discovery, development, manufacture, and commercialization of animal health medicines, vaccines, and diagnostic products and services in the United States and internationally. The company commercializes products primarily across species, including livestock, such as cattle, swine, poultry, fish, and sheep and others; and companion animals comprising dogs, cats, and horses.