Zoetis (NYSE:ZTS) Updates FY 2025 Earnings Guidance

Key Points

• Zoetis has updated its FY 2025 earnings guidance with an EPS estimate of 6.300-6.400, exceeding the consensus estimate of 6.231, and provided revenue guidance of $9.5 billion-$9.6 billion.
• The company's stock recently traded down to $146.37, with a current market cap of $65.17 billion and an average target price set at $204.63 by analysts.
• Zoetis announced a quarterly dividend of $0.50 to be paid on September 3rd, reflecting an annualized dividend yield of 1.4%.

Zoetis (NYSE:ZTS - Get Free Report) updated its FY 2025 earnings guidance on Tuesday. The company provided earnings per share guidance of 6.300-6.400 for the period, compared to the consensus earnings per share estimate of 6.231. The company issued revenue guidance of $9.5 billion-$9.6 billion, compared to the consensus revenue estimate of $9.5 billion.

Analyst Ratings Changes

ZTS has been the topic of several research analyst reports. Leerink Partnrs lowered Zoetis from a "strong-buy" rating to a "hold" rating in a report on Thursday, July 17th. UBS Group cut their price target 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. Piper Sandler increased their price objective on shares of Zoetis from $205.00 to $210.00 and gave the company an "overweight" rating in a report on Monday, May 12th. Leerink Partners cut shares of Zoetis from an "outperform" rating to a "market perform" rating and cut their target price for the stock from $180.00 to $155.00 in a research note on Thursday, July 17th. Finally, Stifel Nicolaus lowered shares of Zoetis from a "buy" rating to a "hold" rating and decreased their price target for the company from $165.00 to $160.00 in a research note on Wednesday, June 18th. Four equities research analysts have rated the stock with a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $204.63.

Zoetis Price Performance

ZTS stock traded up $1.14 during mid-day trading on Thursday, reaching $147.64. The company's stock had a trading volume of 1,815,411 shares, compared to its average volume of 3,115,947. The company has a current ratio of 1.74, a quick ratio of 1.04 and a debt-to-equity ratio of 1.12. The company's 50 day moving average is $157.52 and its two-hundred day moving average is $160.07. Zoetis has a fifty-two week low of $139.70 and a fifty-two week high of $200.33. The stock has a market cap of $65.73 billion, a PE ratio of 25.43, a P/E/G ratio of 2.42 and a beta of 0.88.

Zoetis (NYSE:ZTS - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $1.76 EPS for the quarter, beating the consensus estimate of $1.62 by $0.14. The firm had revenue of $2.46 billion during the quarter, compared to analysts' expectations of $2.41 billion. Zoetis had a return on equity of 57.16% and a net margin of 27.83%. The business's revenue for the quarter was up 4.2% on a year-over-year basis. During the same quarter last year, the firm earned $1.56 earnings per share. Equities research analysts expect that Zoetis will post 6.07 EPS for the current year.

Zoetis Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 3rd. Investors of record on Friday, July 18th will be issued a $0.50 dividend. The ex-dividend date of this dividend is Friday, July 18th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.4%. Zoetis's dividend payout ratio is currently 34.42%.

Insider Transactions at Zoetis

In other Zoetis news, EVP Roxanne Lagano sold 652 shares of Zoetis 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 transaction, the executive vice president directly owned 15,129 shares of the company's stock, valued at $2,571,930. The trade was a 4.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.18% of the company's stock.

Institutional Trading of Zoetis

Several institutional investors have recently made changes to their positions in ZTS. Brighton Jones LLC grew its position in Zoetis by 180.4% in the fourth quarter. Brighton Jones LLC now owns 4,629 shares of the company's stock worth $754,000 after acquiring an additional 2,978 shares during the period. Intech Investment Management LLC lifted its stake in shares of Zoetis by 17.2% in the 1st quarter. Intech Investment Management LLC now owns 8,347 shares of the company's stock valued at $1,374,000 after purchasing an additional 1,224 shares during the last quarter. Finally, Empowered Funds LLC grew its holdings in shares of Zoetis by 6.2% during the 1st quarter. Empowered Funds LLC now owns 11,293 shares of the company's stock worth $1,859,000 after purchasing an additional 657 shares during the period. Hedge funds and other institutional investors own 92.80% of the company's stock.

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.