Zoetis (NYSE:ZTS) Downgraded to Strong Sell Rating by Zacks Research

Zacks Research lowered shares of Zoetis (NYSE:ZTS) from a hold rating to a strong sell rating in a report released on Monday morning,Zacks.com reports.

A number of other equities research analysts have also issued reports on ZTS. Morgan Stanley set a $85.00 target price on Zoetis in a research note on Friday. Citigroup dropped their price target on Zoetis from $112.00 to $96.00 and set a “buy” rating for the company in a research report on Tuesday. Weiss Ratings downgraded Zoetis from a “sell (d+)” rating to a “sell (d)” rating in a research report on Friday, June 12th. Barclays decreased their price objective on Zoetis from $136.00 to $85.00 and set an “equal weight” rating on the stock in a research note on Wednesday, July 1st. Finally, BNP Paribas Exane dropped their price objective on Zoetis from $146.00 to $110.00 and set an “outperform” rating for the company in a research report on Tuesday. Eight investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $109.62.

Zoetis Stock Performance

NYSE:ZTS opened at $75.23 on Monday. The company has a current ratio of 3.08, a quick ratio of 1.84 and a debt-to-equity ratio of 2.87. The company has a market capitalization of $31.54 billion, a P/E ratio of 12.39, a price-to-earnings-growth ratio of 1.29 and a beta of 0.73. The firm has a 50-day moving average price of $76.57 and a two-hundred day moving average price of $99.89. Zoetis has a twelve month low of $71.45 and a twelve month high of $160.48.

Zoetis (NYSE:ZTS) last announced its quarterly earnings results on Thursday, August 6th. The company reported $1.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.85 by $0.02. The company had revenue of $2.47 billion for the quarter, compared to the consensus estimate of $2.50 billion. Zoetis had a net margin of 27.49% and a return on equity of 74.89%. The company’s revenue for the quarter was down .2% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.76 earnings per share. Zoetis has set its FY 2026 guidance at 6.150-6.250 EPS. As a group, research analysts expect that Zoetis will post 6.19 earnings per share for the current fiscal year.

Zoetis Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Monday, July 20th will be paid 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 dividend payout ratio is currently 34.93%.

Institutional Investors Weigh In On Zoetis

Hedge funds and other institutional investors have recently made changes to their positions in the business. University of Texas Texas AM Investment Management Co. acquired a new stake in Zoetis in the 2nd quarter worth about $25,000. Dunhill Financial LLC grew its holdings in Zoetis by 519.3% in the 2nd quarter. Dunhill Financial LLC now owns 353 shares of the company’s stock valued at $25,000 after buying an additional 296 shares during the period. Prosperity Bancshares Inc acquired a new position in shares of Zoetis during the 4th quarter valued at about $25,000. Cassaday & Co Wealth Management LLC acquired a new position in shares of Zoetis during the 1st quarter valued at about $28,000. Finally, Root Financial Partners LLC lifted its holdings in shares of Zoetis by 66.5% during the 1st quarter. Root Financial Partners LLC now owns 258 shares of the company’s stock worth $30,000 after acquiring an additional 103 shares during the period. Hedge funds and other institutional investors own 92.80% of the company’s stock.

More Zoetis News

Here are the key news stories impacting Zoetis this week:

• Positive Sentiment: Citigroup lowered its Zoetis price target from $112 to $96 but retained a Buy rating, implying substantial upside from recent levels. The continued Buy recommendation may provide support despite the more cautious valuation. Benzinga article
• Positive Sentiment: BNP Paribas Exane cut its target from $146 to $110 while maintaining an Outperform rating. The target still indicates significant potential appreciation, suggesting the firm views recent weakness as excessive relative to Zoetis’ long-term prospects. Tickerreport.com article
• Neutral Sentiment: JPMorgan reduced its Zoetis price target to $115, adding to the pattern of analysts recalibrating estimates without necessarily abandoning the investment case. JPMorgan price target article
• Neutral Sentiment: Piper Sandler lowered its target from $90 to $80 and assigned a Neutral rating. The target remains modestly above the recent share price, but the stance signals limited near-term conviction. Benzinga article
• Negative Sentiment: Recent coverage highlights leadership changes, competitive pressures and concerns surrounding Zoetis’ outlook. The company’s latest quarter also showed revenue down 0.2% year over year, while full-year 2026 EPS guidance of $6.15–$6.25 is below some analyst expectations, weighing on sentiment. ZTS Q2 Deep Dive article

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.