Wall Street Zen Upgrades Zoetis (NYSE:ZTS) to Buy

Zoetis (NYSE:ZTS) was upgraded by equities research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a note issued to investors on Friday.

Several other equities analysts also recently weighed in on the stock. JPMorgan Chase & Co. cut their price target on shares of Zoetis from $230.00 to $200.00 and set an “overweight” rating on the stock in a report on Wednesday, November 5th. Morgan Stanley set a $160.00 price objective on shares of Zoetis in a report on Thursday, December 18th. KeyCorp initiated coverage on shares of Zoetis in a research note on Thursday, November 20th. They issued a “sector weight” rating on the stock. Weiss Ratings upgraded shares of Zoetis from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Tuesday, January 13th. Finally, Barclays assumed coverage on shares of Zoetis in a report on Monday, December 8th. They issued an “equal weight” rating and a $136.00 price target on the stock. Five investment analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $152.91.

Zoetis Stock Performance

Shares of Zoetis stock opened at $124.04 on Friday. The company has a 50 day moving average price of $123.58 and a 200 day moving average price of $138.29. The firm has a market capitalization of $54.66 billion, a P/E ratio of 20.88, a PEG ratio of 2.15 and a beta of 0.97. Zoetis has a 52 week low of $115.25 and a 52 week high of $177.40. The company has a quick ratio of 2.28, a current ratio of 3.64 and a debt-to-equity ratio of 1.31.

Zoetis (NYSE:ZTS) last announced its quarterly earnings data on Tuesday, November 4th. The company reported $1.70 earnings per share for the quarter, beating analysts’ consensus estimates of $1.62 by $0.08. Zoetis had a net margin of 28.21% and a return on equity of 57.19%. The firm had revenue of $2.40 billion for the quarter, compared to analyst estimates of $2.42 billion. During the same period in the previous year, the company earned $1.58 earnings per share. The business’s quarterly revenue was up .5% compared to the same quarter last year. Zoetis has set its FY 2025 guidance at 6.300-6.400 EPS. Sell-side analysts expect that Zoetis will post 6.07 EPS for the current year.

Institutional Investors Weigh In On Zoetis

Hedge funds have recently modified their holdings of the company. Vanguard Group Inc. boosted its position in Zoetis by 1.0% during the third quarter. Vanguard Group Inc. now owns 42,306,764 shares of the company’s stock worth $6,190,326,000 after purchasing an additional 419,777 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of Zoetis by 0.9% during the 2nd quarter. Geode Capital Management LLC now owns 11,081,301 shares of the company’s stock valued at $1,721,356,000 after buying an additional 95,294 shares in the last quarter. Norges Bank purchased a new position in shares of Zoetis during the 2nd quarter valued at approximately $809,491,000. Nordea Investment Management AB grew its stake in Zoetis by 79.2% in the 4th quarter. Nordea Investment Management AB now owns 4,932,787 shares of the company’s stock valued at $622,222,000 after acquiring an additional 2,179,578 shares during the period. Finally, Brown Advisory Inc. increased its holdings in Zoetis by 5.7% in the 2nd quarter. Brown Advisory Inc. now owns 4,659,371 shares of the company’s stock worth $726,629,000 after acquiring an additional 250,829 shares in the last quarter. 92.80% of the stock is owned by hedge funds and other institutional investors.

Zoetis News Roundup

Here are the key news stories impacting Zoetis this week:

• Positive Sentiment: Several market write-ups argue Zoetis is undervalued after a roughly 24% one-year pullback and present a buying opportunity; these narratives can attract value-focused investors. Is Zoetis (ZTS) Offering An Opportunity After A 24% One-Year Share Price Pullback
• Positive Sentiment: A Seeking Alpha piece makes a case that Zoetis is “Undervalued And Oversold,” reinforcing the narrative that current levels could be attractive to long-term investors. Zoetis: Undervalued And Oversold
• Positive Sentiment: Wall Street Zen upgraded Zoetis to a “Buy,” which can provide short-term support as some investors chase analyst upgrades. Zoetis (NYSE:ZTS) Upgraded by Wall Street Zen to “Buy” Rating
• Neutral Sentiment: A roundup of eight analyst ratings shows mixed views across the street, indicating no clear consensus and contributing to stock volatility. 7ZTS : What 8 Analyst Ratings Have To Say About Zoetis
• Neutral Sentiment: Aggregated analyst consensus remains around a “Hold,” which suggests many pros see limited near-term upside absent clearer catalysts. Zoetis Inc. (NYSE:ZTS) Given Average Recommendation of “Hold” by Analysts
• Negative Sentiment: Piper Sandler downgraded ZTS from “Overweight” to “Neutral” and cut its price target sharply (from $190 to $135), a material change that likely pressured the stock and investor sentiment. Piper Sandler downgrades Zoetis (ZTS)

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.