Zoetis (NYSE:ZTS) Lowered to “Strong Sell” Rating by Zacks Research

Zoetis (NYSE:ZTS) was downgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Monday,Zacks.com reports.

A number of other equities research analysts have also recently weighed in on ZTS. William Blair restated a “market perform” rating on shares of Zoetis in a report on Thursday, August 6th. Piper Sandler lowered their target price on shares of Zoetis from $90.00 to $80.00 and set a “neutral” rating for the company in a report on Monday. TD Cowen dropped their price target on Zoetis from $150.00 to $104.00 and set a “buy” rating on the stock in a research report on Tuesday, June 30th. Wall Street Zen downgraded Zoetis from a “buy” rating to a “hold” rating in a research note on Saturday, May 2nd. Finally, Barclays reduced their price objective on Zoetis from $136.00 to $85.00 and set an “equal weight” rating for the company in a research report on Wednesday, July 1st. Eight equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of $109.62.

Zoetis Stock Performance

Shares of Zoetis stock 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 firm has a market capitalization of $31.54 billion, a P/E ratio of 12.39, a P/E/G ratio of 1.29 and a beta of 0.73. The business has a fifty day simple moving average of $76.57 and a two-hundred day simple moving average of $99.89. Zoetis has a 12 month low of $71.45 and a 12 month high of $160.48.

Zoetis (NYSE:ZTS) last released its earnings results on Thursday, August 6th. The company reported $1.87 earnings per share for the quarter, topping analysts’ consensus estimates of $1.85 by $0.02. The firm 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 was down .2% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.76 EPS. Zoetis has set its FY 2026 guidance at 6.150-6.250 EPS. On average, equities analysts forecast that Zoetis will post 6.19 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Zoetis

A number of hedge funds have recently added to or reduced their stakes in ZTS. Louisiana State Employees Retirement System purchased a new position in Zoetis in the 1st quarter worth about $2,542,000. Deutsche Bank AG boosted its holdings in shares of Zoetis by 19.1% during the 4th quarter. Deutsche Bank AG now owns 5,558,183 shares of the company’s stock valued at $699,331,000 after acquiring an additional 891,921 shares during the last quarter. Pincus Capital Management LP bought a new stake in shares of Zoetis in the fourth quarter worth approximately $2,109,000. Highbridge Capital Management LLC purchased a new position in shares of Zoetis during the fourth quarter valued at approximately $7,004,000. Finally, Pacer Advisors Inc. lifted its position in Zoetis by 16.7% during the first quarter. Pacer Advisors Inc. now owns 165,570 shares of the company’s stock valued at $19,572,000 after purchasing an additional 23,687 shares during the period. 92.80% of the stock is currently owned by hedge funds and other institutional investors.

Zoetis News Roundup

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.