4 Analysts Have This To Say About Zoetis

Providing a diverse range of perspectives from bullish to bearish, 4 analysts have published ratings on Zoetis ZTS in the last three months.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $234.0, with a high estimate of $260.00 and a low estimate of $220.00. Marking an increase of 6.36%, the current average surpasses the previous average price target of $220.00.

Analyzing Analyst Ratings: A Detailed Breakdown

The analysis of recent analyst actions sheds light on the perception of Zoetis by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Zoetis. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Zoetis compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Zoetis's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Zoetis's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Zoetis analyst ratings.

Unveiling the Story Behind Zoetis

Zoetis sells anti-infectives, vaccines, parasiticides, diagnostics, and other health products for animals. The firm earns roughly 35% of total revenue from production animals (cattle, pigs, poultry, and so on), and nearly 65% from companion animal (dogs, horses, cats) products. Its U.S. business is heavily skewed toward companion animals, while its international business is slightly skewed toward production animals. The firm has the largest market share in the industry and was previously Pfizer's animal health unit.

Zoetis: A Financial Overview

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Positive Revenue Trend: Examining Zoetis's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 8.48% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. When compared to others in the Health Care sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Zoetis's net margin excels beyond industry benchmarks, reaching 23.72%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Zoetis's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 10.42%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 3.7%, the company showcases effective utilization of assets.

Debt Management: Zoetis's debt-to-equity ratio surpasses industry norms, standing at 1.35. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

How Are Analyst Ratings Determined?

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.