Zoetis Stock: A Deep Dive Into Analyst Perspectives (5 Ratings)

Providing a diverse range of perspectives from bullish to bearish, 5 analysts have published ratings on Zoetis ZTS in the last three months.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Zoetis, presenting an average target of $220.0, a high estimate of $260.00, and a low estimate of $195.00. Highlighting a 5.58% decrease, the current average has fallen from the previous average price target of $233.00.

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 respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Zoetis. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Zoetis compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Zoetis's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Capture valuable insights into Zoetis's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Zoetis analyst ratings.

About 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.

Financial Insights: Zoetis

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Zoetis's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2023, the company achieved a revenue growth rate of approximately 8.48%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Zoetis's net margin is impressive, surpassing industry averages. With a net margin of 23.72%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Zoetis's ROE stands out, surpassing industry averages. With an impressive ROE of 10.42%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Zoetis's ROA excels beyond industry benchmarks, reaching 3.7%. This signifies efficient management of assets and strong financial health.

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.

The Basics of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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