Zoetis Inc (ZTS)
UndervaluedFundamental
72
Price
$69.83
Market Cap
$29.52B
Part 1 · What the company is worth
Overview
Zoetis Inc. engages in the discovery, development, manufacture, and commercialization of medicines, vaccines, diagnostic products and services, biodevices, genetic tests, and precision animal health solutions for the animal health industry in the United States and internationally. The company commercializes products primarily across companion animals comprising dogs, cats, and horses; and species, including livestock, such as cattle, swine, poultry, fish, and sheep. It also offers parasiticides, vaccines, dermatology, anti-infectives, pain and sedation, other pharmaceutical, and animal health diagnostics. In addition, the company provides animal health diagnostics, including point-of-care diagnostic products, instruments and reagents, rapid immunoassay tests, reference laboratory kits and services, and blood glucose monitors; and other non-pharmaceutical products, which include nutritionals, as well as products and services in biodevices, genetic tests, and precision animal health. It markets its products to veterinarians, livestock producers, and pet owners. The company has collaborated with Blacksmith Medicines, Inc. to discover and develop novel antibiotics for animal health. Zoetis Inc. was incorporated in 2012 and is headquartered in Parsippany, New Jersey.
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Direct competitors
Who this company fights with for the same customers
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No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$9.53B
Trailing 12 months (through 6/30/2026)
Net Income
$2.64B
Trailing 12 months (through 6/30/2026)
Free Cash Flow
$2.28B
Total Equity
$3.42B
Total Liabilities
$12.07B
Current Ratio
3.08
Interest Coverage
-
Debt/EBITDA
2.27
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$112.17
Current Price
$69.83
Margin of Safety
+37.7%
Fair Value Range
$72.91 - $151.42
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
11.41
ROE
78.3%
P/B Ratio
9.17
P/FCF
12.46
Gross Margin
71.7%
ROIC
-
Profitability Radar
Value Creation (Economic Moat)
ROIC
-
WACC
6.8%
ROIC − WACC
-
Fundamental Analysis Criteria
Passed (18)
- EPS shows upward trend
- EPS CAGR 19.62%
- Gross Margin 71.7%
- P/FCF 12.46
- Debt/Equity ratio
- Positive Free Cash Flow
- CapEx intensity
- Current Ratio
- Debt/EBITDA
- Return on Tangible Assets
- ROE 69.3%
- Revenue Growth 5Y 7.2%
- Analyst Consensus 50% Buy
- PEG Ratio 0.93
- Earnings Quality (OCF/NI) 1.08
- Share Dilution -2.3%
- Net Margin Trend 27.7% vs 27.6%
- Piotroski F-Score 6/9
Failed (6)
- Price CAGR 3.15%
- P/B Ratio 9.17
- Low reliance on intangibles
- Price below Graham Number
- DCF valuation (Overvalued)
- Earnings Surprise avg 0.5%
Unavailable (4)
- ROIC NaN%
- Dividend Payout NaN%
- Operating Margin NaN%
- Interest Coverage
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Buying back shares. Shareholder friendly
Institutional Holdings
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Ms. Kristin C. Peck | CEO & Director | 54 |
| Ms. Roxanne Lagano | Executive VP, General Counsel & Corporate Secretary | 60 |
| Mr. Wetteny N. Joseph CPA | Special Advisor to the CEO | 53 |
| Dr. Robert J. Polzer Ph.D. | Scientific Advisor | 56 |
| Mr. Jamie Brannan | Executive VP & Chief Commercial Officer | 52 |
| Mr. James K. Saccaro | Executive VP, CFO & COO | 52 |
| Mr. Keith Sarbaugh | Executive VP & Chief Digital and Technology Officer | 46 |
| Mr. Steven Frank | Vice President of Investor Relations | - |
| Ms. Julie A. Fuller | Executive VP, Chief Human Resources Officer & Global Operations | 52 |
| Mr. Abhay U. Nayak | Executive VP & President of U.S. Commercial Operations | 37 |
Audit Risk
5
Board Risk
2
Compensation Risk
6
Shareholder Rights Risk
7
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Documents
- View document
Annual Report (10-K)
A yearly overview of the business, its financial results, and the risks it faces.
Filed on 2026-02-12
- View document
Quarterly Report (10-Q)
A snapshot of financial performance for the most recent three-month period.
Filed on 2026-08-06
- View document
Current Report (8-K)
An announcement of a major event, such as a leadership change or big news.
Filed on 2026-08-06
via SEC EDGAR
Income History
via SEC EDGAR
Latest News
Recent headlines for ZTS, sourced from Markets Gazette.
- 5/10/2026NEGATIVEZoetis, Insmed, And HubSpot Are Among Top 10 Large-Cap Losers Last Week (May 4-May 8): Are The Others In Your Portfolio?
Zoetis Inc. was among the top large-cap decliners last week, experiencing a significant sell-off. This downturn was primarily attributed to weak earnings reports, cautious forward guidance from the company, and subsequent reductions in analyst price targets. The broader market sentiment also played a role, with declines seen across healthcare, software, networking, and industrial sectors. Investors are advised to monitor Zoetis's upcoming earnings calls and management commentary for signs of a potential turnaround or further headwinds.
via Markets Gazette