Zoetis Inc. (ZTS) Stock Analysis
Recovery setup
Healthcare · Drug Manufacturers - Specialty & Generic
Sell if holding. Multiple concerning factors at $79.30: Concentration risk — Geographic: United States (54.0%); Concentration risk — Product: companion animal products (70.0%).
Zoetis is a global animal health company selling medicines, vaccines, and diagnostics for companion animals (70% of revenue) and livestock (29%) across approximately 45 countries. US revenue was $5,097M (54%) and International $4,254M (45%) of ~$9.4B in 2025 revenue, spanning... Read more
Sell if holding. Multiple concerning factors at $79.30: Concentration risk — Geographic: United States (54.0%); Concentration risk — Product: companion animal products (70.0%). Chart setup: Death cross but MACD improving, RSI 49. Score 5.7/10, moderate confidence.
Passes 8/10 gates (positive momentum, favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 49d clear, semi cycle peak clear, materials cycle peak clear). Fails on death cross (50MA < 200MA). Suitability: moderate.
About Zoetis Inc.
About Zoetis Inc.
Zoetis generated $5,097 million in U.S. revenue and $4,254 million in international revenue during fiscal 2025, representing 54% and 45% of consolidated sales respectively, with companion animal products contributing approximately 70% of total revenue. The five top-selling product lines — Simparica/Simparica Trio, Apoquel/Apoquel Chewable, Cytopoint, Librela, and the ceftiofur line — contributed 42% of 2025 revenue collectively, and the top ten product lines reached 57%. The company directly markets products in approximately 45 countries, with sales in more than 100 countries overall.
Zoetis sells through veterinarians and livestock producers via direct sales forces, with no single distributor named as dominant in the filing. Companion animal revenue, at 70% of total sales, is concentrated in three therapeutic categories: dermatology (Apoquel, Cytopoint), parasiticides (Simparica/Simparica Trio), and pain management (Librela, Solensia). Livestock revenue, at approximately 29% of total, includes $713 million in antibacterial sales in 2025, subject to use restrictions across the U.S., EU, U.K., China, and Vietnam. Multiple companies have launched generics against Rimadyl chewable and Draxxin; U.S. sales of Draxxin fell 66% since generic entry and Rimadyl chewable fell 39%, illustrating the loss-of-exclusivity risk embedded in the livestock portfolio. The company does not rely on a single distributor and markets products through veterinary practices, wholesalers, and internet-based retailers.
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The top-five product line dependency represents the most concentrated earnings exposure: Simparica/Simparica Trio at 16% of 2025 revenue and Apoquel/Apoquel Chewable at 12% together account for 28%, with Cytopoint, Librela, and the ceftiofur line bringing the top-five total to 42%. The 10-K identifies safety concerns, manufacturing disruption, regulatory proceedings, or competing product introductions as risks that could have a more significant impact to results of operations for these specific lines. Any single adverse event in this product tier — safety labeling change, supply disruption, or accelerated generic entry — could materially shift reported earnings, making these franchises both the core revenue pillar and the primary concentration risk.
See also: Healthcare · Drug Manufacturers - Specialty & Generic
From Zoetis Inc.'s most recent 10-K filing, extracted June 16, 2026.
Recent developments
updated 2026-06-17Recent Developments — Zoetis Inc.
Latest news
- NEWS Here's why Zoetis (ZTS) is a strong value stock - MSN — MSN positive
- NEWS A Look At Zoetis (ZTS) Valuation As Investors Revisit The Stock After Mixed Recent Returns - Yahoo Finance — Yahoo Finance neutral
- NEWS Citi Just Made Zoetis Its Top Pick With a Buy Rating: Is the Pet Economy Boom the Best Trade of 2026? - 24/7 Wall St. — 24/7 Wall St. positive
- NEWS Massachusetts Financial Services Co. MA Acquires 126,543 Shares of Zoetis Inc. $ZTS - MarketBeat — MarketBeat neutral
- NEWS How Investors May Respond To Zoetis (ZTS) Deepening Its Biologics Focus After World Vaccine Congress Update - Yahoo Fina — Yahoo Finance positive
Generated 2026-06-17T09:02:28Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHGeographicUnited States54%10-K Item 1: 'United States (U.S.) with revenue of $5,097 million, or 54% of total revenue for the year ended December 31, 2025'
- HIGHProductcompanion animal products70%10-K Item 1: 'Companion animal products represented approximately 70% of our revenue for the year ended December 31, 2025.'
- MEDIUMProducttop five product lines (Simparica/Simparica Trio, Apoquel, Cytopoint, Librela, ceftiofur)42%10-K Item 1A: 'our five top-selling products and product lines, Simparica/Simparica Trio ... contributed approximately 42% of our revenue in 2025'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Multiple concerning factors at $79.30: Concentration risk — Geographic: United States (54.0%); Concentration risk — Product: companion animal products (70.0%). Chart setup: Death cross but MACD improving, RSI 49. Prior stop was $74.27. Score 5.7/10, moderate confidence.
Take-profit target: $112.13 (+41.3% upside). Prior stop was $74.27. Stop-loss: $74.27.
Concentration risk — Geographic: United States (54.0%); Concentration risk — Product: companion animal products (70.0%); Leverage penalty (D/E 2.9): -1.5.
Zoetis Inc. trades at a P/E of 13.1 (forward 10.8). TrendMatrix value score: 7.5/10. Verdict: Sell.
24 analysts cover ZTS with a consensus score of 3.8/5. Average price target: $125.
What does Zoetis Inc. do?Zoetis is a global animal health company selling medicines, vaccines, and diagnostics for companion animals (70% of...
Zoetis is a global animal health company selling medicines, vaccines, and diagnostics for companion animals (70% of revenue) and livestock (29%) across approximately 45 countries. US revenue was $5,097M (54%) and International $4,254M (45%) of ~$9.4B in 2025 revenue, spanning roughly 300 product lines under brands including Simparica, Apoquel, and Cytopoint.