Zoetis, Inc. Class A (ZTS)

Over the past six months, Zoetis's stock price has experienced a decline. As of October 3, 2025, the share price was $146.42, representing a 21.82% decrease from $187.28 on October 7, 2024. The stock was down 24.51% over the past 12 months as of September 19, 2025, and has declined 40% since late 2021 after reaching new all-time highs during the pandemic-driven pet adoption boom. Zoetis received conditional FDA approval for Dectomax-CA1 Injectable for the prevention and treatment of New World screwworm myiasis in cattle on September 30, 2025. On September 26, 2025, the stock saw a 1.68% increase due to positive momentum in its veterinary healthcare segment and Q3 2025 earnings guidance that exceeded analyst expectations. The company received a positive opinion from the CVMP for Portela (relfovetmab) to alleviate pain associated with osteoarthritis in cats on September 12, 2025. Zoetis announced the pricing of $1.85 billion of senior notes on August 11, 2025. Zoetis announced its second-quarter 2025 results and raised its full-year 2025 outlook on August 5, 2025. Sales of osteoarthritis medications for dogs and cats (Librela and Solensia) declined by 4% year over year in the last quarter, which prolonged the sell-off. Leerink Partners cut their rating on Zoetis from "outperform" to "market perform" and reduced their price objective from $180.00 to $155.00.

Demand for Zoetis's Livestock products tends to be seasonal, with commodity prices significantly influencing revenue. Additionally, some companion animal products, such as Revolution, exhibit cyclical demand. However, the company's overall performance can be driven by sustained demand for both livestock and companion animal products amid seasonal veterinary care cycles.

Zoetis, Inc. is a global animal health company focused on veterinary medicines, vaccines, and diagnostic products, operating in the Pharmaceuticals and Healthcare sector, specifically in the Medical - Drug Manufacturing and Biotechnology: Pharmaceutical Preparations industries. The company's business is diversified across Companion Animals (approximately 65% of revenue) and Livestock (approximately 34% of revenue). Major products include vaccines like Vanguard, Bovi-Shield, and Suvaxyn; anti-infectives such as Draxxin, Excede, and Convenia; parasiticides like Simparica Trio, Revolution, Dectomax, and Valbazen; dermatology treatments including Apoquel and Cytopoint; pain and sedation products such as Cerenia, Solensia, Librela, Rimadyl, and Sileo; animal health diagnostics including the VetScan system; other pharmaceutical products and medicated feed additives; and biodevices and genetic tests.

Zoetis has a significant global presence, directly marketing its products in approximately 45 countries and selling them in over 100 countries worldwide. The company's revenue is split between the U.S. (53%) and International (46%) markets. Manufacturing operations are located in various countries, including the U.S., Brazil, Denmark, Belgium, Norway, Australia, Spain, Ireland, China, and New Zealand. Zoetis is headquartered in Parsippany, New Jersey, U.S.

Zoetis maintains a strong brand reputation as the world's largest producer of medicine and vaccinations for pets and livestock, and is considered an undisputed leader in the global animal health industry due to its impressive innovation. The conditional FDA approval for Dectomax-CA1 Injectable in cattle and the positive opinion from the CVMP for Portela for cat osteoarthritis pain are positive developments that enhance its reputation for innovation and product development. In 2025, the U.S. Department of Agriculture granted Zoetis conditional approval to deploy its bird flu vaccine in poultry, demonstrating the company's role in addressing significant animal health crises. A 4% year-over-year decline in sales of new osteoarthritis medications (Librela and Solensia) for dogs and cats, due to veterinarians requesting more data on safety and efficacy, presented a minor reputational challenge, which Zoetis is addressing by launching a phase 4 study and other analyses to provide the requested data.

Zoetis has a widely held ownership structure, with a significant portion held by institutional investors, standing at approximately 92.80%. Major institutional owners include Vanguard Group Inc., BlackRock, Inc., State Street Corp, Morgan Stanley, State Farm Mutual Automobile Insurance Co, Geode Capital Management, Llc, and Wellington Management Group Llp.