Is ZTS a good stock to buy right now?

Based on our 6-factor quantitative model, Zoetis Inc. (ZTS) receives a "Reduce" rating with a composite score of 44.5/100. It is ranked #2,773 out of 4,446 stocks. Key factor scores: Quality 50/100, Value 65/100, Momentum 30/100. The timing signal is "Bearish". This is quantitative analysis only — not investment advice.

What is the stock rating for ZTS?

Zoetis Inc. (ZTS) has a "Reduce" rating and 2-star score. The composite score of 44.5 ranks it #2,773 among 4,446 U.S. stocks. Ratings are updated weekly using academically-proven factor models.

What sector is ZTS in?

Zoetis Inc. operates in the Healthcare sector (Pharmaceutical Products industry) with a market cap of $49.51 billion. It is classified as a large-cap stock.

Does ZTS pay a dividend?

Yes, ZTS pays a dividend with a current yield of 1.32%. For every $1,000 invested, you would receive approximately $13.20 in annual dividend income.

What is ZTS's P/E ratio?

ZTS has a trailing P/E ratio of 17.85x. The Healthcare sector average is 23.6x. This P/E is in a moderate range relative to the broader market.

How profitable is ZTS?

ZTS's quality factor score is 50/100. Gross margin: 71.9%. ROE: 82.9% vs sector average -43.5%. High margins suggest pricing power and competitive moats.

How is ZTS valued compared to peers?

ZTS's value factor score is 65/100 (higher = cheaper). Key multiples: P/E 17.9x, EV/EBITDA 14.2x. The stock appears attractively valued versus peers.

What is ZTS's debt level?

ZTS's debt-to-equity ratio is 364%. Sector average: 32%. Elevated leverage increases credit risk.

ZTS has a beta of 0.75, meaning it is less volatile than the market. Stability score: 75/100.

Does ZTS have high short interest?

ZTS's short interest factor score is 15/100 (higher = less short selling). Elevated short interest may indicate bearish sentiment or short squeeze potential.

ZTS Stock Analysis: Reduce (Score 44.5/100) | Blank Capital Research

Data Series	1D	5D	1M	YTD	1Y	3Y	5Y	10Y
ZTS	-1.78%	-0.07%	-2.18%	-6.33%	-19.82%	-	-	-
Industry Proxy XLV	-1.35%	+0.34%	-3.81%	-4.84%	+9.21%	-	-	-
U.S. Market SPY	-0.07%	+3.60%	+0.34%	-0.36%	+29.52%	-	-	-
Alpha vs Market	-1.71%	-3.67%	-2.52%	-5.97%	-49.35%	-	-	-
Alpha vs Sector	-0.42%	-0.41%	+1.63%	-1.49%	-29.03%	-	-	-

Metric	ZTS	Benchmark
P/E Ratio	17.9x	-24%
EV/EBITDA	14.2x	+124%
Price / Book	14.8x

Stock Entity	Score▼	Quality	Value	Momentum	P/E Ratio	ROE	Gross Margin	Net Margin	Rev Growth	D/E Ratio	Market Cap	Compare
AZN ASTRAZENECA PLC	61	43	77	87	45.2x	88.7%	68.6%	28.3%	-	37.0x	$311.3B	VS
SLGL Sol-Gel Technologies Ltd.	57	41	36	98	-	-146.7%	100.0%	-91.7%	-	0.0x	$271M	VS
VMD VIEMED HEALTHCARE, INC.	53	50	63	60	27.6x	9.4%	57.8%	5.4%	30.8%	39.0x	$370M	VS
INVA Innoviva, Inc.	53	50	72	60	15.9x	9.2%	78.6%	23.9%	7.9%	39.0x	$1.7B	VS
HOLX HOLOGIC INC	53	50	43	58	31.7x	10.2%	51.4%	12.9%	3.6%	48.0x	$16.9B	VS
FONR FONAR CORP	52	48	50	57	11.1x	6.5%	88.3%	10.1%	2.4%	33.0x	$117M	VS
JNJ JOHNSON & JOHNSON	52	50	39	65	21.4x	32.9%	67.8%	29.0%	9.3%	51.0x	$588.0B	VS
UTHR UNITED THERAPEUTICS Corp	51	50	63	66	19.4x	18.0%	88.4%	40.7%	11.8%	11.0x	$25.0B	VS
DGX QUEST DIAGNOSTICS INC	51	50	62	55	21.2x	14.2%	33.2%	9.6%	17.5%	79.0x	$21.7B	VS
PFE PFIZER INC	49	50	59	48	11.1x	16.1%	74.7%	22.1%	25.4%	140.0x	$162.4B	VS
ZTS Zoetis Inc.	45	50	65	30	17.9x	82.9%	71.9%	29.2%	1.7%	364.0x	$49.5B

Key Ratio	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
Gross Margin %	0.7%	0.7%	0.7%	0.7%	0.7%	0.7%	0.7%	0.7%	0.7%	0.7%	0.7%
Operating Margin %	0.4%	0.4%	0.3%	0.3%	0.3%	0.3%	0.3%	0.3%	0.3%	0.3%	0.3%
EBITDA Margin %	0.4%	0.4%	0.3%	0.3%	0.3%	0.3%	0.4%	0.4%	0.4%	0.4%	0.3%
Net Margin %	0.3%	0.3%	0.3%	0.3%	0.3%	0.3%	0.2%	0.2%	0.2%	0.2%	0.2%
FCF Margin %	1.9%	-	-	-	-	-	25.1%	21.3%	24.9%	21.1%	10.2%
ROE %	0.8%	0.8%	0.5%	0.5%	0.5%	0.4%	0.4%	0.6%	0.7%	0.5%	0.6%
ROA %	0.2%	0.2%	0.2%	0.2%	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%
ROIC %	33.0%	79.7%	51.9%	46.5%	47.7%	43.3%	24.1%	21.5%	20.4%	26.1%	21.0%

Key Ratio

TTM

2025

2024

2023

2022

2021

2020

2019

2018

2017

2016

Gross Margin %

0.7%

Operating Margin %

0.4%

0.3%

EBITDA Margin %

0.4%

0.3%

0.4%

0.3%

Net Margin %

0.3%

0.2%

FCF Margin %

1.9%

25.1%

21.3%

24.9%

21.1%

10.2%

ROE %

0.8%

0.5%

0.4%

0.6%

0.7%

0.5%

0.6%

ROA %

0.2%

0.1%

ROIC %

33.0%

79.7%

51.9%

46.5%

47.7%

43.3%

24.1%

21.5%

20.4%

26.1%

21.0%

Line Item	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
	$9.5B	$9.5B	$9.3B	$8.5B	$8.1B	$7.8B	$6.7B	$6.3B	$5.8B	$5.3B	$4.9B	$4.8B
	—	$2.7B	$2.7B	$2.6B	$2.5B	$2.3B	—	—	—	—	—	—
	$6.8B	$6.8B	$6.5B	$6.0B	$5.6B	$5.5B	$4.6B	$4.3B	$3.9B	$3.5B	$3.2B	$3.0B
Gross Margin	71.9%	71.8%	70.6%	70.0%	69.6%	70.4%	69.2%	68.2%	67.2%	66.5%	65.9%	63.5%
	—	$2.4B	$2.3B	$2.2B	$2.0B	$2.0B	—	—	—	—	—	—
Research & Development	—	—	—	—	—	—	$463M	$457M	$432M	$382M	$376M	$364M
Depreciation	—	—	—	—	—	—	$441M	$412M	$308M	$242M	$240M	$199M
Total Operating Expenses	—	$3.4B	$3.4B	$3.0B	$3.0B	$3.0B	—	—	—	—	—	—
	$3.5B	$3.4B	$3.1B	$2.9B	$2.7B	$2.5B	$2.2B	$2.0B	$1.8B	$1.7B	$1.4B	$750M
EBIT	$3.5B	$3.4B	$3.1B	$2.9B	$2.7B	$2.5B	$2.2B	$2.0B	$1.8B	$1.7B	$1.4B	$750M
EBITDA	$3.5B	$3.4B	$3.1B	$2.9B	$2.7B	$2.5B	$2.7B	$2.4B	$2.2B	$1.9B	$1.6B	$868M
Operating Margin	36.7%	35.5%	33.9%	34.4%	32.9%	32.0%	33.6%	31.4%	31.1%	32.1%	28.5%	15.7%
EBITDA Margin	36.7%	35.5%	33.8%	34.4%	32.9%	32.0%	40.0%	38.9%	37.8%	36.6%	33.4%	18.2%
	—	$222M	$225M	$239M	$221M	$224M	$231M	$223M	$206M	$175M	$166M	$124M
	—	$3.4B	$3.1B	$2.9B	$2.7B	$2.5B	—	—	—	—	—	—
Income Tax Expense	—	$687M	$637M	$596M	$545M	$454M	$360M	$301M	$266M	$663M	$409M	$206M
	$2.8B	$2.7B	$2.5B	$2.3B	$2.1B	$2.0B	$1.6B	$1.5B	$1.4B	$862M	$819M	$339M
Net Margin	29.2%	28.2%	27.0%	27.4%	26.1%	26.2%	24.5%	24.0%	24.4%	16.2%	16.8%	7.1%
	$6.03	$6.03	$5.47	$5.08	$4.51	$4.29	$3.44	$3.14	$2.96	$1.76	$1.66	$0.68
Diluted EPS	$6.03	$6.02	$5.47	$5.07	$4.49	$4.27	$3.44	$3.14	$2.96	$1.76	$1.66	$0.68
Weighted Avg Basic	—	443M	454M	461M	469M	474M	—	—	—	—	—	—
Weighted Avg Diluted	—	444M	455M	462M	470M	477M	—	—	—	—	—	—

Line Item

TTM

2025

2024

2023

2022

2021

2020

2019

2018

2017

2016

2015

$9.5B

$9.3B

$8.5B

$8.1B

$7.8B

$6.7B

$6.3B

$5.8B

$5.3B

$4.9B

$4.8B

—

$2.7B

$2.6B

$2.5B

$2.3B

—

$6.8B

$6.5B

$6.0B

$5.6B

$5.5B

$4.6B

$4.3B

$3.9B

$3.5B

$3.2B

$3.0B

Gross Margin

71.9%

71.8%

70.6%

70.0%

69.6%

70.4%

69.2%

68.2%

67.2%

66.5%

65.9%

63.5%

—

$2.4B

$2.3B

$2.2B

$2.0B

—

Research & Development

—

$463M

$457M

$432M

$382M

$376M

$364M

Depreciation

—

$441M

$412M

$308M

$242M

$240M

$199M

Total Operating Expenses

—

$3.4B

$3.0B

—

$3.5B

$3.4B

$3.1B

$2.9B

$2.7B

$2.5B

$2.2B

$2.0B

$1.8B

$1.7B

$1.4B

$750M

EBIT

$3.5B

$3.4B

$3.1B

$2.9B

$2.7B

$2.5B

$2.2B

$2.0B

$1.8B

$1.7B

$1.4B

$750M

EBITDA

$3.5B

$3.4B

$3.1B

$2.9B

$2.7B

$2.5B

$2.7B

$2.4B

$2.2B

$1.9B

$1.6B

$868M

Operating Margin

36.7%

35.5%

33.9%

34.4%

32.9%

32.0%

33.6%

31.4%

31.1%

32.1%

28.5%

15.7%

EBITDA Margin

36.7%

35.5%

33.8%

34.4%

32.9%

32.0%

40.0%

38.9%

37.8%

36.6%

33.4%

18.2%

—

$222M

$225M

$239M

$221M

$224M

$231M

$223M

$206M

$175M

$166M

$124M

—

$3.4B

$3.1B

$2.9B

$2.7B

$2.5B

—

Income Tax Expense

—

$687M

$637M

$596M

$545M

$454M

$360M

$301M

$266M

$663M

$409M

$206M

$2.8B

$2.7B

$2.5B

$2.3B

$2.1B

$2.0B

$1.6B

$1.5B

$1.4B

$862M

$819M

$339M

Net Margin

29.2%

28.2%

27.0%

27.4%

26.1%

26.2%

24.5%

24.0%

24.4%

16.2%

16.8%

7.1%

$6.03

$5.47

$5.08

$4.51

$4.29

$3.44

$3.14

$2.96

$1.76

$1.66

$0.68

Diluted EPS

$6.03

$6.02

$5.47

$5.07

$4.49

$4.27

$3.44

$3.14

$2.96

$1.76

$1.66

$0.68

Weighted Avg Basic

—

443M

454M

461M

469M

474M

—

Weighted Avg Diluted

—

444M

455M

462M

470M

477M

—

Zoetis Inc. (ZTS) Stock Analysis — April 2026 Rating, Price, and Forecast

Last updated: April 2026

Company Overview — What Does Zoetis Inc. Do?

Zoetis Inc. discovers, develops, manufactures, and commercializes animal health medicines, vaccines, and diagnostic products in the United States and internationally. It commercializes products primarily across species, including livestock, such as cattle, swine, poultry, fish, and sheep; and companion animals comprising dogs, cats, and horses. The company also offers vaccines, which are biological preparations to prevent diseases of the respiratory, gastrointestinal, and reproductive tracts or induce a specific immune response; anti-infectives that prevent, kill, or slow the growth of bacteria, fungi, or protozoa; and parasiticides that prevent or eliminate external and internal parasites, which include fleas, ticks, and worms. It also provides other pharmaceutical products that comprise pain and sedation, antiemetic, reproductive, and oncology products; dermatology products for itch associated with allergic conditions and atopic dermatitis; and medicated feed additives, which offer medicines to livestock. In addition, the company provides portable blood and urine analysis testing, 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, including nutritionals and agribusiness services, as well as products and services in areas, such as biodevices, genetics tests, and precision animal health. It markets its products to veterinarians, livestock producers, and retail outlets, as well as third-party veterinary distributors through its sales representatives, and technical and veterinary operations specialists. The company was founded in 1952 and is headquartered in Parsippany, New Jersey. Zoetis Inc. (ZTS) is classified as a large-cap stock in the Healthcare sector, specifically within the Pharmaceutical Products industry. The company is led by CEO Kristin C. Peck and employs approximately 13,800 people, headquartered in Parsippany-Troy Hills, New Jersey. With a market capitalization of $49.5B, ZTS is one of the prominent companies in the Healthcare sector.

Zoetis Inc. (ZTS) Stock Rating — Reduce (April 2026)

As of April 2026, Zoetis Inc. receives a Reduce rating with a composite score of 44.5/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.ZTS ranks #2,773 out of 4,446 stocks in our coverage universe. Within the Healthcare sector, Zoetis Inc. ranks #380 of 838 stocks, placing it in the upper half of its Healthcare peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

ZTS Stock Price and 52-Week Range

Zoetis Inc. (ZTS) currently trades at $117.86. The stock lost $2.13 (1.8%) in the most recent trading session. The 52-week high for ZTS is $172.23, which means the stock is currently trading -31.6% from its annual peak. The 52-week low is $114.47, putting the stock 3.0% above its annual trough. Recent trading volume was 2.4M shares, reflecting moderate market activity.

Is ZTS Overvalued or Undervalued? — Valuation Analysis

Zoetis Inc. (ZTS) carries a value factor score of 65/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 17.85x, compared to the Healthcare sector average of 23.63x — a discount of 24%. The price-to-book ratio stands at 14.80x, versus the sector average of 2.75x. The price-to-sales ratio is 5.21x, compared to 1.66x for the average Healthcare stock. On an enterprise value basis, ZTS trades at 14.20x EV/EBITDA, versus 6.34x for the sector.

Overall, ZTS's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

Zoetis Inc. Profitability — ROE, Margins, and Quality Score

Zoetis Inc. (ZTS) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 82.9%, compared to the Healthcare sector average of -43.5%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 17.9% versus the sector average of -33.1%.

On a margin basis, Zoetis Inc. reports gross margins of 71.9%, compared to 71.5% for the sector. The operating margin is 36.7% (sector: -66.1%). Net profit margin stands at 29.2%, versus -58.7% for the average Healthcare stock. Revenue growth is running at 1.7% on a trailing basis, compared to 10.6% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.

ZTS Debt, Balance Sheet, and Financial Health

Zoetis Inc. has a debt-to-equity ratio of 364.0%, compared to the Healthcare sector average of 32.0%. This elevated leverage warrants close monitoring, as it increases the company's sensitivity to rising interest rates and economic downturns. The current ratio is 3.03x, indicating strong short-term liquidity. Total debt on the balance sheet is $7.07B. Cash and equivalents stand at $2.08B.

ZTS has a beta of 0.75, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for Zoetis Inc. is 75/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.

Zoetis Inc. Revenue and Earnings History — Quarterly Trend

In TTM 2026, Zoetis Inc. reported revenue of $9.47B and earnings per share (EPS) of $6.03. Net income for the quarter was $2.76B. Gross margin was 71.9%. Operating income came in at $3.47B.

In FY 2025, Zoetis Inc. reported revenue of $9.47B and earnings per share (EPS) of $6.03. Net income for the quarter was $2.67B. Gross margin was 71.8%. Revenue grew 2.3% year-over-year compared to FY 2024. Operating income came in at $3.36B.

In Q3 2025, Zoetis Inc. reported revenue of $2.40B and earnings per share (EPS) of $1.63. Net income for the quarter was $721M. Gross margin was 71.5%. Revenue grew 0.5% year-over-year compared to Q3 2024. Operating income came in at $887M.

In Q2 2025, Zoetis Inc. reported revenue of $2.46B and earnings per share (EPS) of $1.61. Net income for the quarter was $718M. Gross margin was 73.6%. Revenue grew 4.2% year-over-year compared to Q2 2024. Operating income came in at $902M.

Over the past 8 quarters, Zoetis Inc. has demonstrated a growth trajectory, with revenue expanding from $2.36B to $9.47B. Investors analyzing ZTS stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

ZTS Dividend Yield and Income Analysis

Zoetis Inc. (ZTS) currently pays a dividend yield of 1.3%. At this yield, a $10,000 investment in ZTS stock would generate approximately $$132.00 in annual dividend income. With a net margin of 29.2%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.

ZTS Momentum and Technical Analysis Profile

Zoetis Inc. (ZTS) has a momentum factor score of 30/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 33/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 15/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.

ZTS vs Competitors — Healthcare Sector Ranking and Peer Comparison

Within the Healthcare sector, Zoetis Inc. (ZTS) ranks #380 out of 838 stocks based on the Blank Capital composite score. This places ZTS in the upper half of all Healthcare stocks in our coverage universe. Key competitors and sector peers include ASTRAZENECA PLC (AZN) with a score of 61.4/100, Sol-Gel Technologies Ltd. (SLGL) with a score of 56.6/100, VIEMED HEALTHCARE, INC. (VMD) with a score of 53.4/100, Innoviva, Inc. (INVA) with a score of 52.7/100, and JOHNSON & JOHNSON (JNJ) with a score of 51.7/100.

Comparing ZTS against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full ZTS vs S&P 500 (SPY) comparison to assess how Zoetis Inc. stacks up against the broader market across all factor dimensions.

ZTS Next Earnings Date

No upcoming earnings date has been announced for Zoetis Inc. (ZTS) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy ZTS? — Investment Thesis Summary

The quantitative profile for Zoetis Inc. suggests caution. The value score of 65/100 suggests attractive pricing relative to fundamentals. Momentum is weak at 30/100, a headwind for near-term performance. Low volatility (stability score 75/100) reduces downside risk.

In summary, Zoetis Inc. (ZTS) earns a Reduce rating with a composite score of 44.5/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on ZTS stock.

Related Resources for ZTS Investors

Explore more research and tools: ZTS vs S&P 500 comparison, top Healthcare stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare ZTS head-to-head with peers: ZTS vs AZN, ZTS vs SLGL, ZTS vs VMD.

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Zoetis Inc. (ZTS) Stock Analysis — April 2026 Rating, Price, and Forecast

Company Overview — What Does Zoetis Inc. Do?

Zoetis Inc. (ZTS) Stock Rating — Reduce (April 2026)

ZTS Stock Price and 52-Week Range

Is ZTS Overvalued or Undervalued? — Valuation Analysis

Zoetis Inc. Profitability — ROE, Margins, and Quality Score

ZTS Debt, Balance Sheet, and Financial Health

Zoetis Inc. Revenue and Earnings History — Quarterly Trend

ZTS Dividend Yield and Income Analysis

ZTS Momentum and Technical Analysis Profile

ZTS vs Competitors — Healthcare Sector Ranking and Peer Comparison

ZTS Next Earnings Date

Should You Buy ZTS? — Investment Thesis Summary

Related Resources for ZTS Investors

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Zoetis (ZTS) Q3 2025 Earnings Call Transcript

Zoetis (ZTS) Q2 2025 Earnings Call Transcript

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