AI Spotlight on ZTS
Company Description
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.
Market Data
Last Price | 171.94 |
Change Percentage | 0.61% |
Open | 169.06 |
Previous Close | 170.9 |
Market Cap ( Millions) | 77573 |
Volume | 2601858 |
Year High | 200.53 |
Year Low | 144.8 |
M A 50 | 170.54 |
M A 200 | 176.4 |
Financial Ratios
FCF Yield | 2.98% |
Dividend Yield | 1.04% |
ROE | 47.99% |
Debt / Equity | 129.06% |
Net Debt / EBIDTA | 130.90% |
Price To Book | 14.88 |
Price Earnings Ratio | 32.05 |
Price To FCF | 33.61 |
Price To sales | 8.48 |
EV / EBITDA | 21.45 |
News
- Jan -22 - SDZNY or ZTS: Which Is the Better Value Stock Right Now?
- Jan -17 - Want Decades of Passive Income? 3 Stocks to Buy Now and Hold Forever
- Jan -17 - 3 Upcoming Dividend Increases
- Jan -12 - Top 50 High Quality Dividend Growth Stocks - January 2025
- Jan -08 - Zoetis (ZTS) Surpasses Market Returns: Some Facts Worth Knowing
- Jan -07 - Is Zoetis Inc. (NYSE: ZTS) Overvalued? Or Is It Worth Buying Now?
- Jan -07 - Zoetis to Host Webcast and Conference Call on Fourth Quarter and Full Year 2024 Financial Results
- Jan -06 - SDZNY vs. ZTS: Which Stock Is the Better Value Option?
- Jan -03 - My Top 15 High Growth Dividend Stocks For January 2025
- Jan -01 - Dividends Matter - 3 Of My Favorite Stocks In An Overpriced Market
- Dec -26 - The Wall Street Journal Vs. Zoetis
- Dec -21 - Here's Why Zoetis (ZTS) Gained But Lagged the Market Today
- Dec -20 - SDZNY or ZTS: Which Is the Better Value Stock Right Now?
- Dec -19 - 5 Magnificent Dividend Growth Stocks Down 24% to 41% to Buy Before 2025 for a Lifetime of Passive Income
- Dec -16 - 4 Stocks in Focus That Declared Dividend Hikes Amid Market Volatility
- Dec -13 - A Once-in-a-Decade Opportunity: 2 Magnificent S&P 500 Stocks Down 37% and 28% to Buy Before 2025
- Dec -12 - Zoetis Declares First Quarter 2025 Dividend; Board Approves 16% Payment Increase
- Dec -05 - The animal health industry is resilient, Zoetis CEO
- Dec -04 - SDZNY vs. ZTS: Which Stock Is the Better Value Option?
- Dec -02 - My Top 15 High-Growth Dividend Stocks For December 2024
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> Parasiticides
Expected Growth : 5 %
What the company do ?
Parasiticides from Zoetis Inc. are medications that kill parasites, such as fleas, ticks, and worms, to protect animals from infestations and diseases.
Why we expect these perspectives ?
Zoetis Inc.'s parasiticide segment growth is driven by increasing pet ownership, rising awareness of parasitic diseases, and growing demand for convenient and effective treatments. Additionally, the company's strong R&D pipeline, strategic partnerships, and expanding distribution channels in emerging markets contribute to its 5% growth rate.
Segment nΒ°2 -> Vaccines
Expected Growth : 7 %
What the company do ?
Zoetis Inc. develops and manufactures veterinary vaccines to protect animals from various diseases, improving animal health and well-being.
Why we expect these perspectives ?
Zoetis Inc.'s vaccine segment growth is driven by increasing demand for animal health products, rising prevalence of diseases in livestock, and growing adoption of veterinary care in emerging markets. Additionally, the company's innovative product pipeline, strategic acquisitions, and strong distribution network contribute to its 7% growth rate.
Segment nΒ°3 -> Dermatology
Expected Growth : 4 %
What the company do ?
Dermatology from Zoetis Inc. provides veterinary dermatology solutions, offering a range of products and services to diagnose, treat, and manage skin conditions in animals.
Why we expect these perspectives ?
Zoetis' Dermatology segment growth is driven by increasing pet owner spending on animal health, rising prevalence of skin conditions in pets, and the company's strong product portfolio, including Apoquel and Cytopoint. Additionally, the growing demand for veterinary care services and Zoetis' expanding distribution network contribute to the segment's 4% growth.
Segment nΒ°4 -> Other Pharmaceuticals
Expected Growth : 3 %
What the company do ?
Other Pharmaceuticals from Zoetis Inc. includes a range of products for companion animals, livestock, and poultry, such as vaccines, anti-infectives, and parasiticides.
Why we expect these perspectives ?
Zoetis' Other Pharmaceuticals segment growth is driven by increasing demand for parasiticides, vaccines, and medicated feed additives, particularly in emerging markets. Strong product pipeline, strategic acquisitions, and partnerships also contribute to growth. Additionally, rising pet ownership and humanization of pets lead to increased spending on animal health products, further boosting segment growth.
Segment nΒ°5 -> Anti-infectives
Expected Growth : 5 %
What the company do ?
Anti-infectives from Zoetis Inc. are veterinary medicines that help prevent and treat bacterial, viral, and fungal infections in animals, promoting healthy outcomes.
Why we expect these perspectives ?
Zoetis Inc.'s Anti-infectives segment growth is driven by increasing demand for veterinary care, rising prevalence of zoonotic diseases, and growing awareness of animal health. Additionally, the company's strong R&D pipeline, strategic acquisitions, and expanding presence in emerging markets contribute to its 5% growth rate.
Segment nΒ°6 -> Animal Health Diagnostics
Expected Growth : 8 %
What the company do ?
Animal Health Diagnostics from Zoetis Inc. provides veterinary diagnostic solutions, including tests and instruments, to help veterinarians diagnose and manage animal diseases.
Why we expect these perspectives ?
Zoetis Inc.'s Animal Health Diagnostics segment growth is driven by increasing pet ownership, rising demand for animal health monitoring, and advancements in diagnostic technologies. The growing need for disease prevention and control, coupled with the increasing adoption of precision livestock farming, further fuels growth. Additionally, the company's strategic acquisitions and partnerships expand its product portfolio and geographic reach, contributing to the 8% growth rate.
Segment nΒ°7 -> Medicated Feed Additives
Expected Growth : 4 %
What the company do ?
Medicated Feed Additives from Zoetis Inc. are pharmaceutical products added to animal feed to prevent or treat diseases, promoting health and productivity in livestock.
Why we expect these perspectives ?
Zoetis Inc.'s Medicated Feed Additives segment growth is driven by increasing demand for animal health products, rising awareness of disease prevention, and growing livestock production. Additionally, the company's strong R&D pipeline, strategic acquisitions, and expanding distribution network contribute to its growth.
Segment nΒ°8 -> Other Non-pharmaceuticals
Expected Growth : 2 %
What the company do ?
Other Non-pharmaceuticals from Zoetis Inc. refers to a range of animal health products and services, excluding pharmaceuticals, that improve animal care and well-being.
Why we expect these perspectives ?
Zoetis' Other Non-pharmaceuticals segment growth is driven by increasing demand for diagnostic products, vaccines, and nutritional health products for livestock and companion animals. Expanding distribution channels, strategic partnerships, and innovative product offerings also contribute to growth. Additionally, rising awareness about animal health and wellness, as well as growing pet ownership, support segment expansion.
Segment nΒ°9 -> Contract Manufacturing and Human Health
Expected Growth : 6 %
What the company do ?
Contract Manufacturing from Zoetis Inc. provides outsourced manufacturing services for animal health products, while Human Health focuses on developing and commercializing medicines for human diseases.
Why we expect these perspectives ?
Zoetis Inc.'s Contract Manufacturing and Human Health segment growth is driven by increasing demand for outsourced manufacturing services, expansion into emerging markets, and a growing need for human health products. Additionally, strategic partnerships, investments in R&D, and a strong product pipeline contribute to the 6% growth rate.
Zoetis Inc. Products
Product Range | What is it ? |
---|---|
Vaccines | Zoetis offers a range of vaccines for livestock, poultry, and companion animals to protect against various diseases. |
Parasiticides | Zoetis provides parasiticides to control internal and external parasites in livestock, poultry, and companion animals. |
Anti-Infectives | Zoetis offers anti-infective products to treat bacterial, viral, and fungal infections in animals. |
Medicated Feed Additives | Zoetis provides medicated feed additives to promote animal health and productivity. |
Dermatology Products | Zoetis offers dermatology products to treat skin conditions in companion animals. |
Pain Management Products | Zoetis provides pain management products to alleviate pain and discomfort in animals. |
Reproductive Health Products | Zoetis offers reproductive health products to improve fertility and reproductive health in animals. |
Diagnostics | Zoetis provides diagnostic products and services to detect and monitor diseases in animals. |
Genetic Testing | Zoetis offers genetic testing services to identify genetic traits and improve animal breeding. |
Zoetis Inc.'s Porter Forces
Threat Of Substitutes
Zoetis Inc. operates in a highly competitive industry, but the threat of substitutes is moderate due to the company's strong brand recognition and customer loyalty.
Bargaining Power Of Customers
Zoetis Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are often essential for animal health, giving it an upper hand in negotiations.
Bargaining Power Of Suppliers
Zoetis Inc. relies on a network of suppliers for raw materials and services. While the company has some bargaining power due to its size, suppliers can still exert some pressure, particularly for specialized or high-demand inputs.
Threat Of New Entrants
The animal health industry has high barriers to entry, including significant research and development costs, regulatory hurdles, and the need for specialized expertise. This limits the threat of new entrants.
Intensity Of Rivalry
The animal health industry is highly competitive, with several established players vying for market share. Zoetis Inc. faces intense competition from companies like Merck Animal Health and Elanco Animal Health.
Strength
Capital Structure
Value | |
---|---|
Debt Weight | 56.97% |
Debt Cost | 5.26% |
Equity Weight | 43.03% |
Equity Cost | 8.20% |
WACC | 6.52% |
Leverage | 132.38% |
Zoetis Inc. : Quality Control
Zoetis Inc. passed 6 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
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CVS | CVS Health Corporation provides health services in the United States. The company's Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services. It serves employer β¦ |
MRK | Merck & Co., Inc. operates as a healthcare company worldwide. It operates through two segments, Pharmaceutical and Animal Health. The Pharmaceutical segment offers human health pharmaceutical products in the areas β¦ |
GILD | Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally. The company provides Biktarvy, Genvoya, β¦ |
BMY | Bristol-Myers Squibb Company discovers, develops, licenses, manufactures, and markets biopharmaceutical products worldwide. It offers products for hematology, oncology, cardiovascular, immunology, fibrotic, neuroscience, and covid-19 diseases. The company's products include Revlimid, β¦ |
BSX | Boston Scientific Corporation develops, manufactures, and markets medical devices for use in various interventional medical specialties worldwide. It operates through three segments: MedSurg, Rhythm and Neuro, and Cardiovascular. The company β¦ |