Analyst Consensus ?
ConsensusBuy31 ratings
Bullish1548.4%
Neutral1651.6%
Bearish00.0%
Zoetis Inc. · ZTS · FY2026 Q1 · Calendar Q2 2026
Zoetis Q1: U.S. Companion Animal Slump Drives 21% Selloff; Guidance Trimmed
Zoetis entered FY2026 with momentum from 6% organic growth in FY2025, but Q1 results revealed a sharp deterioration in its largest market. U.S. companion animal sales fell 8% as competitive pressure in dermatology and parasiticides intensified alongside rising price sensitivity among pet owners. International markets (10% organic) and livestock (12%) provided offsets but could not prevent flat overall organic revenue, an EPS miss of 4.4%, and a revenue miss of 1.7%. Management trimmed FY2026 guidance floors from 3%-5% to 2%-5% for revenue and from 3%-6% to 2%-6% for adjusted net income. The stock's 21% abnormal decline on report day, with an additional 9% drift, signals the market is pricing in sustained competitive and demand pressure rather than a transient dip.
Reported Before market openNYSEHealthcare
$32.67B market cap
100quality score
Company context
Snapshot as of publicationZoetis Inc. stands as a global leader in animal health, focusing on the research, development, manufacturing, and commercialization of veterinary pharmaceuticals, vaccines, and diagnostic tools. Its comprehensive portfolio serves a broad spectrum of species, encompassing both livestock, including cattle, swine, poultry, fish, and sheep, and beloved companion animals such as dogs, cats, and horses. Among its pharmaceutical offerings are various therapeutic agents. This includes vaccines, vital for preventing respiratory, gastrointestinal, and reproductive diseases by stimulating a targeted immune response; anti-infectives that combat or inhibit the proliferation of bacterial, fungal, or protozoal pathogens; and parasiticides aimed at eradicating both internal and external pests such as fleas, ticks, and various worms. Additional pharmaceuticals address areas such as pain management and sedation, anti-emesis, reproductive health, and oncology.…
Earnings scorecard
Reported versus consensus
Reported EPS
$1.53
Consensus $2
EPS surprise
-4.4%
Reported versus consensus
Reported revenue
$2.26B
Consensus $2.30B
Revenue surprise
-1.7%
Reported versus consensus
Earnings History
Estimate
Beat
Miss
Match
Analyst 52W Price Targets
$77.93Previous close
$85Low
$152.86Average
$254High
Latest persisted target per named analyst; persisted previous close from FN2's market snapshot as of Jul 30, 2026. Not an FN2 forecast.
Firm-level rating actions
FMP grade actions identify the grading firm, not a named analyst.
| Firm | Rating | Prior rating | Action | Date |
|---|---|---|---|---|
| UBS | Neutral | Neutral | Maintain | Jul 27, 2026 |
| Morgan Stanley | Overweight | Overweight | Maintain | Jul 22, 2026 |
| HSBC | Buy | Buy | Maintain | Jul 6, 2026 |
| Barclays | Equal Weight | Equal Weight | Maintain | Jul 1, 2026 |
| TD Cowen | Buy | Buy | Maintain | Jun 30, 2026 |
| Stifel | Hold | Hold | Maintain | Jun 26, 2026 |
| Argus Research | Hold | Buy | Downgrade | May 27, 2026 |
| Citigroup | Buy | Buy | Maintain | May 18, 2026 |
| JP Morgan | Overweight | Overweight | Maintain | May 8, 2026 |
| B of A Securities | Neutral | Neutral | Maintain | Feb 13, 2026 |
| Piper Sandler | Neutral | Overweight | Downgrade | Jan 22, 2026 |
| BTIG | Buy | Buy | Maintain | Dec 3, 2025 |
| Leerink Partners | Market Perform | Outperform | Downgrade | Jul 17, 2025 |
| Goldman Sachs | Buy | Buy | Maintain | May 6, 2024 |
| Atlantic Equities | Overweight | Overweight | Maintain | Jun 14, 2023 |
| Credit Suisse | Outperform | Outperform | Maintain | Aug 9, 2021 |
| Raymond James | Market Perform | Outperform | Downgrade | Jul 16, 2021 |
| Truist Securities | Hold | Hold | Maintain | May 10, 2021 |
| Gabelli & Co. | Hold | Buy | Downgrade | Aug 12, 2020 |
| CFRA | Strong Buy | Buy | Upgrade | Feb 13, 2020 |
| SunTrust Robinson Humphrey | Hold | Hold | Maintain | Aug 13, 2019 |
| Stifel Nicolaus | Buy | Buy | Maintain | Jul 22, 2019 |
| Bank of America | Neutral | Buy | Downgrade | Jul 1, 2019 |
| BMO Capital | Market Perform | Market Perform | Maintain | May 9, 2019 |
| Argus | Buy | Buy | Maintain | Aug 14, 2018 |
| Deutsche Bank | Hold | Hold | Maintain | Feb 16, 2018 |
| Cowen & Co. | Outperform | Market Perform | Upgrade | Dec 15, 2016 |
| Jefferies | Buy | Buy | Maintain | Aug 4, 2016 |
| William Blair | Outperform | Market Perform | Upgrade | Aug 6, 2015 |
| Hilliard Lyons | Neutral | Long Term Buy | Downgrade | Nov 13, 2014 |
| Edward Jones | Hold | Buy | Downgrade | Nov 12, 2014 |
Named analyst price targets
Upside is calculated against the persisted previous close $77.93. FMP does not supply a rating on these named-analyst rows.
| Firm | Analyst | 52W target | Price when posted | Upside | Date |
|---|---|---|---|---|---|
| UBS | Analyst unavailable | $85 | $76.52 | +9.1% | Jul 27, 2026 |
| Morgan Stanley | Analyst unavailable | $99 | $75.5 | +27.0% | Jul 22, 2026 |
| HSBC | Analyst unavailable | $95 | $74.63 | +21.9% | Jul 6, 2026 |
| Barclays | Analyst unavailable | $85 | $71.91 | +9.1% | Jul 1, 2026 |
| Stifel Nicolaus | Analyst unavailable | $85 | $77.82 | +9.1% | Jun 26, 2026 |
| Stifel Nicolaus | Analyst unavailable | $95 | $80.06 | +21.9% | May 22, 2026 |
| Morgan Stanley | Erin Wright | $115 | $76.06 | +47.6% | May 15, 2026 |
| UBS | Analyst unavailable | $99 | $83.27 | +27.0% | May 8, 2026 |
| Stifel Nicolaus | Analyst unavailable | $105 | $87.31 | +34.7% | May 8, 2026 |
| UBS | Analyst unavailable | $130 | $116.71 | +66.8% | Apr 28, 2026 |
| BTIG | Mark Massaro | $160 | $128.95 | +105.3% | Feb 26, 2026 |
| UBS | Analyst unavailable | $136 | $122.75 | +74.5% | Jan 29, 2026 |
| Piper Sandler | David Westenberg | $135 | $125.08 | +73.2% | Jan 22, 2026 |
| Morgan Stanley | Analyst unavailable | $160 | $124.54 | +105.3% | Dec 18, 2025 |
| HSBC | Analyst unavailable | $140 | $115.75 | +79.6% | Dec 10, 2025 |
| Barclays | Analyst unavailable | $136 | $118.16 | +74.5% | Dec 8, 2025 |
| Stifel Nicolaus | Analyst unavailable | $140 | $125.5 | +79.6% | Nov 4, 2025 |
| UBS | Analyst unavailable | $158 | $144.9 | +102.7% | Oct 20, 2025 |
| Piper Sandler | David Westenberg | $215 | $148.86 | +175.9% | Aug 11, 2025 |
| Stifel Nicolaus | Jonathan Block | $160 | $161.67 | +105.3% | Jun 17, 2025 |
| UBS | Andrea Alfonso | $170 | $149.87 | +118.1% | May 7, 2025 |
| Stifel Nicolaus | Jonathan Block | $165 | $150.83 | +111.7% | Apr 14, 2025 |
| Morgan Stanley | Erin Wright | $243 | $172.24 | +211.8% | Feb 4, 2025 |
| Barclays | Balaji Prasad | $242 | $185.29 | +210.5% | Aug 7, 2024 |
| Stifel Nicolaus | Jonathan Block | $200 | $176.31 | +156.6% | Aug 5, 2024 |
| Piper Sandler | David Westenberg | $195 | $149.77 | +150.2% | Apr 16, 2024 |
| Stifel Nicolaus | Jonathan Block | $195 | $167.02 | +150.2% | Apr 2, 2024 |
| Morgan Stanley | Analyst unavailable | $248 | $150.25 | +218.2% | Nov 15, 2022 |
| Jefferies | David Steinberg | $254 | $191.32 | +225.9% | Feb 21, 2022 |
| Argus Research | Jasper Hellweg | $225 | $203.86 | +188.7% | Aug 25, 2021 |
| Credit Suisse | Katie Tryhane | $230 | $199.16 | +195.1% | Aug 9, 2021 |
Track every rating change on ZTS the moment it posts. Free to start.
Start freeMarket reaction
prior-close to event-session close
Stock move
-21.5%
Event window
SPY move
-0.3%
Same window
Abnormal move
-21.2%
Stock minus SPY
Volume
8.4×
Versus trailing sessions
Subsequent drift
-9.0%
Up to 20 sessions
ZTSSPY benchmark
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Try FN2 freeTranscript intelligence
What changed
FY2025 delivered 6% organic growth with a bullish score of 78. Q1 FY2026 saw organic revenue go flat, the U.S. companion animal segment fall 8%, and the bullish score drop to 55. Guidance floors were lowered by one percentage point on both revenue and adjusted net income. New developments include the acquisition of Neogen's animal genomics business, early launches of Lenivia and Portela in Europe and Canada, and Canadian regulatory approval of Convenia RTU.
Guidance delta
FY2026 revenue growth guidance was lowered from 3%-5% to 2%-5%. Adjusted net income growth guidance was lowered from 3%-6% to 2%-6%. Both ceilings were unchanged; only the floors were reduced by one percentage point. Guidance sentiment was characterized as maintained.
Key takeaways
- Organic revenue was flat in Q1, a sharp slowdown from 6% growth in FY2025, as U.S. companion animal sales declined 8%.
- EPS of $1.53 missed consensus of $1.60 by 4.4%; revenue of $2.26B missed estimates of $2.30B by 1.7%.
- International grew 10% organically and livestock rose 12%, partially offsetting U.S. weakness.
- FY2026 guidance floors were trimmed to 2%-5% revenue growth and 2%-6% adjusted net income growth.
- The stock fell 21% on the report and drifted an additional 9% lower in subsequent weeks.
Management priorities
- Launch Lenivia and Portela in Europe and Canada
- Roll out Convenia RTU in Canada following regulatory approval
- Introduce Cytopoint Plus and other long-acting monoclonal antibodies
- Accelerate science-to-scale model to reduce time to market
- Continue cost and productivity initiatives alongside targeted DTC loyalty programs
Related earnings events
HealthcareSources
- Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
- FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
- Polygon adjusted daily market bars · 2026-07-30T10:21:04.237679+00:00
- Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-07-30T10:21:04.234928+00:00
Methodology
Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.
Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.
Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.
By FN2 Research · Updated . For educational purposes only; not investment advice.