Zoetis (NYSE:ZTS) Posts Quarterly Earnings Results, Misses Expectations By $0.02 EPS

Zoetis (NYSE:ZTS – Get Rating) posted its earnings results on Thursday. The company reported $1.20 earnings per share for the quarter, missing the consensus estimate of $1.22 by ($0.02), Briefing.com reports. Zoetis had a net margin of 26.27% and a return on equity of 49.62%. The firm had revenue of $2.10 billion during the quarter, compared to analysts’ expectations of $2.03 billion. During the same period in the previous year, the firm posted $1.19 earnings per share. The firm’s revenue for the quarter was up 7.8% on a year-over-year basis. Zoetis updated its FY22 guidance to $4.97-$5.05 EPS.

Zoetis Stock Performance

ZTS opened at $174.61 on Friday. The stock has a market cap of $82.18 billion, a P/E ratio of 40.05, a P/E/G ratio of 3.06 and a beta of 0.73. The company has a debt-to-equity ratio of 1.12, a current ratio of 2.25 and a quick ratio of 1.58. The stock’s 50 day simple moving average is $171.80 and its 200 day simple moving average is $181.35. Zoetis has a 1-year low of $154.18 and a 1-year high of $249.27.

Zoetis Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 1st. Investors of record on Thursday, July 21st will be issued a $0.325 dividend. This represents a $1.30 dividend on an annualized basis and a dividend yield of 0.74%. The ex-dividend date is Wednesday, July 20th. Zoetis’s dividend payout ratio is currently 29.82%.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on ZTS shares. Stifel Nicolaus reduced their target price on Zoetis from $275.00 to $225.00 and set a “buy” rating for the company in a report on Friday, June 24th. StockNews.com downgraded Zoetis from a “strong-buy” rating to a “buy” rating in a research note on Tuesday, April 26th. The Goldman Sachs Group reduced their price objective on Zoetis from $208.00 to $202.00 and set a “buy” rating for the company in a research note on Thursday, July 21st. Finally, Piper Sandler assumed coverage on Zoetis in a research note on Monday, July 11th. They set an “overweight” rating and a $205.00 price objective for the company. One investment analyst has rated the stock with a hold rating and eight have given a buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $224.88.

Insider Buying and Selling

In other Zoetis news, Director Willie M. Reed sold 1,855 shares of the stock in a transaction on Friday, June 10th. The stock was sold at an average price of $162.31, for a total transaction of $301,085.05. Following the transaction, the director now owns 6,782 shares of the company’s stock, valued at approximately $1,100,786.42. The sale was disclosed in a filing with the SEC, which is available at the SEC website. In related news, CEO Kristin C. Peck sold 9,689 shares of the stock in a transaction on Thursday, July 21st. The stock was sold at an average price of $180.00, for a total value of $1,744,020.00. Following the transaction, the chief executive officer now directly owns 39,743 shares of the company’s stock, valued at approximately $7,153,740. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Willie M. Reed sold 1,855 shares of the stock in a transaction on Friday, June 10th. The stock was sold at an average price of $162.31, for a total value of $301,085.05. Following the completion of the transaction, the director now directly owns 6,782 shares in the company, valued at $1,100,786.42. The disclosure for this sale can be found here. Insiders have sold a total of 18,356 shares of company stock worth $3,250,158 in the last quarter. Company insiders own 0.12% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the company. Toroso Investments LLC increased its holdings in Zoetis by 9.4% in the 1st quarter. Toroso Investments LLC now owns 6,203 shares of the company’s stock valued at $1,170,000 after purchasing an additional 533 shares in the last quarter. Nomura Holdings Inc. increased its holdings in Zoetis by 5.0% in the 1st quarter. Nomura Holdings Inc. now owns 9,221 shares of the company’s stock valued at $1,762,000 after purchasing an additional 441 shares in the last quarter. Worldquant Millennium Advisors LLC acquired a new stake in Zoetis in the 1st quarter valued at $19,287,000. Walleye Capital LLC acquired a new stake in Zoetis in the 1st quarter valued at $446,000. Finally, Continuum Advisory LLC increased its holdings in Zoetis by 15.4% in the 1st quarter. Continuum Advisory LLC now owns 4,213 shares of the company’s stock valued at $747,000 after purchasing an additional 562 shares in the last quarter. 90.73% of the stock is owned by hedge funds and other institutional investors.

About Zoetis

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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.