Zoetis (NYSE:ZTS) Shares Up 6% on Earnings Beat

Zoetis Inc. (NYSE:ZTS) shot up 6% during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $169.24 and last traded at $167.98. 1,649,248 shares were traded during trading, a decline of 47% from the average session volume of 3,134,072 shares. The stock had previously closed at $158.50.

The company reported $1.38 earnings per share for the quarter, beating analysts’ consensus estimates of $1.34 by $0.04. The firm had revenue of $2.19 billion for the quarter, compared to analyst estimates of $2.14 billion. Zoetis had a net margin of 27.43% and a return on equity of 51.25%. Zoetis’s quarterly revenue was up 9.5% compared to the same quarter last year. During the same period last year, the company posted $1.31 EPS.

Zoetis Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, June 4th. Shareholders of record on Friday, April 19th will be paid a $0.432 dividend. This represents a $1.73 dividend on an annualized basis and a yield of 1.03%. The ex-dividend date of this dividend is Thursday, April 18th. Zoetis’s dividend payout ratio (DPR) is 34.12%.

Analyst Ratings Changes

A number of research firms have weighed in on ZTS. Stifel Nicolaus decreased their target price on shares of Zoetis from $195.00 to $180.00 and set a “buy” rating on the stock in a research note on Tuesday. The Goldman Sachs Group raised their target price on shares of Zoetis from $190.00 to $226.00 and gave the stock a “buy” rating in a research note on Wednesday, January 17th. StockNews.com lowered shares of Zoetis from a “strong-buy” rating to a “buy” rating in a research report on Tuesday, February 20th. Piper Sandler reaffirmed an “overweight” rating and set a $195.00 price target (down previously from $220.00) on shares of Zoetis in a research report on Tuesday, April 16th. Finally, Barclays reduced their price target on shares of Zoetis from $260.00 to $230.00 and set an “overweight” rating on the stock in a research report on Tuesday, April 23rd. Eight research analysts have rated the stock with a buy rating, Based on data from MarketBeat, the stock currently has a consensus rating of “Buy” and a consensus price target of $216.13.

Insider Activity at Zoetis

In related news, EVP Roxanne Lagano sold 923 shares of Zoetis stock in a transaction that occurred on Thursday, April 18th. The shares were sold at an average price of $151.17, for a total value of $139,529.91. Following the completion of the sale, the executive vice president now owns 14,800 shares in the company, valued at approximately $2,237,316. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In the last quarter, insiders sold 2,209 shares of company stock worth $371,293. Insiders own 0.16% of the company’s stock.

Institutional Trading of Zoetis

Several institutional investors have recently added to or reduced their stakes in ZTS. Blue Bell Private Wealth Management LLC grew its stake in shares of Zoetis by 222.5% in the fourth quarter. Blue Bell Private Wealth Management LLC now owns 129 shares of the company’s stock worth $25,000 after acquiring an additional 89 shares in the last quarter. Webster Bank N. A. grew its stake in shares of Zoetis by 89.1% in the first quarter. Webster Bank N. A. now owns 174 shares of the company’s stock worth $29,000 after acquiring an additional 82 shares in the last quarter. Independence Bank of Kentucky grew its stake in shares of Zoetis by 371.4% in the fourth quarter. Independence Bank of Kentucky now owns 165 shares of the company’s stock worth $33,000 after acquiring an additional 130 shares in the last quarter. Private Wealth Management Group LLC acquired a new position in shares of Zoetis in the fourth quarter worth $33,000. Finally, Ramirez Asset Management Inc. acquired a new position in shares of Zoetis in the third quarter worth $35,000. Institutional investors and hedge funds own 92.80% of the company’s stock.

Zoetis Trading Up 5.5 %

The company has a debt-to-equity ratio of 1.32, a current ratio of 3.36 and a quick ratio of 2.00. The company’s 50 day simple moving average is $169.48 and its 200 day simple moving average is $178.89. The firm has a market cap of $76.48 billion, a price-to-earnings ratio of 32.98, a P/E/G ratio of 2.50 and a beta of 0.86.

Zoetis Company Profile

Zoetis Inc engages in the discovery, development, manufacture, and commercialization of animal health medicines, vaccines, and diagnostic products and services in the United States and internationally. The company commercializes products primarily across species, including livestock, such as cattle, swine, poultry, fish, and sheep and others; and companion animals comprising dogs, cats, and horses.