Zoetis misses Q1 revenue estimates, cuts FY outlook

Zoetis

07/05/2026 12:15

Overview

Animal health company's Q1 revenue grew 3% but missed analyst expectations

Adjusted EPS for Q1 was $1.53, up 9% year-over-year

Company cut full-year 2026 revenue and adjusted EPS guidance amid softer demand and competition

Outlook

Zoetis sees 2026 revenue at $9.68 bln to $9.96 bln, organic growth of 2% to 5%

Company expects 2026 adjusted diluted EPS of $6.85 to $7.00

Zoetis anticipates 2026 organic operational growth in adjusted net income of 2% to 6%

Result Drivers

SOFTER PET CARE DEMAND - Co said increased price sensitivity among pet owners led to fewer veterinary visits and weaker demand for premium products in the U.S.

COMPETITION - Co cited intensified competition in key pet care categories, including dermatology and parasiticides, impacting U.S. companion animal sales

LIVESTOCK AND INTERNATIONAL STRENGTH - Livestock and international segments saw growth, with livestock benefiting from favorable producer economics, disease outbreaks, and supply recovery

Company press release: ID:nBw1C72pWa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$2.26 bln
$2.30 bln (14 Analysts)
Q1 EPS
$1.42


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"

Wall Street's median 12-month price target for Zoetis Inc is $142.50, about 28.1% above its May 6 closing price of $111.22

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 18 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)