Should You Invest in Zoetis Stock in 2025? UAE Market Insights
Is Zoetis stock a buy right now?
Zoetis Inc. (ZTS), listed on the NYSE and a global leader in animal health, is currently trading at approximately $167.14 with an average daily trading volume of 2.87 million shares as of late May 2025. The company recently reported robust first-quarter results, exceeding analyst expectations on both revenue and earnings per share, prompting management to raise its 2025 guidance. Noteworthy recent developments include Zoetis’ conditional U.S. licensure for its H5N2 avian flu vaccine and the appointment of Dr. Mark Stetter to its Board, both reinforcing its innovative edge and governance. While the stock has faced modest pressure in the past six months, sector-wide trends remain favorable, notably the sustained rise in pet care and ongoing expansion in livestock solutions. Market sentiment is broadly constructive, seeing Zoetis as maintaining leadership through a diverse product pipeline and operational resilience. In the context of the animal healthcare sector's secular growth, and with a healthy balance sheet and a forward P/E below 30, Zoetis looks well-positioned for steady long-term performance. The consensus among more than 33 national and international banks sets a target price around $217.30, underlining confidence in the name. With the next dividend of $0.50 scheduled in July and solid fundamentals, Zoetis presents a compelling option for investors seeking stability in healthcare innovation.
- ✅Global leader in animal medicines with wide portfolio across pet and livestock segments.
- ✅Consistent revenue and profit growth supported by robust 8.3% sales increase in 2024.
- ✅Strong innovation pipeline, highlighted by new vaccines and arthritis therapies.
- ✅Geographic diversification limits regional economic risks and leverages international growth.
- ✅Stable dividend yield of 1.2% with regular payout and solid cash generation.
- ❌Some product controversy regarding pet arthritis treatments in 2024 may require monitoring.
- ❌Earnings remain sensitive to international currency fluctuations over time.
- ✅Global leader in animal medicines with wide portfolio across pet and livestock segments.
- ✅Consistent revenue and profit growth supported by robust 8.3% sales increase in 2024.
- ✅Strong innovation pipeline, highlighted by new vaccines and arthritis therapies.
- ✅Geographic diversification limits regional economic risks and leverages international growth.
- ✅Stable dividend yield of 1.2% with regular payout and solid cash generation.
Is Zoetis stock a buy right now?
- ✅Global leader in animal medicines with wide portfolio across pet and livestock segments.
- ✅Consistent revenue and profit growth supported by robust 8.3% sales increase in 2024.
- ✅Strong innovation pipeline, highlighted by new vaccines and arthritis therapies.
- ✅Geographic diversification limits regional economic risks and leverages international growth.
- ✅Stable dividend yield of 1.2% with regular payout and solid cash generation.
- ❌Some product controversy regarding pet arthritis treatments in 2024 may require monitoring.
- ❌Earnings remain sensitive to international currency fluctuations over time.
- ✅Global leader in animal medicines with wide portfolio across pet and livestock segments.
- ✅Consistent revenue and profit growth supported by robust 8.3% sales increase in 2024.
- ✅Strong innovation pipeline, highlighted by new vaccines and arthritis therapies.
- ✅Geographic diversification limits regional economic risks and leverages international growth.
- ✅Stable dividend yield of 1.2% with regular payout and solid cash generation.
- What is Zoetis?
- How much is the Zoetis stock?
- Our full analysis of the Zoetis stock
- How to buy Zoetis stock in the UAE?
- Our 7 tips for buying Zoetis stock
- The latest news about Zoetis
- FAQ
What is Zoetis?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | United States | US-based, implying USD reporting and exposure to US and global animal health markets. |
💼 Market | NYSE | Major US exchange offers strong liquidity and global investor access. |
🏛️ ISIN code | US98978V1035 | Unique identifier for Zoetis shares, needed for international trading. |
👤 CEO | Kristin Peck | Kristin Peck leads the company, focusing on growth and global leadership. |
🏢 Market cap | $74.41 billion | Large market cap reflects sector leadership and strong global investor confidence. |
📈 Revenue | $9.26 billion (2024) | Revenue grew 8.33% YoY, showing strong demand and robust operational performance. |
💹 EBITDA | ~$3.12 billion (2024 est.) | High EBITDA suggests healthy profitability and strong cash generation capacity. |
📊 P/E Ratio (Price/Earnings) | 30.01 | High P/E signals premium valuation, typical of growth and defensive health care stocks. |
How much is the Zoetis stock?
The price of Zoetis stock is rising this week. As of now, Zoetis (ZTS) trades at $167.14, having gained $1.74 (+1.05%) over the past 24 hours, though it has seen a -2.80% drop over the week.
Market Cap | Average Volume | P/E Ratio | Dividend Yield | Beta |
---|---|---|---|---|
$74.41 billion | 2.87 million | 30.01 | 1.20% | 0.94 |
Zoetis displays a beta of 0.94, indicating lower volatility than the broader market. With these fundamentals, Zoetis presents an appealing profile for AE investors seeking stability in the dynamic healthcare sector.
Discover the best brokers in the United Arab Emirates!Compare brokersOur full analysis of the Zoetis stock
After a thorough review of Zoetis’ latest financial disclosures and a comprehensive assessment of the stock’s performance across the past three years, we have leveraged our proprietary multi-factor models to synthesize key insights. Integrating financial metrics, technical indicators, sector dynamics, and competitive benchmarking, our analysis uncovers strategic signals surrounding Zoetis at this pivotal inflection point. So, why might Zoetis stock once again become a strategic entry point into the global animal health sector in 2025?
Recent Performance and Market Context
Zoetis (NYSE: ZTS) currently trades at $167.14 per share, reflecting a moderate short-term dip (-2.80% over one week, -4.63% in the last six months) but relative resilience over a challenging year for the broader healthcare segment (-2.14% YTD). Despite this consolidation, Zoetis maintains a robust market capitalization of $74.41 billion and a 52-week price range from $139.70 to $200.33—a clear illustration of both underlying investor interest and potential upside.
Recent trading sessions have marked a return of positive short-term momentum, driven by an intraday gain of +1.05%, coupled with high average daily volume (2.87 million shares), indicating renewed confidence as the company advances on several strategic fronts. Key fundamental strengths were reconfirmed by Q1 2025 results, which outperformed consensus estimates for both revenue and bottom-line profitability.
The macroeconomic context further bolsters Zoetis' prospects. The animal health market is undergoing structural expansion, underpinned by megatrends such as the humanization of pets, rising global protein consumption, and the pivotal role of bio-therapeutics in food security and companion animal care—dynamics particularly relevant for Middle Eastern markets with expanding consumer affluence and veterinary sector development.
Technical Analysis
Current technical indicators for Zoetis point to a compelling entry zone. The Relative Strength Index (RSI) stands at 55.39, neither overbought nor oversold, allowing significant room for upward movement. The Moving Average Convergence Divergence (MACD) registers at 1.97, sending a clear bullish signal and confirming a shift in trend momentum.
Key support rests between $157.17 and $160.72, with additional support observed at $162.42 and $154.91. Notably, the stock has successfully defended these zones in recent consolidations, indicating a robust technical floor. The principal resistance is delineated at $200.33—a level reached during its 52-week high. Given the current momentum, an approach toward this upper band appears plausible as catalysts materialize.
Short- and medium-term technical structure reveal a constructive setup. The stock has staged several higher lows since its recent bottom, encouraging a tactical perspective for either staged accumulation or portfolio rebalancing near current quotations.
Fundamental Analysis
On fundamentals, Zoetis stands out for its consistency and strategic direction. Revenues for Q1 2025 climbed to $2.2 billion, marking +9% operational growth and +1% on a reported basis—testament to strong demand for high-margin product lines, especially in companion animal therapeutics. Adjusted net income reached $662 million, up +6% organically, driving EPS outperformance ($1.48 vs. consensus, an $0.08 positive surprise).
Metric | Q1 2025 | Fiscal 2024 | YoY Change |
---|---|---|---|
Revenue | $2.2B | $9.26B | +8.33% |
Net Earnings | $662M | $2.49B | +6.06% |
Operational Growth | +9% | — | — |
Adjusted EPS | $1.48 | — | +$0.08 vs. consensus |
Margin | — | 27.12% | — |
Return on Equity | — | 52.09% | — |
From a valuation perspective, Zoetis continues to trade at a forward P/E of 27.03, with a trailing P/E of 30.01—levels that can be deemed justified, considering growth prospects, defensive sector characteristics, and the favorable analyst consensus targeting $212.13 (representing ~27% potential upside).
- Market Leadership: The world’s leading animal health company, balancing exposure to both companion animals and livestock.
- Innovation Edge: Ongoing R&D investments yield a robust, diversified product pipeline, with high-profile launches (e.g., Librela, Solensia) supporting future topline expansion.
- Global Reach: Broadly diversified revenues, strong penetration in key growth regions, and an adaptive supply chain, important in an increasingly regulated and globalized industry.
- Brand Capital: Dominant recognition within veterinary channels, bolstering pricing power and deepening customer loyalty.
Volume and Liquidity
Volume metrics point to healthy liquidity and solid market sentiment. The 2.87 million average daily shares traded over the past three months reflects sustained institutional and retail participation. Furthermore, with 444.77 million shares in public float out of 446.18 million outstanding, Zoetis exhibits a float structure conducive to dynamic price discovery—with sufficient liquidity to support larger trades without distorting pricing.
Market confidence is evident: consistent volume, despite recent price softness, suggests accumulation by longer-term investors and a gradual transition to strong hands, particularly in anticipation of upcoming catalysts.
Catalysts and Positive Outlook
Zoetis approaches the coming months with several high-impact drivers:
- Regulatory Milestones: The recent conditional USDA license for the H5N2 avian influenza vaccine underscores ongoing R&D success and potential new revenue streams.
- Strategic Governance: Addition of seasoned industry expertise to the board in 2025 signals an ongoing focus on operational and innovation excellence.
- Upwardly Revised Guidance: Management has raised 2025 guidance, now expecting revenues in the $9.425–$9.575 billion range and adjusted EPS of $6.20–$6.30—clear validation of management’s confidence.
- Product Innovation: High-margin blockbusters such as Librela and Solensia are still ramping globally, addressing substantial unmet needs in companion animal medicine.
- Expansion Playbook: Strengthening international footprint (with 75% domestic US production) positions Zoetis to capture growth in both mature and emerging markets—a salient point for investors in the AE region eyeing portfolio internationalization.
- Favorable Sector Tailwinds: The animal health segment enjoys secular growth, spurred by demographic and consumer shifts; Zoetis, with its balanced portfolio and innovation prowess, is distinctively placed to capture outsized share.
Investment Strategies
Zoetis’ current profile presents appealing entry points across various investment horizons:
- Short-Term: The convergence of technical support, positive MACD, and RSI neutrality makes a compelling case for a rebound trade, especially as the stock sits comfortably above critical support levels.
- Medium-Term: Forthcoming Q2 results (expected August 4–8, 2025), alongside imminent dividend (ex-dividend date July 18, 2025), establish a timeline rich in well-defined catalysts. Initiating or increasing positions ahead of these events could offer exposure to upside volatility as the market reprices around positive news flow.
- Long-Term: For strategic investors, Zoetis offers enduring appeal: sector megatrends, high-quality earnings growth, and a visible pipeline suggest continued compounding returns. Those with a portfolio focus on defensive growth, innovation-driven multinationals, or healthcare sector allocation will find ZTS’s current levels and volatility conducive for staged entry or core positioning.
Ideal portfolio construction might favor incremental accumulation near the $162–$167 range, correspondingly close to technical support and before the potential wave of renewed momentum as fresh catalysts approach.
Is it the Right Time to Buy Zoetis?
Bringing together sector fundamentals, technical momentum, forward-looking catalysts, and exceptional financial underpinnings, Zoetis now stands out as one of the most attractive animal health equities globally. The group has repeatedly validated its ability to deliver operational beats, extend category leadership, and drive margin expansion even amidst cyclical headwinds.
With an underappreciated growth profile, robust balance sheet, justified premium to market multiples, and a series of upcoming catalysts (earnings, product rollouts, governance enhancements), Zoetis seems to represent an excellent opportunity for investors seeking international healthcare exposure, stable growth, and resilient returns in a rapidly evolving sector.
For those constructing a forward-looking portfolio attuned to innovation, sustainability, and demographic trends, Zoetis is ideally positioned at a technical low, ahead of its next growth phase—a scenario that fundamentally justifies renewed interest. As animal health needs accelerate and resilient, proven platforms take center stage, Zoetis is shaping up to be a clear candidate for renewed market leadership and long-term value creation.
In short, Zoetis’ current valuation, technical posture, and compelling fundamental drivers combine to form a powerful case for serious consideration, with upside potential that is hard to ignore in today’s market landscape.
How to buy Zoetis stock in the UAE?
Investing in Zoetis (ZTS) shares online is a straightforward and secure process when you use a regulated broker in the UAE. Whether you prefer to directly own the shares (spot buying) or seek more flexibility through Contracts for Difference (CFDs), both methods allow you to participate in the growth of the global animal health leader. Spot buying means you become a shareholder, with the right to dividends, while CFD trading offers leverage and short-term strategies. To choose the solution best suited to your needs, check out our detailed broker comparison further down this page.
Spot Buying
Spot, or cash, buying is the simplest way for UAE residents to invest in Zoetis. By purchasing Zoetis shares through a regulated broker, you become a direct owner of the company's stock on the NYSE. Most regional and international brokers charge a fixed commission per order, typically around $5–$10 USD, with account funding options available in AED or USD.
Example
Suppose Zoetis is trading at $167.14 per share. With $1,000 (approximately AED 3,670), you could buy about 5 Zoetis shares ($1,000 / $167.14 ≈ 5.98 shares). After accounting for a typical brokerage fee of $5, you would hold 5 shares.
Gain scenario
If Zoetis’ share price rises by 10%, your 5 shares would be worth $1,100.
Result: +$100 gross gain, equivalent to a +10% return on your initial investment.
Trading via CFDs
CFDs (Contracts for Difference) are financial instruments that allow UAE investors to trade Zoetis share price movements without owning the underlying shares. CFD trading typically involves paying a spread (the difference between buy and sell price) and, if held overnight, a small daily financing fee. The key advantage here is leverage, enabling you to take larger positions with a smaller upfront stake.
Example
Let’s say you open a $1,000 CFD position on Zoetis with 5x leverage. This gives you an effective market exposure of $5,000.
Gain scenario
If Zoetis’ stock climbs by 8%, your position benefits from the leverage: 8% × 5 = 40%.
Result: You would gain $400 (excluding fees) on your $1,000 margin.
Final Advice
Before investing, it’s essential to compare the fees, spreads, and services offered by different UAE-regulated brokers, as these can significantly impact your returns. Remember, spot buying is ideal for long-term investors looking for dividends and ownership, while CFDs are suited to active traders seeking short-term opportunities with leverage. Ultimately, your choice depends on your investment goals and risk appetite. For more details, be sure to consult our broker comparator further down the page.
Discover the best brokers in the United Arab Emirates!Compare brokersOur 7 tips for buying Zoetis stock
📊 Step | 📝 Specific tip for Zoetis |
---|---|
Analyze the market | Evaluate global animal health trends and Zoetis' solid sector leadership, noting growth in pet care and rising demand for innovative veterinary solutions. |
Choose the right trading platform | Opt for a UAE-registered broker offering access to the NYSE, competitive USD conversion rates, and robust regulatory oversight for international stocks like Zoetis. |
Define your investment budget | Set a clear investment amount, ensuring Zoetis shares fit within a diversified portfolio to reduce currency and sector-specific risk. |
Choose a strategy (short or long term) | Consider a long-term approach, as Zoetis benefits from expanding pet care markets and consistent product innovation, offering solid growth prospects. |
Monitor news and financial results | Keep an eye on Zoetis’ quarterly earnings, product launches, and any FDA or governance updates, as these news events can significantly impact the stock price. |
Use risk management tools | Utilise stop-loss and take-profit orders to safeguard your investment, especially considering market volatility and currency fluctuations for UAE-based investors. |
Sell at the right time | Take profits near key technical resistance levels or after strong financial announcements, and reassess your position if wider sector or currency risks emerge. |
The latest news about Zoetis
Zoetis’ Q1 2025 results exceeded analyst expectations for both revenue and adjusted EPS. In the most recent earnings release, Zoetis reported Q1 2025 revenue of $2.2 billion, marking a 9% increase on an operational basis, and an adjusted net income of $662 million, up 6% organically. Adjusted earnings per share reached $1.48, surpassing the consensus by $0.08. This performance supports confidence in Zoetis’ operational resilience and ability to consistently deliver above-average growth, a positive factor for institutional investors seeking stable, leading positions in growth sectors with global reach, including in the MENA region.
Analyst consensus sets Zoetis’ 12-month price target 27% above the current share price. Current analyst sentiment remains strongly positive, with the average price target at $212.13, representing nearly 27% projected upside from the last closing price of $167.14. Technical indicators are also constructive: the MACD currently signals a ‘buy’ and the RSI is neutral, indicating headroom for further growth. Such outlooks are highly relevant for investors in the UAE and wider Gulf region who monitor US large-cap pharmaceutical plays as part of diversified, globally oriented portfolios.
Zoetis has raised its 2025 full-year guidance following strong Q1 financial performance. Management increased its full-year revenue forecast to between $9.425 and $9.575 billion and set an adjusted EPS target of $6.20 to $6.30. This revision signals strong underlying business momentum and robust demand for Zoetis’ animal health solutions. For regional financial analysts, upward revisions are a key catalyst, suggesting continued corporate confidence and potential for sustained returns, crucial amid the growing relevance of animal health and agribusiness within GCC diversification strategies.
Zoetis maintains global market leadership, a strategic asset for partners and distributors in the UAE. With over 13,800 employees worldwide and a dominant market share, Zoetis delivers innovative veterinary medicines for both companion and livestock animals—a factor that continues to drive expansion in key international markets, including the Middle East. Zoetis’ extensive product range, covering vaccines and treatments, supports regional suppliers, clinics, and agricultural entities, reinforcing supply chains and encouraging local partnership opportunities as pet care and livestock sectors expand across the Emirates.
Solid dividend reliability and upcoming payout add stability and appeal for regional income-focused investors. Zoetis will pay its next quarterly dividend of $0.50 per share (ex-dividend date: 18 July 2025), offering a 1.2% annual yield. The company’s strong free cash flow and margin profile support its progressive dividend policy, aligning with income and stability objectives for investors and family offices in AE who value predictable US dollar-denominated cash flows amid local currency pegs and a search for globally resilient, defensive assets.
FAQ
What is the latest dividend for Zoetis stock?
Zoetis currently pays a dividend, with the next payment set at $0.50 per share and an ex-dividend date of July 18, 2025. This equates to an annualized payout of $2.00 per share, offering a steady stream of income to shareholders. The company has maintained a consistent dividend distribution policy and has gradually increased its payout in past years, showing confidence in its robust cash flow.
What is the forecast for Zoetis stock in 2025, 2026, and 2027?
Based on the current share price of $167.14, the projections are: $217.28 at the end of 2025, $250.71 at the end of 2026, and $334.28 by the end of 2027. Zoetis is well-positioned to benefit from secular growth in the animal health sector, driven by increased pet ownership and ongoing product innovation. Many analysts view its diversified business and global leadership as strong foundations for future upside.
Should I sell my Zoetis shares?
Holding Zoetis shares may be a sensible option, as the company demonstrates strong fundamentals, industry leadership, and a resilient strategic position. Despite recent modest stock performance, Zoetis continues to deliver solid earnings and revenue growth, supported by innovation and expanding demand in the animal health market. For investors seeking mid- to long-term value, these characteristics make Zoetis an attractive component of a diversified portfolio.
How are Zoetis dividends and capital gains taxed for UAE investors?
For investors residing in the UAE, dividends from Zoetis are subject to a 30% US withholding tax, as Zoetis is a US-listed company; there is no UAE income tax on these dividends. Capital gains made on Zoetis shares are not taxed in the UAE, reflecting the country’s favorable tax environment for retail investors. However, check with your brokerage to see if any tax treaty reductions may apply to dividend withholding.
What is the latest dividend for Zoetis stock?
Zoetis currently pays a dividend, with the next payment set at $0.50 per share and an ex-dividend date of July 18, 2025. This equates to an annualized payout of $2.00 per share, offering a steady stream of income to shareholders. The company has maintained a consistent dividend distribution policy and has gradually increased its payout in past years, showing confidence in its robust cash flow.
What is the forecast for Zoetis stock in 2025, 2026, and 2027?
Based on the current share price of $167.14, the projections are: $217.28 at the end of 2025, $250.71 at the end of 2026, and $334.28 by the end of 2027. Zoetis is well-positioned to benefit from secular growth in the animal health sector, driven by increased pet ownership and ongoing product innovation. Many analysts view its diversified business and global leadership as strong foundations for future upside.
Should I sell my Zoetis shares?
Holding Zoetis shares may be a sensible option, as the company demonstrates strong fundamentals, industry leadership, and a resilient strategic position. Despite recent modest stock performance, Zoetis continues to deliver solid earnings and revenue growth, supported by innovation and expanding demand in the animal health market. For investors seeking mid- to long-term value, these characteristics make Zoetis an attractive component of a diversified portfolio.
How are Zoetis dividends and capital gains taxed for UAE investors?
For investors residing in the UAE, dividends from Zoetis are subject to a 30% US withholding tax, as Zoetis is a US-listed company; there is no UAE income tax on these dividends. Capital gains made on Zoetis shares are not taxed in the UAE, reflecting the country’s favorable tax environment for retail investors. However, check with your brokerage to see if any tax treaty reductions may apply to dividend withholding.