Survey Says: The Dog Days Persist

Research evidence excerpt

Survey Says: The Dog Days Persist

Foundation

July 22, 2026 06:07 AM GMT

Morgan Stanley & Co. LLCMAnimal Tracks | North America Erin Wright

Equity Analyst

Survey Says: The Dog Days Erin.Wright1@morganstanley.comLinda Bolduc +1 212 761-6137

Linda.Bolduc@morganstanley.com +1 617 856-8009

Persist Michelle Foley

Research Associate

Michelle.Foley@morganstanley.com +1 212 761-4056

Derek Gross

What’s Changed Research Associate

Elanco Animal Health Inc (ELAN.N) From To Derek.Gross@morganstanley.com +1 212 761-2455

Price Target $23.00 $26.00 Craig Hettenbach

Zoetis Inc. (ZTS.N) Craig.Hettenbach@morganstanley.com +1 212 761-6435

Price Target $115.00 $99.00 Jialin Jin

US vet practices are growing revenue by raising prices on Jay.Jin@morganstanley.com +1 212 761-3913

shrinking volume — not a sustainable algorithm. Our 2Q survey Erica Crouser

Data Analyst

suggests more of the same sluggish visit backdrop. Vets are Erica.Crouser@morganstanley.com +1 212 761-4807

switching to generics/lower-cost options w/rising competition, a Healthcare Services & Distribution

read across for ZTS, ELAN. We like setup for IDXX best. North America

Industry View Attractive

Specialty Pharmaceuticals

North AmericaM Industry View In-Line

Key sections and charts with greater detail, discussion enclosed.

Enclosed Sections:

• Executive Summary - Volume Remains Pressured

• State of the Industry

• 2Q Survey Practice Volume Declines Further

• Outlook - NQ and NTM Outlook Remains Mixed

• Factors Impacting Vet Practice Volume - Macro / Pricing

• Dog'nostics - Expectations Ease; inVue Feedback Still Generally Positive

• Digging into Animal Health Therapeutics Dynamics - The Competition is

Heating Up

• Animal Health Supply Chain - Remains Competitive

• Retail & E-Commerce Channels