Model Update Post-Q1: Estimates Lowered To Reflect Headwinds; PT To $104

研报英文原文证据摘录

Model Update Post-Q1: Estimates Lowered To Reflect Headwinds; PT To $104

Pharmaceuticals/Major: Animal Health

Zoetis

TD SECURITIES (USA) LLC ESTIMATE CHANGES

June 29, 2026

Price: $73.25 (06/29/2026) Model Update Post-Q1: Estimates Lowered To

Price Target: $104.00 (Prior $150.00) Reflect Headwinds; PT To $104

BUY (1)

Steve Scala, R.Ph., CFA THE TD COWEN INSIGHT

617 946 3923

We updated our Zoetis model post Q1 results and to reflect restated 2024-25 financials. Key

stephen.scala@tdsecurities.com

model updates are highlighted below.

Chris LoBianco

617 946 3734 2026: Revenue Estimate Lowered Reflecting Key Derm / Trio Headwinds, Partially Offset By

chris.lobianco@tdsecurities.com

Higher Livestock & Diagnostics Revenue; EPS Also Lowered

Michael Nedelcovych, Ph.D.

We have lowered our 2026 Total Revenue estimate to $9,740MM (vs. our prior estimate of

617 946 3744

$9,885MM and updated guidance of $9,680-9,960MM), driven by lower estimates for Keymichael.nedelcovych@tdsecurities.com

Derm and Simparica Trio, partially offset by higher estimates for OA Pain (reflecting Zoetis

Paul Kuhn, Ph.D. stabilization efforts), Diagnostics, and Livestock; we forecast Livestock to grow +8% on an

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organic operational basis, in-line with Zoetis's expectations for mid-to-high single digit growth.

paul.kuhn@tdsecurities.com

All-told, we forecast Key Franchise (i.e., Simparica/Trio, Key Derm, OA Pain) sales growth

Key Data of +3%, a meaningful deceleration from +6% growth in 2025 but in-line with management's

Symbol NYSE: ZTS expectations for "low-single to mid-single digit" growth in 2026. Our updated EPS estimate of

Beta: 0.75 $6.95 (vs. updated guidance of $6.85-7.00) is $0.10 below our prior estimate and assumes

52-Week Range: $159.19-$73.25 8.5MM in share repurchases by YE:26.