Zoetis Inc. (NYSE:ZTS) is expected to report an EPS of $1.38, marking an 11.3% increase from the previous year.
Projected revenues for the quarter ending December 2024 are estimated to reach $2.31 billion, a 4.6% rise.
The company’s P/E ratio stands at 32.48, with a debt-to-equity ratio of 1.29, indicating a solid financial position ahead of its earnings report.
Zoetis Inc. (NYSE:ZTS), a leading global animal health company, is gearing up to release its quarterly earnings on February 13, 2025, before the market opens. As a significant player in the veterinary vaccines and medicines sector, Zoetis competes with industry giants like Elanco Animal Health and Merck Animal Health.
Wall Street analysts have set the bar with an earnings per share (EPS) estimate of $1.37 for Zoetis, alongside projected revenues of approximately $2.3 billion. However, recent forecasts suggest a slightly more optimistic EPS of $1.38, representing an 11.3% year-over-year growth. This anticipated increase is supported by a 4.6% rise in revenues, expected to hit $2.31 billion for the quarter ending December 2024.
Despite a minor downward revision of 1.1% in the consensus EPS estimate over the past 30 days, the outlook for Zoetis remains positive. This trend in estimate revisions is crucial as it often mirrors short-term stock price movements, potentially affecting investor sentiment. The Zacks Consensus Estimate is in line with the higher EPS prediction of $1.38, reflecting confidence in Zoetis’s ability to meet or surpass expectations.
Key financial metrics shed light on Zoetis’s market valuation. The company’s price-to-earnings (P/E) ratio is 32.48, showcasing how the market values its earnings. Its price-to-sales ratio stands at 8.59, with an enterprise value to sales ratio of 9.14, indicating the market’s valuation in relation to its sales. Furthermore, the enterprise value to operating cash flow ratio is 28.41, emphasizing the company’s valuation concerning its operational cash flow.
Zoetis’s financial health is underscored by an earnings yield of 3.08% and a debt-to-equity ratio of 1.29, demonstrating a balanced approach to financing its assets. The company’s current ratio of 3.69 indicates a robust ability to cover short-term liabilities with short-term assets, highlighting its strong financial position. As the earnings report date approaches, these metrics will be under close scrutiny by investors and analysts.