Analyst Jonathan Block from Stifel Nicolaus maintained a Hold rating on Zoetis and decreased the price target to $140.00 from $155.00.
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Jonathan Block’s rating is based on a combination of factors that reflect both positive and negative aspects of Zoetis’s current financial standing and future prospects. Despite Zoetis’s efforts to innovate and expand its product pipeline, the company has faced challenges in maintaining its revenue growth, as evidenced by the recent downward revision of its 2025 revenue guidance and the lowering of 2026/2027 estimates. This indicates potential headwinds in the near term, particularly in key segments such as Dermatology and Parasiticides, which are experiencing competitive pressures.
On the positive side, Zoetis has shown resilience in its Livestock segment, achieving significant organic operational growth, and has maintained its full-year EPS guidance due to effective cost management. However, the company’s overall revenue growth in the third quarter of 2025 was driven primarily by price rather than volume, suggesting underlying market challenges. As a result, while Zoetis has promising elements in its business strategy, the uncertainties and competitive pressures lead to a Hold rating, as the stock may not offer significant upside potential in the immediate future.
Block covers the Healthcare sector, focusing on stocks such as Zoetis, Align Tech, and Cooper Co. According to TipRanks, Block has an average return of 5.6% and a 48.61% success rate on recommended stocks.
In another report released on October 20, UBS also maintained a Hold rating on the stock with a $158.00 price target.