Zoetis faces downgrades and a lowered price target as analysts cite intensifying competition and investor confidence concerns.
Stifel reduced Zoetis Inc. (ZTS) price target to $95 from $105 while maintaining a Hold rating, citing near-term competitive pressures despite improved 2026 guidance. The firm noted risks to growth prospects in its May 22 update.
Zoetis reported Q1 2026 revenue of $2.3 billion, up 3%, and net income of $601 million, or $1.42 per diluted share. Adjusted net income was $646 Million, with adjusted EPS of $1.53. Argus downgraded the stock to Hold from Buy after a 22% single-day decline.
The downgrades reflect investor skepticism over Zoetis’ ability to sustain growth amid rising competition in the animal health sector.