Zoetis Stock Rises 13% in a Month: Time to Add to Your Portfolio?

Core Insights - Zoetis (ZTS) has seen a 12.5% increase in share price over the past month, indicating strong market performance in the animal health sector [1] - The company operates across seven major product categories and serves eight core species, including both livestock and companion animals [1] Product Performance - Strong growth is attributed to Zoetis' companion animal portfolio, with key products like Apoquel, Cytopoint, and newer offerings such as Simparica and ProHeart 12 driving sales [3] - Recent FDA approvals for Apoquel Chewable and expanded indications for Simparica Trio are expected to enhance demand further [3] International Expansion - Zoetis is expanding its international presence, with products like Rimadyl approved in China and strong uptake of monoclonal antibody therapies for osteoarthritis pain in pets [4] Strategic Acquisitions - The company has been actively acquiring businesses to strengthen its market position, including the acquisition of PetMedix Ltd. and adivo GmbH, which focus on antibody-based therapeutics for companion animals [6] Technological Advancements - In early 2024, Zoetis enhanced its Vetscan Imagyst diagnostics platform with AI capabilities for urine testing and lymph node screening, improving in-clinic diagnostic capabilities [7] Shareholder Value - Zoetis has consistently increased dividends, with a 16% increase in the third quarter of 2025 compared to 2024, making it an attractive option for investors [8] Stock Performance and Valuation - Year-to-date, Zoetis shares have gained 3.5%, underperforming the industry average of 10.4%, but still outperforming the sector and S&P 500 [9] - The stock is currently trading at a premium valuation compared to the industry, but strong fundamentals suggest potential for lucrative returns [12] Earnings Estimates - The Zacks Consensus Estimate for Zoetis' 2025 earnings per share has risen from $6.08 to $6.26, with 2026 estimates increasing from $6.65 to $6.79, indicating a positive outlook for growth [15]