Zoetis Crumbles On Slashed 2025 Outlook As Growth Fears Mount

Core Insights - Zoetis reported adjusted income of $1.70 per share on $2.4 billion in third-quarter sales, which was below analysts' expectations of $1.62 per share and $2.41 billion in sales [1][2] - The company maintained its adjusted profit guidance for $6.30 to $6.40 per share but cut its sales outlook to $9.4 billion to $9.475 billion, down from previous guidance of $9.45 billion to $9.6 billion [2] - In premarket trading, Zoetis stock fell 12.6% to $126.10, marking the lowest price since November 2022 [3] Financial Performance - Adjusted income for the year-earlier period was $1.58 per share with sales of $2.39 billion [1] - The new sales outlook represents organic operational growth of 5.5% to 7%, a decrease from the previous guidance of 6.5% to 8% [2] - Analysts had projected earnings of $6.35 per share and $9.51 billion in sales, indicating a potential shortfall in expectations [2] Market Reaction - The significant drop in stock price reflects investor concerns over the revised sales outlook and overall market conditions [3] - The decline in stock price to $126.10 indicates a negative market sentiment towards Zoetis following the earnings report [3]