BofA Downgrades Zoetis (ZTS) to Neutral, Cuts Price Target

Core Insights - Zoetis Inc. (NYSE:ZTS) has been recognized as one of the 14 Best Pharma Dividend Stocks to Buy in 2026 [1] - BofA downgraded Zoetis from Buy to Neutral and reduced its price target from $165 to $135 [2] - Health Canada approved Portela™ (relfovetmab injection) for osteoarthritis pain relief in cats, which is expected to be commercially available in Canada and the EU by 2026 [3][4] Product Development - Portela is designed to provide up to three months of pain relief from osteoarthritis with a single injection, targeting anti-nerve growth factor (NGF) [3] - A nine-month field trial in Europe demonstrated Portela's effectiveness in reducing OA pain and its tolerability in cats, including those with kidney disease [4] - The approval of Portela signifies Zoetis's commitment to developing innovative therapies for companion animals, adding to its existing OA pain treatment portfolio [5] Company Positioning - Zoetis is the largest global animal health company, focusing on advancing animal care worldwide [6] - Despite the potential of Zoetis as an investment, some analysts suggest that certain AI stocks may offer greater upside potential with less downside risk [6]