Zoetis shares rise after outlook cut and defense of key segments
Zoetis (ZTS.N) shares rose 2.3% to $76.11, reversing premarket losses.
The animal health company will be "aggressive" in defending its positions in dermatology and parasite treatments, CEO Kristin Peck said.
Rivals are increasingly using discounts, rebates and bundled offerings in a slower-growing market; lower vet clinic visits, price-sensitive pet owners and competition have pressured demand, Peck said.
Zoetis now expects 2026 adjusted EPS of $6.15-$6.25, compared with its prior view of $6.85-$7.00.
It expects 2026 revenue of $9.12 billion-$9.32 billion, down from its prior view of $9.68 billion-$9.96 billion; analysts on average were expecting $9.73 billion, according to data compiled by LSEG.
Barclays analyst Glen Santangelo said the forecast cut could remove a significant overhang as investor expectations had already moved toward the low end of Zoetis' prior forecast range.
Including the session's move, the stock is down about 40% year to date.
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