Fintel reports that on August 10, 2023, Goldman Sachs maintained coverage of Zoetis Inc – (NYSE:ZTS) with a Buy recommendation.

Analyst Price Forecast Suggests 16.80% Upside

As of August 2, 2023, the average one-year price target for Zoetis Inc – is 221.17. The forecasts range from a low of 191.90 to a high of $273.00. The average price target represents an increase of 16.80% from its latest reported closing price of 189.35.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Zoetis Inc – is 8,702MM, an increase of 5.84%. The projected annual non-GAAP EPS is 5.45.

Zoetis Inc – Declares $0.38 Dividend

On May 11, 2023 the company declared a regular quarterly dividend of $0.38 per share ($1.50 annualized). Shareholders of record as of July 21, 2023 will receive the payment on September 1, 2023. Previously, the company paid $0.38 per share.

At the current share price of $189.35 / share, the stock’s dividend yield is 0.79%.

Looking back five years and taking a sample every week, the average dividend yield has been 0.65%, the lowest has been 0.45%, and the highest has been 1.05%. The standard deviation of yields is 0.14 (n=236).

The current dividend yield is 1.05 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 0.31. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.87%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 2593 funds or institutions reporting positions in Zoetis Inc -. This is an increase of 9 owner(s) or 0.35% in the last quarter. Average portfolio weight of all funds dedicated to ZTS is 0.50%, an increase of 3.03%. Total shares owned by institutions decreased in the last three months by 1.21% to 489,454K shares. The put/call ratio of ZTS is 1.10, indicating a bearish outlook.

What are Other Shareholders Doing?

Alliancebernstein holds 18,598K shares representing 4.02% ownership of the company. In it’s prior filing, the firm reported owning 19,510K shares, representing a decrease of 4.90%. The firm increased its portfolio allocation in ZTS by 3.07% over the last quarter.

State Farm Mutual Automobile Insurance holds 17,135K shares representing 3.71% ownership of the company. No change in the last quarter.

Capital International Investors holds 15,094K shares representing 3.27% ownership of the company. In it’s prior filing, the firm reported owning 12,651K shares, representing an increase of 16.19%. The firm increased its portfolio allocation in ZTS by 29.87% over the last quarter.

Bank Of America holds 14,213K shares representing 3.08% ownership of the company. In it’s prior filing, the firm reported owning 14,147K shares, representing an increase of 0.47%. The firm increased its portfolio allocation in ZTS by 2.89% over the last quarter.

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 12,915K shares representing 2.79% ownership of the company. In it’s prior filing, the firm reported owning 12,756K shares, representing an increase of 1.23%. The firm increased its portfolio allocation in ZTS by 6.17% over the last quarter.

Zoetis Background Information
(This description is provided by the company.)

Zoetis is the leading animal health company, dedicated to supporting its customers and their businesses. Building on more than 65 years of experience in animal health, Zoetis discovers, develops, manufactures and commercializes medicines, vaccines and diagnostic products, which are complemented by biodevices, genetic tests and precision livestock farming. Zoetis serves veterinarians, livestock producers and people who raise and care for farm and companion animals with sales of its products in more than 100 countries. In 2019, the company generated annual revenue of $6.3 billion with approximately 10,600 employees.

This article originally appeared on Fintel

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