Oversold

ZTS

Valuation91/ 100
Cash flow & growth60/ 100
Upside potential43/ 100
Risk potential23/ 100

ZTS's valuation is historically cheap, fundamentals are above averages, but weaker than expected earnings are holding it back.

Score change since last week

The score rose 1 point, mainly due to valuation and price changes. Price fell 2.0%, from $77.34 to $75.81. Reported EPS was unchanged, so the lower price improved valuation support.

The comparison uses the same available inputs on both dates. Displayed changes are rounded to whole points.

Valuation

Historical cheapness: current PE is 12× versus the full-history median of 36.1× shown in the valuation table, producing 92/100. Positive weekly observations receive equal weight; lower past EPS alone does not disqualify them.

Outlook-adjusted valuation: 90.5/100. The model applies a -4.4% earnings-growth assumption and a 10% annual return hurdle, with positive credit limited by evidence coverage and confidence.

Forward price scenarios use recent PE history separately. Recent history has a separately weighted median of 28.7× (18-month half-life). The favorable scenario uses 13.5× PE and $6.3 projected EPS, informed by growth, margins and earnings-quality checks. This is a model scenario, not an analyst target. A return to the full-history median is not assumed.

Cash flow & growth

Business trends are mixed. Over the past year: revenue +1.4%, earnings +4.5%, operating margin -0.5 percentage points. Free cash flow is 24.9% of revenue. The business score is 60.1/100. Growth, margins and cash generation drive the score. Missing or older data receives less weight.

Favorable scenario

A depressed valuation offers recovery potential if earnings stabilize. A recovery is not yet confirmed by operating results. Over the past year, revenue +1.4% and operating margin -0.5 percentage points.

This recovery case holds projected earnings at $5.80 per share. A 15× PE suggests $87.21, or 19.5% upside. The lower to middle historical valuation range sets the target, with typical price movements limiting the rebound. Peak profits and valuations are not required.

This is a scenario based on our model, not a forecast or probability.

Downside scenario

Weaker than expected earnings could put pressure on the share price.

Our downside case uses $4.89 of EPS and a 11.6× PE, suggesting a share price of about $56.58 — 23% below today’s price. Valuation history and outlook inform the PE.

This is a scenario based on our model, not a forecast or probability.

ZTS vs Historical averages

MetricCurrentAverageRelative
PE12x35x66% lower
PE percentile1.75097% lower
EPS$6.07$4.7528% higher
FCF$2.4B$1.8B31% higher
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ZTS’s earnings and cash flow are above their historical averages, while its earnings multiple is lower.

ZTS Forward outlook

MetricOutlook
Forward valuationDeteriorating
Forward earningsDecline
Forward revenueStable
Forward profitabilityStable
Analyst coverageModerate
Estimate dispersionTight

ZTS’s outlook is weakening, with weaker expected earnings weighing on the picture.

ZTS PE Valuation

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This table applies ZTS's historical price-to-earnings (PE) landmarks to current earnings. The implied prices are valuation scenarios, not price forecasts or targets.

ZTS Earnings Per Share

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This chart tracks ZTS's trailing twelve-month diluted earnings per share, calculated from four consecutive reported quarters to reduce seasonal noise.

ZTS Quarterly Revenue

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This chart tracks ZTS's quarterly revenue over time and shows how sales are changing from year to year.

ZTS Free Cash Flow

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This chart tracks ZTS's free cash flow over time, showing whether the business is consistently generating cash after operating costs and capital spending.

ZTS Total Shares

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This chart tracks changes in ZTS's diluted share count. A rising count can dilute existing owners, while a falling count often reflects share repurchases.

ZTS Net Leverage

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Quarterly Net Leverage uses the last 12 months of EBITDA. A falling multiple generally indicates less debt relative to earnings capacity. Negative values mean net cash; missing data or nonpositive LTM EBITDA are N/A. The table shows each period’s Net Leverage and status.

ZTS PE vs Healthcare Sector

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This chart compares ZTS's price-to-earnings (PE) ratio with the Healthcare sector average. A discount or premium can reflect differences in expected growth, profitability, or risk.

ZTS Weekly Price

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This chart uses ZTS's weekly closing prices to show the longer-term trend. The lower panes show weekly RSI and Stochastic momentum.

ZTS Weekly Moving Averages

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This chart compares ZTS's 8, 20, 50, 100, and 200-week moving averages from 2020 onward. Shorter averages react faster to price changes, while longer averages show the broader trend.

ZTS Yearly ROI

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Each line starts at 0% using the year’s first dependable weekly close and tracks the return through December, or through the latest available week for the current year.