Zoetis Downgraded to Market Perform by Leerink Analyst Daniel Clark

Thursday, Jul 17, 2025 11:59 pm ET1min read

Leerink analyst Daniel Clark downgraded Zoetis (ZTS) to Market Perform from Outperform with a $155 price target.

Zoetis (NYSE:ZTS) has been downgraded to a "Market Perform" rating by Leerink analyst Daniel Clark, who previously had the stock rated as "Outperform." The analyst has set a new price target of $155 for the stock [1]. This downgrade reflects a more cautious outlook on the company's future performance, indicating that Zoetis might not surpass broader market expectations.

The move comes amidst a mixed bag of analyst ratings for Zoetis. While several analysts have maintained a positive outlook on the stock, others have adjusted their ratings. For instance, Piper Sandler increased their target price from $205 to $210 and gave the stock an "overweight" rating [1]. Meanwhile, Stifel Nicolaus cut its rating from "buy" to "hold" and lowered the price target from $165 to $160 [1]. UBS Group also reduced their target price from $189 to $170 and set a "neutral" rating [1].

Zoetis reported strong earnings for the first quarter of 2025, with 9% organic operational revenue growth led by the International segment. The Companion Animal portfolio also saw 9% operational growth, driven by sustained demand for market-leading franchises. However, the company faced challenges in the US Livestock segment, which experienced a 2% organic operational decline due to aggressive price competition and timing of price adjustments [2].

The downgrade by Leerink Partners suggests that investors should be cautious about Zoetis' near-term prospects. However, the company's strong earnings performance and global scale may provide a buffer against potential headwinds. As always, investors should conduct thorough research and consider their risk tolerance before making investment decisions.

References:
[1] https://www.marketbeat.com/instant-alerts/zoetis-nysezts-downgraded-by-leerink-partners-to-market-perform-2025-07-17/
[2] https://www.gurufocus.com/news/2983345/zoetis-zts-downgraded-to-market-perform-by-analyst-zts-stock-news

Zoetis Downgraded to Market Perform by Leerink Analyst Daniel Clark

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