Zoetis Shares Surge 48% in Volume Rank 217th as Earnings Loom with 3.2% EPS Growth Expected

Generated by AI AgentAinvest Market Brief
Wednesday, Jul 30, 2025 5:11 am ET1min read
ZTS--
Aime RobotAime Summary

- Zoetis (ZTS) surged 48.21% in trading volume on July 29, 2025, with $510M traded, ranking 217th daily.

- Analysts expect 3.2% EPS growth to $1.61/share and $2.4B revenue on August 5, supported by 0.34% 30-day estimate revisions.

- Despite four consecutive quarterly beats, recent analyst downgrades to "Hold" and 4.13% insider sales signal cautious sentiment.

- The company announced a $0.50 dividend (1.33% yield) and $6.20–$6.30 FY 2025 EPS guidance, reflecting steady growth expectations.

Zoetis (ZTS) saw a 48.21% surge in trading volume on July 29, 2025, with $510 million in shares exchanged, ranking it 217th in daily trading activity. The stock closed 0.17% higher, reflecting modest investor interest ahead of its upcoming earnings release.

Analysts anticipate ZoetisZTS-- will report quarterly earnings of $1.61 per share on August 5, a 3.2% year-over-year increase, with revenue expected to reach $2.4 billion, up 1.7%. Recent revisions to earnings estimates have risen 0.34% over 30 days, indicating improved confidence in the company’s performance. A proprietary model suggests a 0.42% positive deviation from consensus estimates, aligning with a Zacks Rank #3 (Hold), which historically predicts a 70% likelihood of an earnings beat when combined with a positive Earnings ESP.

Historically, Zoetis has outperformed expectations in four of its last four quarters, including a 5.71% surprise in its most recent report. However, recent analyst downgrades from Stifel Nicolaus, Leerink Partners, and UBS GroupUBS-- highlight cautious sentiment, with ratings shifting toward "Hold" or "Neutral." Institutional ownership remains stable, though insider sales in June reduced ownership by 4.13%.

The company announced a $0.50 quarterly dividend, payable September 3, with a 1.33% yield. Zoetis also plans to release FY 2025 guidance of $6.20–$6.30 EPS, reflecting steady growth expectations.

Backtest results show a strategy of buying the top 500 most active stocks by volume and holding for one day generated a 166.71% return from 2022 to 2025, outperforming the 29.18% benchmark. The strategy delivered a 31.89% annualized return, 137.53% excess return, and a Sharpe ratio of 1.14, with no recorded drawdowns.

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