The Bull Case for Zoetis Stock as Michael Burry Doubles Down

Zoetis reported U.S. revenue down 7% and U.S. Companion Animal down 11% in Q2 2026, citing fewer vet visits and heavier discounting by competitors. Full-year organic operational revenue guidance revised to a 3% to 1% decline. Diagnostics grew 12%. Zoetis plans continued gross-to-net promotions, FX headwinds of $60m to $65m, and a buyback over $550m.

Zoetis (NYSE:ZTS) reported Q2 CY2026 sales of $2.47 billion, flat year on year, and below market expectations. The company’s full-year revenue guidance midpoint of $9.22 billion was 5.4% below analysts’ estimates. Non-GAAP adjusted EPS was $1.87, up from $1.76, about in line with consensus.

Zoetis (ZTS) reported Q2 results and cut its FY2026 guidance due to the current operating environment. It now expects EPS of $5.55 to $5.65 and adjusted EPS of $6.15 to $6.25 on revenue of $9.12B to $9.32B, with organic revenue down 3% to 1%. Prior outlook was higher. ZTS traded at about $76.00 premarket.

Zoetis Inc. (ZTS) filed an SEC Form 8-K — Results of Operations and Financial Condition. EX-99.1 2 exhibit99q22026.htm EX-99.1 Document EXHIBIT 99.1 Zoetis Announces Second Quarter 2026 Results • Revenue Flat at $2.5 Billion and Net Income of $691 Million, or $1.65 per Diluted Share, Decreasing 5% and Increasing 1%, Respectively, on a Reported Basis • Adjusted Net In

Wall Street rose Thursday as easing oil prices and lower Treasury yields reduced pressure on U.S. stocks, according to AP. The S&P 500 gained about 0.4% for its 10th win in 11 days; the Dow jumped about 1.7% to a record. Banks and small caps led; Broadcom fell 12.2% despite beating profit/revenue, while Micron and CrowdStrike also dropped.

Most U.S. stocks rose Thursday as Brent crude fell 2.8% to $95.10 a barrel, easing inflation concerns. The Dow was up 925 points (+1.8%) and the S&P 500 added 0.3%, while the Nasdaq fell 0.2%. AI-related declines weighed, including Broadcom (-14.7%) and Micron (-6.5%). Treasury yields eased; the 10-year fell to 4.46%.