ZTSZoetis
Is the business good?
A genuinely good business: margins widening and elite returns on assets.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Negative operating leverage, costs are rising faster than sales, squeezing margins as it grows.
High-quality, exceptional returns on the assets themselves, not leverage. ROE 73% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is ZTS?
Zoetis keeps 27% of every revenue dollar as profit after everything, against 4.8% for the median Drug Manufacturers - Specialty & Generic name.
Net margin · Drug Manufacturers - Specialty & Generic median 4.8% · 12 months to Q2 2026
- Share count, year on year
- −6.2%
Share count, year on year · bought back, each share owns more of the company
- R&D as % of revenue
- 7.6%
R&D as % of revenue
- Gross margin
- 72%
Gross margin
Details›
- Gross margin12 months to Q2 2026
- 72%
- Net margin12 months to Q2 2026
- 27%
- Free cash flow margin
- 24%
- R&D as % of revenue
- 7.6%
- Revenue, trailing twelve months
- $9.52B
- Free cash flow, trailing twelve months
- $2.32B
- Net income, trailing twelve months
- $2.62B
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Drug Manufacturers, Specialty & Generic
The closest names by size in the same industry