Zoetis Inc.Opportunity Rank #143(ZTS) Intrinsic Value & DCF Analysis (2026)
Current Price
$75.90
Last updated: Jun 23, 2026
Price vs Intrinsic Value
Fundamental Score
Weighted across 6 signals
Narrative Score
-1 vs previous
Trend Score
As of 2026-06-22
The intrinsic value of Zoetis Inc. (ZTS) is estimated at $143.79 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $75.90, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 7.07% long-term growth rate and a 9.00% discount rate (calculated: 6.96%), reflecting expected future free cash flow and cost of capital.
The intrinsic value of Zoetis Inc. (ZTS) is estimated at $143.79 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $75.90, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 7.07% long-term growth rate and a 9.00% discount rate (calculated: 6.96%), reflecting expected future free cash flow and cost of capital.Valuation Details
Capital Efficiency
The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.
Fundamental Details
Narrative Details
Trend Details
Investment Coach
- Monitor whether valuation discount remains above 10%.
- Track ROIC versus WACC spread for sustained improvement.
- Follow narrative trend for meaningful shifts in the score direction.
Free Cash Flow (in millions)
How Intrinziq Estimates Fair Value
Intrinziq estimates Zoetis Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.
Zoetis Inc.Healthcare
Zoetis Inc. stands as a global leader in animal health, focusing on the research, development, manufacturing, and commercialization of veterinary pharmaceuticals, vaccines, and diagnostic tools. Its comprehensive portfolio serves a broad spectrum of species, encompassing both livestock, including cattle, swine, poultry, fish, and sheep, and beloved companion animals such as dogs, cats, and horses. Among its pharmaceutical offerings are various therapeutic agents. This includes vaccines, vital for preventing respiratory, gastrointestinal, and reproductive diseases by stimulating a targeted immune response; anti-infectives that combat or inhibit the proliferation of bacterial, fungal, or protozoal pathogens; and parasiticides aimed at eradicating both internal and external pests such as fleas, ticks, and various worms. Additional pharmaceuticals address areas such as pain management and sedation, anti-emesis, reproductive health, and oncology. The portfolio also features dermatological solutions for allergic skin conditions and atopic dermatitis, alongside medicated feed additives specifically designed for livestock. Beyond therapeutics, Zoetis offers an extensive array of diagnostic solutions. These include portable analysis systems for blood and urine, point-of-care testing devices, specialized instruments and reagents, rapid immunoassay kits, comprehensive reference laboratory services, and blood glucose monitoring equipment. Further extending its reach, the company provides supplementary offerings such as nutritional products, agribusiness support services, biodevices, genetic testing, and innovations in precision animal health. Zoetis distributes its diverse product portfolio to a broad customer base, including veterinary professionals, livestock producers, and retail channels. This distribution occurs directly via its sales representatives and technical specialists, as well as through partnerships with third-party veterinary distributors. Established in 1952, the company maintains its corporate headquarters in Parsippany, New Jersey.