Zoetis (ZTS) closed at $170.22 in the latest trading session, marking a -0.12% move from the prior day. The stock's change was more than the S&P 500's daily loss of 0.47%. Meanwhile, the Dow lost 0.31%, and the Nasdaq, a tech-heavy index, lost 0.51%.

Shares of the animal health company witnessed a gain of 4.6% over the previous month, beating the performance of the Medical sector with its gain of 3.2% and the S&P 500's gain of 1.67%.

Market participants will be closely following the financial results of Zoetis in its upcoming release. The company plans to announce its earnings on February 13, 2025. On that day, Zoetis is projected to report earnings of $1.38 per share, which would represent year-over-year growth of 11.29%. Meanwhile, our latest consensus estimate is calling for revenue of $2.32 billion, up 4.66% from the prior-year quarter.

Investors should also pay attention to any latest changes in analyst estimates for Zoetis. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.39% lower. Currently, Zoetis is carrying a Zacks Rank of #3 (Hold).

With respect to valuation, Zoetis is currently being traded at a Forward P/E ratio of 26.8. For comparison, its industry has an average Forward P/E of 20.6, which means Zoetis is trading at a premium to the group.

It is also worth noting that ZTS currently has a PEG ratio of 2.7. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Medical - Drugs industry stood at 2.21 at the close of the market yesterday.

The Medical - Drugs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 84, which puts it in the top 34% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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