Value
7.5/10data confidence 100%| Component | Sub-score |
|---|---|
| P/E | 8.4 |
| P/S | 7.9 |
| EV/EBITDA | 5.9 |
| Fwd P/E | 9.2 |
| PEG | 4.6 |
| Analyst target | 9.0 |
- ▸Forward P/E: 10.7x
- ▸PEG: 1.91
- ▸Attractively valued
ZTS · Why this verdict
Why Zoetis (ZTS) is rated SELL
Updated
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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VerdictSELL
Overall score5.8/10
ConfidenceMEDIUM
MacroRISK_OFF
Per-dimension breakdown
Quality
8.3/10data confidence 100%| Component | Sub-score |
|---|---|
| ROE | 10.0 |
| ROA | 10.0 |
| Gross margin | 10.0 |
| Op margin | 10.0 |
| Net margin | 10.0 |
| Current ratio | 9.8 |
| FCF quality | 5.1 |
| Moat | 6.4 |
| Rule of 40 | 3.0 |
| Piotroski F | 8.9 |
- ▸Excellent ROE: 68%
- ▸Strong margins: 28%
- ▸Earnings quality warning: 67% FCF/NI
- ▸Rule of 40: 22 (fail)
Growth
3.2/10data confidence 67%| Component | Sub-score |
|---|---|
| Rev growth | 3.2 |
| EPS growth | 3.2 |
Momentum
5.7/10data confidence 100%| Component | Sub-score |
|---|---|
| RSI | 4.5 |
| MACD | 10.0 |
| OBV | 10.0 |
| MA position | 4.0 |
| Volume | 0.0 |
- ▸Volume accumulation (rising OBV)
- ▸Below 200-MA, MA slope -7.0%/30d — confirmed downtrend
Sentiment
6.9/10data confidence 100%| Component | Sub-score |
|---|---|
| LLM sentiment | 3.9 |
| Analyst rating | 7.4 |
| Price target | 9.7 |
- ▸Analyst upside: 59%
Insider
5.0/10data confidence 50%| Component | Sub-score |
|---|---|
| materiality | 5.0 |
| holder change | 5.1 |
- ▸Negligible insider buying — $886,367 (0.003% of mkt cap)
Peer rank
4.7/10data confidence 80%| Component | Sub-score |
|---|---|
| value rank | 5.7 |
| quality rank | 9.3 |
| growth rank | 3.7 |
- ▸Attractive P/E vs peers
- ▸Superior ROE vs peers
Technical
3.0/10data confidence 100%| Component | Sub-score |
|---|---|
| bollinger | 4.8 |
| support resistance | 4.2 |
| 52w position | 0.0 |
Risk (lower is worse)
5.6/10data confidence 100%| Component | Sub-score |
|---|---|
| short interest | 8.2 |
| days to cover | 9.1 |
| volatility | 4.5 |
| put call | 0.0 |
| implied vol | 5.0 |
| max pain risk | 7.0 |
| beta | 8.6 |
| debt equity | 2.1 |
- ▸Elevated put/call: 9.80
- ▸Concentration risks: 2 HIGH, 1 MED (10-K Item 1A — sized via position_sizing, validated via buy_confidence)
Catalyst
5.6/10data confidence 100%| Component | Sub-score |
|---|---|
| erm | 3.5 |
| earnings history | 6.7 |
| earnings timing | 5.0 |
| surprise avg | 3.6 |
| dividend safety | 7.0 |
| news activity | 8.0 |
- ▸Strong earnings: 3B/1M
- ▸Dividend: 267.0%
How the verdict was assembled
Engine trigger
Multiple concerning factors. Consider reducing position.
Engine technical detail
verdict_path:
L4:PATH_F_SELLPassed (9)
- MOMENTUM:5.7>=5.5
- ASYMMETRY:5.8>=1.5
- INSIDER:OK
- DEATH_CROSS:QUALITY_MOMENTUM_EXEMPT
- 8K:CLEAN
- NEWS_EVENTS:NONE_RECENT
- EARNINGS_PROXIMITY:57d clear
- SEMI_CYCLE_PEAK:CLEAR
- MATERIALS_CYCLE_PEAK:CLEAR
Failed (0)
none
Warning (1)
- DEATH_CROSS:quality=8.3>=7.5+momentum=5.7>=5.0 exempted
Reward-to-Risk
5.85
Upside
+43.4%
Downside
7.4%
Sizing output
AVOID
SetupRECOVERY — Death cross but MACD improving, RSI 52
EdgeNO_EDGE — No clear edge identified
SuitabilityMODERATE — Balanced profile
Investment implication
The F-path SELL output reflects an overall score of 5.3 below the 5.6 soft trigger — multiple weakening dimensions accumulated rather than a single hard-floor breach. The strongest dimension ( Quality at 8.3) was not enough to lift the adjusted overall above the threshold. Current asymmetry R:R is 5.85 — supplementary context, not the trigger for this path.
The strongest dimensions are Quality at 8.3, Value at 7.5, and Sentiment at 6.9; the weakest are Technical at 3.0, Growth at 3.2, and Peer rank at 4.7. The V9 engine cleared all gates with 1 warning, producing an asymmetric reward-to-risk of 5.85 and an engine sizing output of AVOID.