Zoetis Shares Plunge Following Disappointing Earnings Outlook

Shares of animal health company Zoetis experienced a dramatic sell-off on November 4th, plummeting 13.78 percent to establish a new 52-week low of $120.24. This significant single-day decline extends a broader downward trend, with the stock having lost more than 16 percent of its value over the preceding 30 days.

The catalyst for this sharp drop was the company’s third-quarter earnings report, released the same day. While Zoetis managed to surpass profit expectations with earnings of $1.70 per share, its revenue of $2.4 billion fell slightly short of analyst forecasts. The primary shock to investors, however, came from management’s decision to revise the full-year guidance downward. The company now anticipates annual revenue between $9.40 billion and $9.475 billion, a reduction from the previous forecast Read more...