ZoetisMEX:ZTS 71 FCF Margin % is 12.86% as of Mar. 2026, which is 41% below its 10-year median of 21.83. GuruFocus rates MEX:ZTS with a GF Score™ of 71/100 and a GF Value™ of MXN3,418.50 (Significantly Undervalued). Among 958 Drug Manufacturers companies, Zoetis ranks better than 92.9% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Zoetis's Free Cash Flow for the
three
months ended in Mar. 2026 was MXN5,248 Mil. Zoetis's Revenue for the
three
months ended in Mar. 2026 was MXN40,790 Mil. Therefore, Zoetis's FCF Margin % for the quarter that ended in Mar. 2026 was 12.86%.
The historical rank and industry rank for Zoetis's FCF Margin % or its related term are showing as below:
MEX:ZTS'
s FCF Margin % Range Over the Past 10 Years
Min: 10.17 Med: 21.83 Max: 25.06
Current: 23.53
During the past 13 years, the highest FCF Margin % of Zoetis was 25.06%. The lowest was 10.17%. And the median was 21.83%.
MEX:ZTS's FCF Margin % is ranked better than 92.9% of 958
companies
in the Drug Manufacturers industry
Industry Median: 2.445
vs MEX:ZTS: 23.53
Zoetis FCF Margin % Related Terms
Zoetis FCF Margin % Historical Data
* Premium members only.
The historical data trend for Zoetis's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:ZTS vs UTHR, VTRS, NBIX: FCF Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Zoetis's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Zoetis FCF Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Zoetis's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Zoetis's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Zoetis (MEX:ZTS) has a FCF Margin % of 12.86% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Zoetis and its competitors. This is 41% below median its historical median of 21.83. Over the past decade, Zoetis' FCF Margin % has ranged from 10.17 to 25.06. According to the industry distribution chart, Zoetis ranks #68 out of 958 companies in the Drug Manufacturers industry, placing it in the top 7.1%.
Is Zoetis' FCF Margin % too high?
Zoetis' current FCF Margin % of 12.86% is 41% below median its 10-year median of 21.83. Over the past 10 years, this metric has ranged from a low of 10.17 to a high of 25.06. The Drug Manufacturers industry median FCF Margin % is 2.45. Zoetis' value of 12.86% is 426% above this industry median. Based on the distribution chart, Zoetis ranks #68 out of 958 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Zoetis has a GF Score™ of 71/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zoetis' FCF Margin % compare to UTHR and VTRS?
According to the Drug Manufacturers industry distribution chart, Zoetis ranks #68 out of 958 companies for FCF Margin %. This places Zoetis in the top 7% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.45. Zoetis' value of 12.86% is 426% above this benchmark. Historically, Zoetis' own FCF Margin % has ranged from 10.17 to 25.06 over the past decade. While the company's 10-year median is 21.83 vs. the industry median of 2.45, Zoetis has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Drug Manufacturers company?
The median FCF Margin % among Drug Manufacturers companies is 2.45, based on 958 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Zoetis's current FCF Margin % of 12.86% is 426% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Zoetis and its competitors. For the Drug Manufacturers industry, the median FCF Margin % is 2.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zoetis's current FCF Margin % is 12.86%, which is 41% below median its own 10-year median of 21.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zoetis stock overvalued right now?
Based on GuruFocus' analysis, Zoetis (MEX:ZTS) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN3,418.50, compared to a current price of MXN1,371.70 — trading 59.9% below its estimated fair value. The current FCF Margin % is 12.86%, which is 41% below median its 10-year median of 21.83 and 426% above the Drug Manufacturers industry median of 2.45. Zoetis' overall GF Score™ is 71/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Zoetis (MEX:ZTS), the current FCF Margin % is 12.86% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Zoetis (MEX:ZTS) Overvalued in 2026?
Based on GuruFocus' analysis, Zoetis stock appears to be undervalued.
The current stock price of MXN1,371.70 is trading 59.9% below its estimated GF Value™ of MXN3,418.50.
GuruFocus considers Zoetis to be Significantly Undervalued.
Key valuation signals for MEX:ZTS:
FCF Margin %: 12.86% (41% below median its 10-year median of 21.83)
GF Value™: MXN3,418.50 vs. price of MXN1,371.70 (59.9% below fair value)
Industry Position: 426% above the Drug Manufacturers median (#68 of 958)
No single metric tells the full story. See the MEX:ZTS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zoetis sells anti-infectives, vaccines, parasiticides, diagnostics, and other health products for animals. The firm earns roughly 35% of total revenue from production animals (cattle, pigs, poultry, and so on) and nearly 65% from companion animal (dogs, horses, cats) products. Its US business is skewed even more heavily toward companion animals, while its international business is slightly skewed toward production animals. The firm has the largest market share in the industry and was previously Pfizer's animal health unit.
71GF Score
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