Alkermes Plc (ALKS)vsZoetis Inc (ZTS)
ALKS
Alkermes Plc
$42.80
-1.34%
HEALTHCARE · Cap: $7.38B
ZTS
Zoetis Inc
$79.44
-0.10%
HEALTHCARE · Cap: $33.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Zoetis Inc generates 510% more annual revenue ($9.53B vs $1.56B). ZTS leads profitability with a 28.0% profit margin vs 9.8%. ZTS appears more attractively valued with a PEG of 1.91. ZTS earns a higher WallStSmart Score of 66/100 (B-).
ALKS
Hold44
out of 100
Grade: D
ZTS
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.3%
Fair Value
$73.21
Current Price
$42.80
$30.41 discount
Margin of Safety
+11.8%
Fair Value
$145.86
Current Price
$79.44
$66.42 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 28.2% year-over-year
Every $100 of equity generates 82 in profit
Strong operational efficiency at 36.6%
Safe zone — low bankruptcy risk
Keeps 28 of every $100 in revenue as profit
Attractively priced relative to earnings
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 67.0%
Negative free cash flow — burning cash
Expensive relative to growth rate
Trading at 10.1x book value
2.9% revenue growth
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : ALKS
The strongest argument for ALKS centers on Revenue Growth. Revenue growth of 28.2% demonstrates continued momentum.
Bull Case : ZTS
The strongest argument for ZTS centers on Return on Equity, Operating Margin, Altman Z-Score. Profitability is solid with margins at 28.0% and operating margin at 36.6%.
Bear Case : ALKS
The primary concerns for ALKS are PEG Ratio, P/E Ratio, EPS Growth. A P/E of 49.2x leaves little room for execution misses.
Bear Case : ZTS
The primary concerns for ZTS are PEG Ratio, Price/Book, Revenue Growth. Debt-to-equity of 2.86 is elevated, increasing financial risk.
Key Dynamics to Monitor
ALKS profiles as a growth stock while ZTS is a value play — different risk/reward profiles.
ZTS carries more volatility with a beta of 0.74 — expect wider price swings.
ALKS is growing revenue faster at 28.2% — sustainability is the question.
ZTS generates stronger free cash flow (291M), providing more financial flexibility.
Bottom Line
ZTS scores higher overall (66/100 vs 44/100), backed by strong 28.0% margins. ALKS offers better value entry with a 52.3% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Alkermes Plc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Alkermes plc, a biopharmaceutical company, researches, develops and markets pharmaceutical products to address the unmet medical needs of patients in various therapeutic areas in the United States, Ireland and internationally. The company is headquartered in Dublin, Ireland.
Visit Website →Zoetis Inc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Zoetis Inc. is an American drug company, the world's largest producer of medicine and vaccinations for pets and livestock.
Visit Website →Compare with Other DRUG MANUFACTURERS - SPECIALTY & GENERIC Stocks
Want to dig deeper into these stocks?