Enterprise Value (EV)
Current Enterprise Value (EV)
Zoetis Inc., current enterprise value calculation
| Current share price (P) | $167.23 |
| No. shares of common stock outstanding | 456,295,137 |
| US$ in millions | |
| Common equity (market value)1 | 76,306) |
| Add: Equity attributable to noncontrolling interests (per books) | (6) |
| Total equity | 76,300) |
| Add: Short-term borrowings (per books) | 3) |
| Add: Current portion of long-term debt (per books) | —) |
| Add: Finance lease liabilities, current (per books) | 1) |
| Add: Long-term debt, net of discount and issuance costs, excluding current portion (per books) | 6,564) |
| Add: Finance lease liabilities, noncurrent (per books) | 8) |
| Total equity and debt | 82,876) |
| Less: Cash and cash equivalents | 2,041) |
| Enterprise value (EV) | 80,835) |
Based on: 10-K (reporting date: 2023-12-31).
1 Common equity (market value) = Share price × No. shares of common stock outstanding
= 167.23 × 456,295,137
Historical Enterprise Value (EV)
Zoetis Inc., EV calculation
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 Data adjusted for splits and stock dividends.
2 Closing price as at the filing date of Zoetis Inc. Annual Report.
3 2023 Calculation
Common equity (market value) = Share price × No. shares of common stock outstanding
= 183.49 × 457,867,115
The enterprise value exhibited a growth trajectory from 2019 through 2021, followed by a correction in 2022 and a partial recovery in 2023. The overall trend reflects significant volatility in market valuation during the middle of the analyzed period, with the peak valuation occurring at the end of 2021.
- Enterprise Value (EV) Trends
- The enterprise value rose from US$ 73,350 million in 2019 to a peak of US$ 96,445 million in 2021. A subsequent decline was observed in 2022, where the value dropped to US$ 83,977 million, representing a contraction of approximately 12.9% from the peak. By December 31, 2023, the enterprise value recovered to US$ 88,543 million.
- Equity Market Valuation
- Common equity market value closely mirrored the movements of the enterprise value. It increased from US$ 68,837 million in 2019 to US$ 93,337 million in 2021, before experiencing a downturn to US$ 79,656 million in 2022 and ending the period at US$ 84,014 million in 2023. A notable observation is the near-total alignment between common equity market value and total equity across all five years, indicating a valuation closely tied to the equity base.
- Capital Structure and Debt Analysis
- Total equity and debt figures consistently remained higher than the enterprise value throughout the period. For instance, in 2023, total equity and debt stood at US$ 90,584 million compared to an enterprise value of US$ 88,543 million. This discrepancy suggests the presence of significant cash or cash equivalents that offset the total debt within the enterprise value calculation.
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