Seek Returns logo

ALNY vs. ZTS: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ALNY and ZTS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ZTS’s market capitalization of 70.87 billion USD is significantly greater than ALNY’s 43.28 billion USD, highlighting its more substantial market valuation.

ZTS carries a higher beta at 0.94, indicating it’s more sensitive to market moves, while ALNY (beta: 0.21) exhibits greater stability.

SymbolALNYZTS
Company NameAlnylam Pharmaceuticals, Inc.Zoetis Inc.
CountryUSUS
SectorHealthcareHealthcare
IndustryBiotechnologyDrug Manufacturers - Specialty & Generic
CEOYvonne L. GreenstreetKristin C. Peck
Price331.91 USD159.18 USD
Market Cap43.28 billion USD70.87 billion USD
Beta0.210.94
ExchangeNASDAQNYSE
IPO DateJune 1, 2004February 1, 2013
ADRNoNo

Historical Performance

This chart compares the performance of ALNY and ZTS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ALNY vs. ZTS: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ALNY

-509.33%

Biotechnology Industry

Max
72.39%
Q3
-6.30%
Median
-32.82%
Q1
-68.26%
Min
-147.61%

ALNY has a negative Return on Equity of -509.33%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

ZTS

51.32%

Drug Manufacturers - Specialty & Generic Industry

Max
51.32%
Q3
9.89%
Median
-3.37%
Q1
-20.99%
Min
-36.07%

In the upper quartile for the Drug Manufacturers - Specialty & Generic industry, ZTS’s Return on Equity of 51.32% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ALNY vs. ZTS: A comparison of their ROE against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Return on Invested Capital

ALNY

-2.79%

Biotechnology Industry

Max
48.74%
Q3
-10.68%
Median
-31.65%
Q1
-52.92%
Min
-113.69%

ALNY has a negative Return on Invested Capital of -2.79%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

ZTS

22.54%

Drug Manufacturers - Specialty & Generic Industry

Max
22.54%
Q3
8.45%
Median
1.42%
Q1
-9.01%
Min
-28.41%

In the upper quartile for the Drug Manufacturers - Specialty & Generic industry, ZTS’s Return on Invested Capital of 22.54% signifies a highly effective use of its capital to generate profits when compared to its peers.

ALNY vs. ZTS: A comparison of their ROIC against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Net Profit Margin

ALNY

-11.49%

Biotechnology Industry

Max
87.75%
Q3
-5.05%
Median
-103.44%
Q1
-1,032.77%
Min
-2,366.07%

ALNY has a negative Net Profit Margin of -11.49%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

ZTS

27.12%

Drug Manufacturers - Specialty & Generic Industry

Max
40.33%
Q3
11.92%
Median
-0.45%
Q1
-13.07%
Min
-34.27%

A Net Profit Margin of 27.12% places ZTS in the upper quartile for the Drug Manufacturers - Specialty & Generic industry, signifying strong profitability and more effective cost management than most of its peers.

ALNY vs. ZTS: A comparison of their Net Profit Margin against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Operating Profit Margin

ALNY

-4.91%

Biotechnology Industry

Max
87.75%
Q3
-3.28%
Median
-115.26%
Q1
-1,188.86%
Min
-2,943.30%

ALNY has a negative Operating Profit Margin of -4.91%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

ZTS

37.01%

Drug Manufacturers - Specialty & Generic Industry

Max
46.91%
Q3
19.02%
Median
6.23%
Q1
-11.23%
Min
-51.89%

An Operating Profit Margin of 37.01% places ZTS in the upper quartile for the Drug Manufacturers - Specialty & Generic industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ALNY vs. ZTS: A comparison of their Operating Margin against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Profitability at a Glance

SymbolALNYZTS
Return on Equity (TTM)-509.33%51.32%
Return on Assets (TTM)-6.40%17.86%
Return on Invested Capital (TTM)-2.79%22.54%
Net Profit Margin (TTM)-11.49%27.12%
Operating Profit Margin (TTM)-4.91%37.01%
Gross Profit Margin (TTM)86.01%70.20%

Financial Strength

Current Ratio

ALNY

3.04

Biotechnology Industry

Max
28.73
Q3
13.97
Median
6.31
Q1
3.60
Min
0.02

ALNY’s Current Ratio of 3.04 falls into the lower quartile for the Biotechnology industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ZTS

1.74

Drug Manufacturers - Specialty & Generic Industry

Max
5.74
Q3
3.37
Median
2.64
Q1
1.73
Min
0.88

ZTS’s Current Ratio of 1.74 aligns with the median group of the Drug Manufacturers - Specialty & Generic industry, indicating that its short-term liquidity is in line with its sector peers.

ALNY vs. ZTS: A comparison of their Current Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Debt-to-Equity Ratio

ALNY

11.28

Biotechnology Industry

Max
0.46
Q3
0.22
Median
0.06
Q1
0.02
Min
0.00

With a Debt-to-Equity Ratio of 11.28, ALNY operates with exceptionally high leverage compared to the Biotechnology industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

ZTS

1.45

Drug Manufacturers - Specialty & Generic Industry

Max
1.45
Q3
1.06
Median
0.62
Q1
0.13
Min
0.00

ZTS’s leverage is in the upper quartile of the Drug Manufacturers - Specialty & Generic industry, with a Debt-to-Equity Ratio of 1.45. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ALNY vs. ZTS: A comparison of their D/E Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Interest Coverage Ratio

ALNY

-0.79

Biotechnology Industry

Max
108.32
Q3
-0.55
Median
-8.49
Q1
-74.83
Min
-168.36

ALNY has a negative Interest Coverage Ratio of -0.79. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

ZTS

15.55

Drug Manufacturers - Specialty & Generic Industry

Max
10.17
Q3
3.39
Median
0.85
Q1
-2.63
Min
-5.84

With an Interest Coverage Ratio of 15.55, ZTS demonstrates a superior capacity to service its debt, placing it well above the typical range for the Drug Manufacturers - Specialty & Generic industry. This stems from either robust earnings or a conservative debt load.

ALNY vs. ZTS: A comparison of their Interest Coverage against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Financial Strength at a Glance

SymbolALNYZTS
Current Ratio (TTM)3.041.74
Quick Ratio (TTM)2.981.04
Debt-to-Equity Ratio (TTM)11.281.45
Debt-to-Asset Ratio (TTM)0.310.48
Net Debt-to-EBITDA Ratio (TTM)-1.851.26
Interest Coverage Ratio (TTM)-0.7915.55

Growth

The following charts compare key year-over-year (YoY) growth metrics for ALNY and ZTS. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ALNY vs. ZTS: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ALNY vs. ZTS: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ALNY vs. ZTS: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ALNY

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ALNY currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ZTS

1.17%

Drug Manufacturers - Specialty & Generic Industry

Max
9.29%
Q3
0.31%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 1.17%, ZTS offers a more attractive income stream than most of its peers in the Drug Manufacturers - Specialty & Generic industry, signaling a strong commitment to shareholder returns.

ALNY vs. ZTS: A comparison of their Dividend Yield against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Dividend Payout Ratio

ALNY

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ALNY has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ZTS

32.25%

Drug Manufacturers - Specialty & Generic Industry

Max
125.42%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ZTS’s Dividend Payout Ratio of 32.25% is in the upper quartile for the Drug Manufacturers - Specialty & Generic industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ALNY vs. ZTS: A comparison of their Payout Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Dividend at a Glance

SymbolALNYZTS
Dividend Yield (TTM)0.00%1.17%
Dividend Payout Ratio (TTM)0.00%32.25%

Valuation

Price-to-Earnings Ratio

ALNY

-159.59

Biotechnology Industry

Max
78.44
Q3
48.98
Median
20.50
Q1
12.64
Min
2.14

ALNY has a negative P/E Ratio of -159.59. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

ZTS

28.30

Drug Manufacturers - Specialty & Generic Industry

Max
40.89
Q3
28.12
Median
23.94
Q1
18.79
Min
7.76

A P/E Ratio of 28.30 places ZTS in the upper quartile for the Drug Manufacturers - Specialty & Generic industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

ALNY vs. ZTS: A comparison of their P/E Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Forward P/E to Growth Ratio

ALNY

-43.29

Biotechnology Industry

Max
2.29
Q3
1.10
Median
0.49
Q1
0.16
Min
0.02

ALNY has a negative Forward PEG Ratio of -43.29. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

ZTS

3.05

Drug Manufacturers - Specialty & Generic Industry

Max
4.19
Q3
2.94
Median
1.47
Q1
0.35
Min
0.00

A Forward PEG Ratio of 3.05 places ZTS in the upper quartile for the Drug Manufacturers - Specialty & Generic industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

ALNY vs. ZTS: A comparison of their Forward PEG Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Price-to-Sales Ratio

ALNY

18.43

Biotechnology Industry

Max
110.90
Q3
59.76
Median
11.33
Q1
4.45
Min
0.17

ALNY’s P/S Ratio of 18.43 aligns with the market consensus for the Biotechnology industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ZTS

7.63

Drug Manufacturers - Specialty & Generic Industry

Max
7.49
Q3
4.45
Median
2.12
Q1
1.21
Min
0.25

With a P/S Ratio of 7.63, ZTS trades at a valuation that eclipses even the highest in the Drug Manufacturers - Specialty & Generic industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ALNY vs. ZTS: A comparison of their P/S Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Price-to-Book Ratio

ALNY

372.86

Biotechnology Industry

Max
15.78
Q3
7.44
Median
3.31
Q1
1.58
Min
0.31

The P/B Ratio is often not a primary valuation metric for the Biotechnology industry.

ZTS

15.31

Drug Manufacturers - Specialty & Generic Industry

Max
4.93
Q3
3.95
Median
2.14
Q1
1.30
Min
0.13

The P/B Ratio is often not a primary valuation metric for the Drug Manufacturers - Specialty & Generic industry.

ALNY vs. ZTS: A comparison of their P/B Ratio against their respective Biotechnology and Drug Manufacturers - Specialty & Generic industry benchmarks.

Valuation at a Glance

SymbolALNYZTS
Price-to-Earnings Ratio (P/E, TTM)-159.5928.30
Forward PEG Ratio (TTM)-43.293.05
Price-to-Sales Ratio (P/S, TTM)18.437.63
Price-to-Book Ratio (P/B, TTM)372.8615.31
Price-to-Free Cash Flow Ratio (P/FCF, TTM)-574.0831.07
EV-to-EBITDA (TTM)-285.3219.06
EV-to-Sales (TTM)18.558.17