ALVO vs. ZTS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ALVO 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 ALVO’s 2.77 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 ALVO (beta: 0.19) exhibits greater stability.
| Symbol | ALVO | ZTS |
|---|---|---|
| Company Name | Alvotech | Zoetis Inc. |
| Country | IS | US |
| Sector | Healthcare | Healthcare |
| Industry | Drug Manufacturers - Specialty & Generic | Drug Manufacturers - Specialty & Generic |
| CEO | Robert Wessman | Kristin C. Peck |
| Price | 9.19 USD | 159.18 USD |
| Market Cap | 2.77 billion USD | 70.87 billion USD |
| Beta | 0.19 | 0.94 |
| Exchange | NASDAQ | NYSE |
| IPO Date | June 16, 2022 | February 1, 2013 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ALVO 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.
Profitability
Return on Equity
ALVO
-23.20%
Drug Manufacturers - Specialty & Generic Industry
- Max
- 51.32%
- Q3
- 9.89%
- Median
- -3.37%
- Q1
- -20.99%
- Min
- -36.07%
ALVO has a negative Return on Equity of -23.20%. 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.
Return on Invested Capital
ALVO
12.01%
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, ALVO’s Return on Invested Capital of 12.01% signifies a highly effective use of its capital to generate profits when compared to its peers.
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.
Net Profit Margin
ALVO
16.49%
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 16.49% places ALVO in the upper quartile for the Drug Manufacturers - Specialty & Generic industry, signifying strong profitability and more effective cost management than most of its peers.
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.
Operating Profit Margin
ALVO
21.97%
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 21.97% places ALVO 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.
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.
Profitability at a Glance
| Symbol | ALVO | ZTS |
|---|---|---|
| Return on Equity (TTM) | -23.20% | 51.32% |
| Return on Assets (TTM) | 7.75% | 17.86% |
| Return on Invested Capital (TTM) | 12.01% | 22.54% |
| Net Profit Margin (TTM) | 16.49% | 27.12% |
| Operating Profit Margin (TTM) | 21.97% | 37.01% |
| Gross Profit Margin (TTM) | 60.59% | 70.20% |
Financial Strength
Current Ratio
ALVO
1.73
Drug Manufacturers - Specialty & Generic Industry
- Max
- 5.74
- Q3
- 3.37
- Median
- 2.64
- Q1
- 1.73
- Min
- 0.88
ALVO’s Current Ratio of 1.73 falls into the lower quartile for the Drug Manufacturers - Specialty & Generic 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.
Debt-to-Equity Ratio
ALVO
-4.06
Drug Manufacturers - Specialty & Generic Industry
- Max
- 1.45
- Q3
- 1.06
- Median
- 0.62
- Q1
- 0.13
- Min
- 0.00
ALVO has a Debt-to-Equity Ratio of -4.06, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.
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.
Interest Coverage Ratio
ALVO
0.55
Drug Manufacturers - Specialty & Generic Industry
- Max
- 10.17
- Q3
- 3.39
- Median
- 0.85
- Q1
- -2.63
- Min
- -5.84
ALVO’s Interest Coverage Ratio of 0.55 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.
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.
Financial Strength at a Glance
| Symbol | ALVO | ZTS |
|---|---|---|
| Current Ratio (TTM) | 1.73 | 1.74 |
| Quick Ratio (TTM) | 1.19 | 1.04 |
| Debt-to-Equity Ratio (TTM) | -4.06 | 1.45 |
| Debt-to-Asset Ratio (TTM) | 0.99 | 0.48 |
| Net Debt-to-EBITDA Ratio (TTM) | 8.56 | 1.26 |
| Interest Coverage Ratio (TTM) | 0.55 | 15.55 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ALVO and ZTS. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ALVO
0.00%
Drug Manufacturers - Specialty & Generic Industry
- Max
- 9.29%
- Q3
- 0.31%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALVO 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.
Dividend Payout Ratio
ALVO
0.00%
Drug Manufacturers - Specialty & Generic Industry
- Max
- 125.42%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALVO 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.
Dividend at a Glance
| Symbol | ALVO | ZTS |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 1.17% |
| Dividend Payout Ratio (TTM) | 0.00% | 32.25% |
Valuation
Price-to-Earnings Ratio
ALVO
26.77
Drug Manufacturers - Specialty & Generic Industry
- Max
- 40.89
- Q3
- 28.12
- Median
- 23.94
- Q1
- 18.79
- Min
- 7.76
ALVO’s P/E Ratio of 26.77 is within the middle range for the Drug Manufacturers - Specialty & Generic industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
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.
Forward P/E to Growth Ratio
ALVO
0.40
Drug Manufacturers - Specialty & Generic Industry
- Max
- 4.19
- Q3
- 2.94
- Median
- 1.47
- Q1
- 0.35
- Min
- 0.00
ALVO’s Forward PEG Ratio of 0.40 is within the middle range of its peers in the Drug Manufacturers - Specialty & Generic industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
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.
Price-to-Sales Ratio
ALVO
4.74
Drug Manufacturers - Specialty & Generic Industry
- Max
- 7.49
- Q3
- 4.45
- Median
- 2.12
- Q1
- 1.21
- Min
- 0.25
ALVO’s P/S Ratio of 4.74 is in the upper echelon for the Drug Manufacturers - Specialty & Generic industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
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.
Price-to-Book Ratio
ALVO
-8.55
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.
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.
Valuation at a Glance
| Symbol | ALVO | ZTS |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 26.77 | 28.30 |
| Forward PEG Ratio (TTM) | 0.40 | 3.05 |
| Price-to-Sales Ratio (P/S, TTM) | 4.74 | 7.63 |
| Price-to-Book Ratio (P/B, TTM) | -8.55 | 15.31 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -12.35 | 31.07 |
| EV-to-EBITDA (TTM) | 28.53 | 19.06 |
| EV-to-Sales (TTM) | 6.77 | 8.17 |