RDY vs. ZTS: Dr. Reddy's Laboratories vs. Zoetis Stock Comparison
How do Dr. Reddy's Laboratories (RDY) and Zoetis (ZTS) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Dr. Reddy's Laboratories (RDY) and Zoetis (ZTS) are both classified in the Pharmaceuticals sub-industry within the broader Pharmaceuticals industry, placing them in the closest GICS peer bucket.
Zoetis (ZTS) trades as ordinary local shares, while Dr. Reddy's Laboratories (RDY) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | RDY | ZTS |
|---|---|---|
| Name | Dr. Reddy's Laboratories Ltd. ADR | Zoetis Inc. Class A Common Stock |
| Country/Region | India | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry Group | Pharmaceuticals, Biotechnology & Life Sciences | Pharmaceuticals, Biotechnology & Life Sciences |
| GICS Industry | Pharmaceuticals | Pharmaceuticals |
| GICS Sub-Industry | Pharmaceuticals | Pharmaceuticals |
| Market Capitalization | 12.43 billion USD | 32.26 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 11, 2001 | February 1, 2013 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | RDY | ZTS |
|---|---|---|
| Total Return (1Y) | 12.49% | -30.10% |
| Total Return (3Y, Annualized) | 5.76% | -20.42% |
| Total Return (5Y, Annualized) | 4.06% | -16.87% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | RDY | ZTS |
|---|---|---|
| Volatility (1Y, Annualized) | 27.06% | 38.23% |
| Beta (5Y) | 0.30 | 0.66 |
| Max Drawdown (5Y) | -32.01% | -70.45% |
| Avg. Volume (3M) | 2.89M | 4.65M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | RDY | ZTS |
|---|---|---|
| Sharpe Ratio (1Y) | 0.30 | -0.90 |
| Sortino Ratio (1Y) | 0.43 | -1.10 |
Profitability
ROE (TTM)
Both Dr. Reddy's Laboratories (RDY) at 7.34% and Zoetis (ZTS) at 57.63% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
7.34%
- Max
- 109.18%
- RDY
- 7.34%
- Q3
- 6.23%
- Median
- -26.66%
- Q1
- -64.05%
- Min
- -167.77%
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
57.63%
- Max
- 109.18%
- ZTS
- 57.63%
- Q3
- 6.23%
- Median
- -26.66%
- Q1
- -64.05%
- Min
- -167.77%
Net Margin (TTM)
Zoetis (ZTS) at 26.41% keeps the most of each sales dollar — above its industry’s net margin range — and Dr. Reddy's Laboratories (RDY) at 8.49% also retains a top-quartile share.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
8.49%
- Max
- 18.05%
- RDY
- 8.49%
- Q3
- 4.78%
- Median
- 0.00%
- Q1
- -4.14%
- Min
- -17.05%
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
26.41%
- ZTS
- 26.41%
- Max
- 18.05%
- Q3
- 4.78%
- Median
- 0.00%
- Q1
- -4.14%
- Min
- -17.05%
Operating Margin (TTM)
Zoetis (ZTS) at 38.19% operates in the top operating margin quartile, ahead of Dr. Reddy's Laboratories (RDY) at 14.73%, which runs around its industry’s norm.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
14.73%
- Max
- 83.12%
- Q3
- 14.77%
- RDY
- 14.73%
- Median
- 0.00%
- Q1
- -78.82%
- Min
- -207.40%
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
38.19%
- Max
- 83.12%
- ZTS
- 38.19%
- Q3
- 14.77%
- Median
- 0.00%
- Q1
- -78.82%
- Min
- -207.40%
Profitability Metrics
| Metric | RDY | ZTS |
|---|---|---|
| ROE (TTM) | 7.34% | 57.63% |
| ROA (TTM) | 3.37% | 14.87% |
| Net Margin (TTM) | 8.49% | 26.41% |
| Operating Margin (TTM) | 14.73% | 38.19% |
| Gross Margin (TTM) | 49.49% | 71.65% |
Growth
Revenue Growth
Both Dr. Reddy's Laboratories (RDY) at 3.19% and Zoetis (ZTS) at 2.28% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Both Dr. Reddy's Laboratories (RDY) at -24.14% and Zoetis (ZTS) at 10.05% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | RDY | ZTS |
|---|---|---|
| Revenue Growth (YoY) | 3.19% | 2.28% |
| Revenue Growth (3Y CAGR) | 10.96% | 5.42% |
| EPS Growth (YoY) | -24.14% | 10.05% |
| EPS Growth (3Y CAGR) | -1.72% | 10.27% |
Financial Strength
Current Ratio (MRQ)
Both Dr. Reddy's Laboratories (RDY) at 1.93 and Zoetis (ZTS) at 2.35 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.93
- Max
- 25.13
- Q3
- 12.13
- Median
- 5.52
- Q1
- 2.47
- RDY
- 1.93
- Min
- 0.10
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
2.35
- Max
- 25.13
- Q3
- 12.13
- Median
- 5.52
- Q1
- 2.47
- ZTS
- 2.35
- Min
- 0.10
Debt / Equity (MRQ)
Dr. Reddy's Laboratories (RDY) at 0.19 is near its industry mid-range for debt-to-equity ratio, while Zoetis (ZTS) at 2.80 sits above its benchmark range, pointing to a heavier debt load relative to equity.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
0.19
- Max
- 1.42
- Q3
- 0.65
- RDY
- 0.19
- Median
- 0.15
- Q1
- 0.02
- Min
- 0.00
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
2.80
- ZTS
- 2.80
- Max
- 1.42
- Q3
- 0.65
- Median
- 0.15
- Q1
- 0.02
- Min
- 0.00
Financial Strength Metrics
| Metric | RDY | ZTS |
|---|---|---|
| Current Ratio (MRQ) | 1.93 | 2.35 |
| Debt / Equity (MRQ) | 0.19 | 2.80 |
| Net Debt / EBITDA | -0.08 | 1.92 |
Dividends
Dividend Yield (TTM)
Both Dr. Reddy's Laboratories (RDY) at 55.06% and Zoetis (ZTS) at 2.55% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
55.06%
- RDY
- 55.06%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
2.55%
- ZTS
- 2.55%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Dr. Reddy's Laboratories (RDY) at 22.72% and Zoetis (ZTS) at 35.24% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
22.72%
- RDY
- 22.72%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
35.24%
- ZTS
- 35.24%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | RDY | ZTS |
|---|---|---|
| Dividend Yield (TTM) | 55.06% | 2.55% |
| Dividend Payout Ratio (TTM) | 22.72% | 35.24% |
Valuation
P/E Ratio (TTM)
Both Dr. Reddy's Laboratories (RDY) at 41.42 and Zoetis (ZTS) at 13.50 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
41.42
- Max
- 85.34
- Q3
- 43.46
- RDY
- 41.42
- Median
- 26.69
- Q1
- 13.30
- Min
- 0.07
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
13.50
- Max
- 85.34
- Q3
- 43.46
- Median
- 26.69
- ZTS
- 13.50
- Q1
- 13.30
- Min
- 0.07
P/S Ratio (TTM)
Dr. Reddy's Laboratories (RDY) at 0.04 sits in the cheaper P/S ratio quartile while Zoetis (ZTS) at 3.40 prices around its industry’s middle — RDY costs less per dollar of sales, though read it alongside growth and margins.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
0.04
- Max
- 58.18
- Q3
- 25.77
- Median
- 7.30
- Q1
- 3.01
- RDY
- 0.04
- Min
- 0.01
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
3.40
- Max
- 58.18
- Q3
- 25.77
- Median
- 7.30
- ZTS
- 3.40
- Q1
- 3.01
- Min
- 0.01
P/B Ratio (MRQ)
Both look rich against book: Zoetis (ZTS) at 9.80 sits in the upper P/B ratio quartile, and Dr. Reddy's Laboratories (RDY) at 18.16 prices even higher, above its industry range.
RDY
Pharmaceuticals, Biotechnology & Life Sciences industry group
18.16
- RDY
- 18.16
- Max
- 13.53
- Q3
- 6.54
- Median
- 3.25
- Q1
- 1.69
- Min
- -5.59
ZTS
Pharmaceuticals, Biotechnology & Life Sciences industry group
9.80
- Max
- 13.53
- ZTS
- 9.80
- Q3
- 6.54
- Median
- 3.25
- Q1
- 1.69
- Min
- -5.59
Valuation Metrics
| Metric | RDY | ZTS |
|---|---|---|
| P/E Ratio (TTM) | 41.42 | 13.50 |
| P/S Ratio (TTM) | 0.04 | 3.40 |
| P/B Ratio (MRQ) | 18.16 | 9.80 |
| Free Cash Flow Yield (TTM) | -53.03% | 6.36% |