Zoetis, IDEXX named as buys in animal health space by Piper Sandler
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Piper Sandler has initiated Zoetis (NYSE:ZTS) and IDEXX Laboratories (NASDAQ:IDXX) with overweight ratings as the selloff in the animal health sector has provided a buying opportunity.
The firm has a price target of $205 for Zoetis (ZTS) (~18% upside based on Tuesday's close) and a $440 price target for IDEXX (IDXX) (~21% upside).

Analyst David Westenberg said that investors should focus on companion animal health companies versus food animal ones as pet owners are willing to pay a premium for innovative products.
He believes that Zoetis (ZTS) has 500 basis points of operating margin expansion potential over the next 10 years.
IDEXX (IDXX) also offers margin expansion, Westenberg added, and both companies "check the boxes of heavy veterinary focused companion products."
Elanco Animal Health (NYSE:ELAN) and Neogen (NASDAQ:NEOG), which are more focused on farm animal health, were initiated at neutral by Westenberg.
Read why Seeking Alpha contributor Marcel Knoop argues that IDEXX (IDXX) is overvalued.