On August 24, 2026, Labaton Keller Sucharow was appointed Lead Counsel in a securities class action against Zoetis Inc. (Zoetis or the Company) and certain of its executives (collectively, Defendants).  The Firm identified, developed, investigated, and filed the action.

Zoetis is an animal health company that generates most of its revenue from medicines for dogs and cats.  The case alleges that, throughout the Class Period, from January 14, 2025 through May 6, 2026, Defendants made materially false and misleading statements portraying the Company’s Companion Animal segment as a durable growth engine fueled by expanding markets and strong veterinarian adoption.  In truth, the segment’s flagship products faced serious safety concerns and intensifying competition.  For example, sales of Librela, an osteoarthritis treatment for dogs, were slowing as veterinarians grew increasingly concerned about reported adverse events.  Those concerns were amplified by a December 2024 FDA letter and a February 2025 label update warning of neurological and mobility-related adverse events.  Meanwhile, Zoetis’s dermatological medications Apoquel and Cytopoint faced competition from Elanco Animal Health, Inc.’s (Elanco’s) lower-priced Zenrelia, while the Company’s antiparasitic Simparica Trio faced competition from Elanco’s Credelio Quattro.

Investors learned the truth through a series of disclosures.  On August 5, 2025, Zoetis revealed weakening demand for Librela, causing its stock price to drop 4%.  On November 4, 2025, the Company reported continued weakness in Librela sales, competitive pressure in its dermatology and parasiticide businesses, and a reduced full-year sales outlook.  On this news, Zoetis’ stock dropped 14%.  On February 12, 2026, Zoetis issued guidance reflecting further slowing growth and acknowledged increasing competitive pressure, causing its stock price to drop 2%.  Finally, on May 7, 2026, Zoetis reported significant deterioration across its Companion Animal business, sharply reduced its full-year guidance, and disclosed worsening performance in its dermatology and parasiticide segments.  On this news, Zoetis stock dropped 22%. 

The case is City of Ann Arbor Retiree Health Care Benefit Plan & Trust v. Zoetis Inc., No. 26-cv-04401 (S.D.N.Y.).  Labaton Keller Sucharow represents Co-Lead Plaintiffs Nykredit Portefølje Administration A/S and La Caisse.