Pfizer Inc. (PFE), Merck & Co., Inc. (MRK): Will Zoetis Earnings Deliver on Post-Spinoff Growth?

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With even bigger growth recently, the relatively small Elanco unit of Eli Lilly & Co. (NYSE:LLY) represents a greater portion of Eli Lilly & Co. (NYSE:LLY)’s overall revenue than its rivals. All four companies recognize the value of stronger intellectual property protection without patent cliffs to deal with.

Still, Zoetis is making moves to accelerate its growth. Its decision to expand its Nebraska plant to allow third parties to make their products there as well as Zoetis’ own proprietary products should help it take greater advantage of its manufacturing capacity. It’ll take a couple years for the expansion to take shape, but it should eventually help make the facility more profitable.

In the Zoetis earnings report, be sure to watch for strategic vision statements from the company’s management as it starts moving forward on its own path. With its status as a pure play on animal health, Zoetis should attract attention from investors interested in the profit potential from the agricultural industry.

The article Will Zoetis Earnings Deliver on Post-Spinoff Growth? originally appeared on Fool.com is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool has no position in any of the stocks mentioned.

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