Form 4: Zoetis EVP Receives New Equity Compensation Awards

Zoetis Inc.'s Executive Vice President, Jeannette Ferran Astorga, was granted new restricted stock units and stock options as part of her compensation.

Summary

• Jeannette Ferran Astorga, Executive Vice President of Zoetis Inc., was granted new equity awards under the company's Amended and Restated 2013 Equity and Incentive Plan.
• On February 18, 2026, Astorga received 2,197 Restricted Stock Units (RSUs) and 8,693 stock options with an exercise price of $129.13.
• Both the 2,197 RSUs and 8,693 stock options granted on February 18, 2026, will vest in three equal annual installments, commencing on February 18, 2026.
• The filing also details previously granted equity awards, including 1,294.6543 RSUs and 4,973 stock options granted on February 19, 2025, with an exercise price of $156.64, vesting over three years.
• Further prior grants include 207 RSUs and 2,328 stock options granted on February 6, 2024, with an exercise price of $196.14, also vesting over three years.
• Additional stock options include 2,353 options granted on February 8, 2023, with an exercise price of $162.07, vesting over three years.
• A combined entry of 4,057 stock options from grants on September 30, 2020 (1,304 options at $165.37), February 10, 2021 (925 options at $160.62), and February 8, 2022 (1,828 options at $201.30) are also reported, with each having vested on its third anniversary.
• Each RSU represents a contingent right to receive one share of Zoetis Inc. common stock upon vesting.
• Each stock option grants the right to buy Zoetis Inc. common stock at its specified exercise price and typically expires on the tenth anniversary of its grant date.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event, representing a routine disclosure of executive compensation through equity grants, which is a standard corporate practice.

Positives

• The Executive Vice President received new equity compensation, aligning her interests with long-term shareholder value.
• The grants include both Restricted Stock Units (RSUs) and Stock Options, providing diversified incentive mechanisms.
• The multi-year vesting schedules for the new awards promote executive retention and long-term commitment to company performance.

Future Outlook

NA

Industry Context

StockSavvy.ai notes that equity-based compensation, such as RSUs and stock options, is a standard practice across the pharmaceutical and animal health industries. This approach is widely used to attract, retain, and incentivize key executives by aligning their financial interests with the long-term performance of the company and its shareholders.

Comparison to Industry Standards

• Equity compensation packages for executive vice presidents at companies comparable to Zoetis Inc. (e.g., Elanco Animal Health, IDEXX Laboratories, Merck & Co. (which spun off Zoetis)) typically include a mix of restricted stock and stock options.
• The specific number of units and vesting schedules are generally competitive and designed to retain talent and motivate performance over multi-year periods.
• Without specific peer compensation data, a direct quantitative comparison is not feasible from this filing alone, but the structure is consistent with industry norms.

Stakeholder Impact

• Shareholders: Potential minor dilution from the issuance of new shares upon RSU vesting and option exercise, offset by the incentive for executive performance.
• Employees: Reflects standard executive compensation practices within the company.
• Executive (Jeannette Ferran Astorga): Receives significant equity-based compensation, aligning her financial interests with the company's long-term success.

Next Steps

• Vesting of 2,197 RSUs and 8,693 stock options on February 18, 2026, and subsequent anniversaries.
• Vesting of 1,294.6543 RSUs and 4,973 stock options on February 19, 2025, and subsequent anniversaries.
• Vesting of 207 RSUs and 2,328 stock options on February 6, 2024, and subsequent anniversaries.
• Vesting of 2,353 stock options on February 8, 2023, and subsequent anniversaries.
• Expiration of stock options ten years from their respective grant dates.

Key Dates

Keywords

Zoetis Inc., ZTS, Form 4, Restricted Stock Units, RSUs, Stock Options, Executive Compensation, Insider Transaction, Equity Incentive Plan, Corporate Governance