We expect Zoetis Inc. ZTS to surpass expectations when it reports second-quarter 2021 results on Aug 5, before market opens.The company’s earnings surprise history has been excellent so far, having surpassed expectations in each of the trailing four quarters, delivering an earnings surprise of 21.35%, on average. In the last-reported quarter, Zoetis delivered an earnings surprise of 21.15%.Shares of Zoetis have rallied 22.5% in the year so far against the industry’s decrease of 11.6%.Image Source: Zacks Investment ResearchLet's see how things are shaping up for this announcement.Factors to ConsiderZoetis derives a majority of its revenues from a diversified product portfolio of medicines and vaccines used to treat and protect livestock and companion animals. The company reports business results under two geographical operating segments — United States and International.Strong sales from the dermatology portfolio strengthened the United States segment in the last-reported quarter, a trend that most likely continued in the second quarter as well. The company’s companion animal business has also been performing well, primarily owing to higher sales of the SimparicaTrio – a triple combination parasiticide for dogs. Sales of cattle products increased year over year, a trend that most likely continued in the second quarter as well.In the last-reported quarter, sales of livestock products declined year over year – a trend that most likely continued in the second quarter as well. Sales of both swine and poultry products also declined in the last-reported quarter due to unfavorable market conditions, a trend expected to have continued in the to-be reported quarter.For the International segment, sales of companion animal products increased in the last-reported quarter. Sales also benefited as clinics expanded their operations following easing of COVID-19-related restrictions. The trend is expected to have continued in the second quarter as well. Growth in the company’s fish portfolio was primarily driven by increased vaccine sales in key salmon markets, a trend that most likely continued in the second quarter.Why a Likely Positive Surprise?Our proven model predicts an earnings beat for Zoetis this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.Earnings ESP: Zoetis has an Earnings ESP of +4.32% as the Zacks Consensus Estimate stands at $1.08 per share while the Most Accurate Estimate is pegged at $1.13 per share.Zacks Rank: Zoetis has a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks hereZoetis Inc. Price and EPS Surprise Zoetis Inc. price-eps-surprise | Zoetis Inc. QuoteOther Stocks to ConsiderHere are a few stocks you may want to consider as our model shows that these too have the right combination of elements to beat on earnings this reporting cycle:Sarepta Therapeutics, Inc. SRPT has an Earnings ESP of +25.10% and carries a Zacks Rank #2 at present. The company is scheduled to report earnings on Aug 4.Illumina, Inc. ILMN has an Earnings ESP of +2.36% and carries a Zacks Rank #2 at present. The company is scheduled to report earnings on Aug 5.Aptose Biosciences Inc. APTO has an Earnings ESP of +12.73% and carries a Zacks Rank #3, currently. The company is scheduled to report earnings on Aug 3. 5 Stocks Set to Double Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Illumina, Inc. (ILMN): Free Stock Analysis Report Sarepta Therapeutics, Inc. (SRPT): Free Stock Analysis Report Zoetis Inc. (ZTS): Free Stock Analysis Report Aptose Biosciences, Inc. (APTO): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research