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Zimmer Biomet ZBH

United States Healthcare
6.4/10
AI Analyst score
91.04 USD
Last price at analysis date · analyst target 107.57 (+18.2%)
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🟡 HOLD — Hold, with a positive bias. Valuation is attractive and the cost reduction plan could boost margins, but business quality is average and regulatory risk is a factor to watch.

Zimmer Biomet is a medical device company that designs, manufactures, and sells orthopedic implants, reconstructive surgery products, and healthcare technologies, primarily to hospitals and surgeons. Zimmer Biomet presents solid financial health (score 6.25) and an attractive valuation (score 7.2) with a forward P/E of 10.04 and a PEG of 0.57, suggesting the market does not fully discount its growth potential. Earnings growth of 33.8% is robust, although quality (ROE 6.41%) and operating margin (17.96%) are moderate.

Financial health
6.2
Quality / Moat
5.3
Valuation
7.2
Growth
7.0
Dividend
5.0
Momentum
5.5
Risk & Context
8.0

Detailed metrics

Market and fundamental data as of the analysis date.

💵 Valuation
P/E22.10
Fwd P/E10.04
EV/EBITDA9.71
P/B1.37
P/S2.04
PEG0.57
Market cap17.36 B USD
Enterprise value24.51 B USD
🏰 Quality and moat
ROIC (approx.)7.5%
Gross margin69.52%
FCF conversion42%
Operating margin17.96%
📈 Profitability and margins
ROE6.41%
ROA3.88%
Net margin9.48%
FCF1.07 B USD
FCF yield6.17%
🏦 Solvency and liquidity
Total debt7.60 B USD
Net debt7.14 B USD
Cash464.5 M USD
EBITDA2.52 B USD
Net debt / EBITDA2.83
D/E60.17
Current ratio1.69
Quick ratio0.74
🚀 Growth
Revenue growth4.80%
Earnings growth33.80%
EPS (TTM)4.12 USD
EPS (Fwd)9.07 USD
💰 Dividend and risk
Dividend yield1.05%
Payout23.3%
Beta0.47
Analyst consensusBuy (21)
Target price107.57 USD
52-week range79.12 USD – 106.88 USD
⚠️ Main risk: The main risk is regulatory and pricing pressure in the U.S. medical device sector, which could impact margins and the launch of new products.
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Full AI report

Generated automatically from the metrics, the macro context and the company's news.

Zimmer Biomet is a medical device company that designs, manufactures, and sells orthopedic implants, reconstructive surgery products, and healthcare technologies, primarily to hospitals and surgeons. Zimmer Biomet presents solid financial health (score 6.25) and an attractive valuation (score 7.2) with a forward P/E of 10.04 and a PEG of 0.57, suggesting the market does not fully discount its growth potential. Earnings growth of 33.8% is robust, although quality (ROE 6.41%) and operating margin (17.96%) are moderate.

Score by category

CategoryScore
Financial health6.2
Quality / Moat5.3
Valuation7.2
Growth7.0
Dividend5.0
Momentum5.5
Risk & Context8.0

OVERALL SCORE: 6.4/10

Context and risks

Moderate regulatory risk in the U.S. for medical devices (pricing pressure, FDA oversight). The medical technology sector is under active regulatory review, which could affect product launches and pricing.

News considered in the analysis

  • Zimmer Biomet (ZBH): Buy, Sell, or Hold Post Q2 Earnings? — Análisis genérico post-resultados sin información nueva.
  • Zimmer Biomet Holdings (ZBH) Pushes Cost Reset Plans, Is It Still 17% Below Fair Value? — El plan de reducción de costes es un factor positivo moderado para márgenes futuros, aunque su ejecución aún no está garantizada.
  • Can This Number Push ISRG Stock Higher? — Noticia sobre un competidor (Intuitive Surgical), no sobre ZBH.
  • Surgery Partners, 10x Genomics, QuidelOrtho, Zimmer Biomet, and Tandem Diabetes Stocks Trade Down, What You Need To Know — Titular de movimiento de precios sin información fundamental nueva.
  • 3 Mid-Cap Stocks with Open Questions — Listículo genérico sin análisis específico accionable.

Verdict: Hold, with a positive bias. Valuation is attractive and the cost reduction plan could boost margins, but business quality is average and regulatory risk is a factor to watch.

Main risk: The main risk is regulatory and pricing pressure in the U.S. medical device sector, which could impact margins and the launch of new products.

Other Healthcare companies

Neighbours in the sector ranking, to compare without going back to the index.

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Automatically generated analysis from fundamental, market and news data. Not personalised financial advice — a research tool, not an individual recommendation. Past performance does not guarantee future results. Last update of this analysis: 2026-09-28. Legal notice, privacy & cookies.