Insight ZBH High Conviction Pick Capital Allocation Review
NYQ Β· Healthcare Β· Medical Devices
$96.54
+3.05 (+3.26%)
ZBH Interactive Price Chart & Trading Signals
ZBH Stock Snapshot β Valuation, Risk & Technical Signals
ZBH Key Fundamentals, Analyst Targets & Company Profile
Key Financial Ratios
Market Cap
$18.41B
P/E Ratio
23.43
Forward P/E
10.65
PEG Ratio
0.59
P/B Ratio
1.46
EPS
$4.12
Dividend Yield
0.99%
52W Range
$79.12 β $106.88
Beta
0.47
Volume
2.0M
ROE
6.4%
Profit Margin
9.5%
Revenue Growth
4.8%
Gross Margin
69.5%
EV/EBITDA
10.12
Analyst Target
$107.57
The trailing price-to-earnings ratio stands at 23.4x. Forward P/E of 10.6x implies earnings expansion expected. Price-to-book is 1.46x. EV/EBITDA sits at 10.12x. Market capitalization is $18.41B. Revenue is growing at 4.8% on a trailing basis. Earnings are expanding at 33.8%. Profit margins are 9.5%. Return on equity is 6.4%. Beta of 0.47 indicates defensive profile.
Analyst Consensus
Recommendation
Buy
Low Target
$93.00
Mean Target
$107.57
High Target
$130.00
Based on 21 analysts
About ZBH
Zimmer Biomet Holdings, Inc., together with its subsidiaries, operates as a medical technology company worldwide. The company designs, manufactures, and markets orthopedic reconstructive products, such as knee and hip products; S.E.T. products, including sports medicine, biologics, foot and ankle, upper extremities, and trauma and CMFT products; sports medicine products for the repair of soft tissue injuries, used in the knee and shoulder; and craniomaxillofacial and thoracic products comprising face and skull reconstruction products, as well as products that fixate and stabilize the bones of the chest to facilitate healing or reconstruction after open-heart surgery, trauma, or for deformities of the chest. It offers technology and data, bone cement, and surgical products; and a suite of integrated digital and robotic technologies that leverage data, data analytics and artificial intelligence. The company's products and solutions are used to treat patients suffering from disorders of, or injuries to, bones, joints, or supporting soft tissues. It serves orthopedic surgeons, neurosurgeons, hospitals, healthcare institutions, stocking distributors, healthcare dealers, and other specialists, as well as agents, healthcare purchasing organizations, or buying groups. It also offers ROSA Robot, which utilizes robotic technologies to assist a surgeon with implant positioning in total knee arthroplasty or partial knee arthroplasty; and the ZBEdge Platform connects robotic and digital technologies together to collect data before, during and after surgery, that can deliver insights to surgeons to assist in making informed decisions on patient care. The company was formerly known as Zimmer Holdings, Inc. and changed its name to Zimmer Biomet Holdings, Inc. in June 2015. Zimmer Biomet Holdings, Inc. was founded in 1927 and is headquartered in Warsaw, Indiana.
ZBH Deep Dive Analysis
Bottom Line
Verdict
Fairly ValuedBest for
General investorWatch out for
None flaggedData confidence
HighZimmer Biomet Holdings, Inc. (ZBH) trades near our multi-model fair value estimate of $98.09 by approximately 1.6%. Trailing P/E: 23.4x. Profitability signals include profit margin of 9.5% and return on equity of 6.4%. Recent growth metrics show revenue growth of 4.8% and earnings growth of 33.8%. Risk profile: defensive beta of 0.47. Consensus: buy.
ZBH Deep Dive Analysis
Valuation
Fairly Valued
P/E 23.4x
Price is close to fair value estimate.
Growth
Stable
Rev 4.8%
Revenue is moving sideways.
Risk
Low
Beta 0.47
Movement is likely to track the broader market.
Valuation Snapshot
Zimmer Biomet Holdings, Inc. (ZBH) trades near our multi-model fair value estimate of $98.09 by approximately 1.6%. The trailing price-to-earnings ratio stands at 23.4x. Forward P/E of 10.6x suggests earnings compression ahead. Price-to-sales is 2.2x. Price-to-book is 1.5x. EV/EBITDA sits at 10.1x. Market capitalization is $18.41B.
Why it matters: A fairly valued stock means you are paying roughly what the business is worth today.
Growth & Profitability
Revenue is growing at 4.8% on a trailing basis. Earnings are expanding at 33.8%. Profit margins are 9.5%. Return on equity is 6.4%. Return on assets is 3.9%.
Why it matters: Stable revenue is fine, but watch for margin pressure that could limit profit growth.
Risk Profile
Beta of 0.47 indicates defensive profile. Net debt position is $7.14B.
Why it matters: Lower risk means steadier returns, but often with less upside in bull markets.
Analyst Context
Analyst consensus target of $107.57 implies 11.4% upside. Target range spans $93.00 to $130.00. 21 analysts cover the stock. Consensus recommendation: buy.
Why it matters: Analyst targets reflect what professionals expect over 12 months. A wide gap between price and target can mean the market disagrees with the consensus.
Investor Fit
Free cash flow yield of 7.7% is attractive for cash-flow-focused investors.
Takeaway: Match the stock's risk-reward profile with your own goals and time horizon. No single metric tells the whole story.
Data Methodology & Sources
Market Data (Facts)
- Price, volume, market cap: Yahoo Finance (delayed ~5 min)
- P/E, EPS, revenue, debt: Yahoo Finance fundamentals
- Analyst targets: Yahoo Finance consensus (may lag)
- Insider trades: SEC EDGAR Form 4 filings
QuantSoar Model (Derived)
- Fair Value: 7-model consensus (DCF, Graham, P/E, P/S, DDM, EV/EBITDA, Div Yield) β trimmed inverse-variance weighted
- Margin of Safety = (Fair Value β Live Price) / Live Price Γ 100
- Composite Score: 40% Value + 30% Momentum + 30% Risk
- Verdict Gauge: Base 50 + Valuation(Β±25) + Whale(Β±10) + Macro(Β±10) + Technical(Β±10). Analyst consensus shown separately.
Model outputs are estimates based on available data and are not investment advice. Cross-check with primary sources before making investment decisions.
ZBH Fairly Valued
Zimmer Biomet Holdings, Inc. (ZBH) trades near our multi-model fair value estimate of $98.09 by approximately 1.6%.
Frequently Asked Questions
ValuationIs ZBH stock overvalued right now?
ValuationWhat is ZBH fair value based on current fundamentals?
RiskHow risky is ZBH compared with other stocks?
GrowthIs ZBH still growing?
AnalystWhat do analysts think about ZBH?
DividendDoes ZBH pay a dividend?
CatalystWhat could change the investment case for ZBH?
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About the Author
Phasakorn Traklang (Peach) β Founder
Phasakorn Traklang (Peach) is the founder of QuantSoar, bringing expertise in SEO, web development, and technical analytics to build an AI-powered investment platform accessible to retail investors worldwide.
Connect on LinkedInInvestment Disclaimer: QuantSoar is for informational purposes only. We do not provide personalized investment advice. Always conduct your own research or consult a financial advisor. SEC
Data: Yahoo Finance / SEC EDGAR / Alpha Vantage / Finnhub. AI outputs verified against source data.