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ZBH

S&P 500
Neutral · 50/100

Zimmer Biomet

Health Care
Health Care Equipment

$87.09

1.0%

Updated Today 7:15 PM ET

Price — Past Year

▼ Down 2.8% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$17.28B

P/E

22.37x

Forward P/E (est.)

26.21x

ROE

6.0%

Revenue Growth

9.2%

EPS Growth

-14.6%

Profit Margin

9.1%

FCF Yield

7.5%

Debt / Equity

0.59x

ROIC

6.0%

Interest Coverage

Current Ratio

1.73x

Dividend Yield

1.0%

Implied Growth (rev. DCF)

0.4%

Rating Score

50/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what ZBH's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. ZBH trades near $87.09, below its 50-day average ($87.15) and 200-day average ($92.60). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 64 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. ZBH's is $2.23 (~2.6% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month ZBH found buyers near $81.58 (support) and sellers near $90.50 (resistance); its 52-week range is $79.12–$108.29. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 0.9× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Zimmer Biomet (ZBH) is a large-cap company in the Health Care Equipment industry, part of the Health Care sector of the S&P 500, with a market value around $17.28B.

In its latest reported year it generated about $8.23B in revenue and $705.10M in net profit.

Our model rates ZBH Neutral (50/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

4.8%

Revenue moved from $6.83B in 2021 to $8.23B in 2025, a 4.8% compound annual growth rate. The most recent year grew a steady 9.2% year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

70.0%

Operating Margin

13.3%

Net Margin

8.6%

ROE

6.0%

Zimmer Biomet keeps about 9.1% of each sales dollar as net profit, with a 70.0% gross margin and 13.3% operating margin. Return on equity is 6.0% and return on invested capital about 6.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research

Total Debt

$1.00B

Net Debt

$575.80M

Net Debt / EBITDA

0.52x

Debt / Equity

0.59x

Leverage: debt-to-equity is 0.6x, with a current ratio of 1.7x. That is a moderate, manageable debt load for most businesses. It carries roughly $1.00B of total debt against $424.20M of cash.

Cash Flow Analysis
Research

Operating CF

$1.70B

Free Cash Flow

$1.47B

FCF Margin

17.9%

In the latest year Zimmer Biomet produced about $1.70B of operating cash flow and $1.47B of free cash flow after capital spending. That is a free-cash-flow yield of about 7.5% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

22.37x

P/S

2.1x

P/B

1.38x

EV / EBITDA

7.53x

ZBH trades at 22.4x trailing earnings (about 26.2x on estimated forward earnings), 2.1x sales, and 1.4x book value. Reverse-engineering today's price implies the market expects roughly 0.4% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
22.4xFair
Forward P/E
26.2xExpensive
P/S ratio
2.1xFair
Revenue growth
9.2%Strong
EPS growth
-14.6%Weak
Gross margin
70.0%Strong
Net margin
9.1%Average
ROE
6.0%Weak

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How ZBH stacks up against its Health Care peers — valuation, profitability, and growth versus the sector median.

In the Health Care sector (59 S&P 500 companies), ZBH ranks #35 of 59 by our overall rating. It trades at roughly in line versus the sector on earnings (22.4x P/E vs. 25.4x median) with a lower return on equity (6.0% vs. 14.9%) and faster revenue growth (9.2% vs. 7.9%).

P/E vs sector

22.4x

median 25.4x

ROE vs sector

6.0%

median 14.9%

Growth vs sector

9.2%

median 7.9%

Sector rank

#35

of 59 by rating

CompanyP/ERev Gr.Rating
ZBHThis stock22.4x9.2%Neutral· 50
STE25.3x8.7%Favorable· 59
RVTY46.8x4.8%Weak· 33
RMD18x10.3%Strong· 75
DXCM30.3x16.1%Favorable· 70
GEHC15x6.0%Neutral· 51
BAX-4.8%Weak· 18
PODD33.3x31.9%Neutral· 52
Health Care median25.4x7.9%52/100

Valuation vs. quality map

sector medianSTERVTYRMDDXCMGEHCPODDZBHP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Health Care companies by sub-industry and size. Sector median is across all 59 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$76.60$129.62

vs. $87.09 today · expected CAGR -3%8%

Metric20262027202820292030
Revenue$8.97B$9.78B$10.66B$11.62B$12.67B
Net income$807.51M$880.19M$959.40M$1.05B$1.14B
EPS$4.17$4.55$4.96$5.41$5.89
Share price (low)$54.26$59.15$64.47$70.27$76.60
Share price (high)$91.83$100.09$109.10$118.92$129.62
CAGR (low–high)-38% / 5%-18% / 7%-10% / 8%-5% / 8%-3% / 8%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for ZBH:

  • Healthy free-cash-flow yield (~7.5%) funds buybacks and dividends.
  • As an established S&P 500 member in Health Care, it brings scale and a long operating history.
Bear Case

The case against ZBH:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: Zimmer Biomet is a large-cap health care business growing at a mature pace, with modest profitability, and a sound balance sheet. It trades at 22.4x earnings, which our model scores Neutral (50/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.