olivLaw · US equity research
Zimmer Biomet Holdings, Inc. ZBH
Orthopedic, Prosthetic & Surgical Appliances & Supplies · SIC 3842 · Vertical: Orthopedic, Prosthetic & Surgical Appliances & Supplies (SIC 3842)
Zimmer Biomet is a global medical technology leader with orthopedic implants, sports medicine, biologics and robotic solutions. Net sales for fiscal 2025 were 8231.5 million USD, up 7.2 percent, and revised guidance for 2026 points to reported growth between 3.9 and 4.9 percent.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Zimmer Biomet Holdings, Inc. (ZBH) stock was 110.15 USD (+13.49% on the day), with market capitalisation 20.8 bn USD, P/E 27.9 on diluted EPS of 3.95 USD over the last 12 months, dividend yield 0.87%, beta 0.32, 52-week range 79.58–110.15 USD. Latest reported quarter (Q3 2026): revenue of 2.1 bn USD (+3.1% YoY), net income of 191.6 m USD (−17.0% YoY), diluted EPS 1.00 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 74.6
- overbought (≥ 70)
- Bollinger (20, 2)
- 87.01 – 104.30
- above the upper band · %B 1.34 · band width 18.1%
- SMA 50 / 200
- 94.89 / 91.84
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 2.11 / 1.08
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +20.3% | −1.1% | +21.4 pp | — |
| 3 months | +12.2% | −0.5% | +12.7 pp | — |
| 6 months | +33.0% | +4.4% | +28.6 pp | — |
| Year to date | +22.5% | +12.3% | +10.2 pp | — |
| 1 year | +6.8% | +13.5% | −6.8 pp | −2.5% |
| 3 years | +1.3% | +76.4% | −75.1 pp | −0.2% |
| 5 years | −19.9% | +63.7% | −83.6 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 2.0 bn | 1.9 bn | 2.1 bn | 2.0 bn | 2.2 bn | 2.1 bn | 2.2 bn | 2.1 bn |
| Cost of revenue | 586.7 m | 549.8 m | 592.2 m | 559.3 m | 792.4 m | 576.2 m | 635.5 m | 594.5 m |
| SG&A | 746.9 m | 758.8 m | 814.8 m | 811.4 m | 872.3 m | 849.9 m | 899.3 m | 855.0 m |
| Operating income | 389.0 m | 292.3 m | 300.0 m | 351.3 m | 154.5 m | 373.2 m | 326.1 m | 307.6 m |
| Depreciation & amortisation | 263.6 m | 254.4 m | 271.8 m | 283.6 m | 284.0 m | 270.0 m | 270.8 m | 282.0 m |
| Pre-tax income | 289.0 m | 229.0 m | 224.6 m | 279.2 m | 98.0 m | 301.3 m | 255.1 m | 230.1 m |
| Income tax | 48.9 m | 46.5 m | 71.2 m | 48.0 m | -39.9 m | 63.0 m | 55.5 m | 37.2 m |
| Net income | 239.5 m | 182.0 m | 152.8 m | 230.9 m | 139.3 m | 238.1 m | 198.3 m | 191.6 m |
| Diluted EPS | 1.20 ≈ | 0.91 | 0.77 | 1.16 | 0.70 ≈ | 1.22 | 1.03 | 1.00 |
| Operating cash flow | 506.3 m | 382.8 m | 378.2 m ≈ | 418.7 m ≈ | 517.4 m | 359.4 m | 447.8 m ≈ | 560.0 m ≈ |
| Capex | 51.5 m | 44.6 m | 50.1 m ≈ | 55.0 m ≈ | 74.8 m | 36.3 m | 54.2 m ≈ | 75.8 m ≈ |
| Dividends paid | 48.0 m | 47.8 m | 47.5 m ≈ | 47.5 m ≈ | 47.5 m | 46.9 m | 46.5 m ≈ | 45.8 m ≈ |
| Share repurchases | 72.2 m | 229.8 m | 7.2 m ≈ | 0 ≈ | 250.0 m | 250.1 m | 250.7 m ≈ | 78.5 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 42 percentile of its own 38-quarter history (min 12.8, median 35.8, max 724.3; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 7.9 bn | 8.0 bn | 6.1 bn | 6.8 bn | 6.9 bn | 7.4 bn | 7.7 bn | 8.2 bn |
| Revenue YoY | +1.7% | +0.6% | −23.2% | +11.4% | +1.6% | +6.5% | +3.8% | +7.2% |
| Net income | -379.2 m | 1.1 bn | -138.9 m | 401.6 m | 231.4 m | 1.0 bn | 903.8 m | 705.1 m |
| Net income YoY | −120.9% | unavailable | −112.3% | unavailable | −42.4% | +342.5% | −11.7% | −22.0% |
| Diluted EPS | -1.86 | 5.47 | -0.67 | 1.91 | 1.10 | 4.88 | 4.43 | 3.55 |
| Diluted EPS YoY | −120.9% | unavailable | −112.2% | unavailable | −42.4% | +343.6% | −9.2% | −19.9% |
| net % | -4.8% | 14.2% | -2.3% | 5.9% | 3.3% | 13.8% | 11.8% | 8.6% |
| Free cash flow | 1.6 bn | 1.4 bn | 1.1 bn | 1.4 bn | unavailable | 1.3 bn | 1.3 bn | 1.5 bn |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 591.9 m USD
- Financial debt
- 7.5 bn USD
- Net debt
- 6.9 bn USD
- Equity
- 12.7 bn USD
- Total assets
- 23.1 bn USD
- Debt / equity
- 0.59x
- Current ratio
- 1.98x
- ROE
- 5.6%
- ROA
- 3.2%
- FCF margin
- 17.9%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 6.1 bn | 6.8 bn | 6.9 bn | 7.4 bn | 7.7 bn | 8.2 bn | SEC (XBRL)· 20 Feb 2026verified |
| Cost of revenue | 1.8 bn | 2.0 bn | 2.0 bn | 2.1 bn | 2.2 bn | 2.5 bn | SEC (XBRL)· 20 Feb 2026verified |
| Gross profit | 4.3 bn ≈ | 4.9 bn ≈ | 4.9 bn ≈ | 5.3 bn ≈ | 5.5 bn ≈ | 5.7 bn ≈ | SEC (XBRL)· 20 Feb 2026derived |
| SG&A | 2.7 bn | 2.8 bn | 2.8 bn | 2.8 bn | 2.9 bn | 3.3 bn | SEC (XBRL)· 20 Feb 2026verified |
| Operating income | 83.1 m | 860.3 m | 696.3 m | 1.3 bn | 1.3 bn | 1.1 bn | SEC (XBRL)· 20 Feb 2026verified |
| Depreciation & amortisation | 898.4 m | 937.7 m | 926.4 m | 951.7 m | 996.3 m | 1.1 bn | SEC (XBRL)· 20 Feb 2026verified |
| EBITDA | 981.5 m ≈ | 1.8 bn ≈ | 1.6 bn ≈ | 2.2 bn ≈ | 2.3 bn ≈ | 2.2 bn ≈ | SEC (XBRL)· 20 Feb 2026derived |
| Pre-tax income | -105.2 m | 499.0 m | 403.5 m | 1.1 bn | 1.0 bn | 830.8 m | SEC (XBRL)· 20 Feb 2026verified |
| Income tax | -96.0 m | 53.5 m | 112.3 m | 42.2 m | 131.4 m | 125.7 m | SEC (XBRL)· 20 Feb 2026verified |
| Net income | -138.9 m | 401.6 m | 231.4 m | 1.0 bn | 903.8 m | 705.1 m | SEC (XBRL)· 20 Feb 2026verified |
| Diluted EPS | -0.67 | 1.91 | 1.10 | 4.88 | 4.43 | 3.55 | SEC (XBRL)· 20 Feb 2026verified |
| Weighted average diluted shares | 207.0 m | 210.4 m | 210.3 m | 209.7 m | 203.9 m | 198.7 m | SEC (XBRL)· 20 Feb 2026verified |
| Dividend per share | 0.96 | 0.96 | 0.96 | 0.96 | 0.96 | 0.96 | SEC (XBRL)· 20 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue; Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 802.1 m | 378.1 m | 375.7 m | 415.8 m | 525.5 m | 591.9 m | SEC (XBRL)· 20 Feb 2026verified |
| Receivables | 1.5 bn | 1.3 bn | 1.4 bn | 1.4 bn | 1.5 bn | 1.7 bn | SEC (XBRL)· 20 Feb 2026verified |
| Inventories | 2.5 bn | 2.1 bn | 2.1 bn | 2.4 bn | 2.2 bn | 2.3 bn | SEC (XBRL)· 20 Feb 2026verified |
| Current assets | 5.1 bn | 4.9 bn | 4.4 bn | 4.6 bn | 4.7 bn | 5.1 bn | SEC (XBRL)· 20 Feb 2026verified |
| Property, plant & equipment, net | 2.0 bn | 1.8 bn | 1.9 bn | 2.1 bn | 2.0 bn | 2.2 bn | SEC (XBRL)· 20 Feb 2026verified |
| Goodwill | 9.0 bn | 8.9 bn | 8.6 bn | 8.8 bn | 9.0 bn | 9.9 bn | SEC (XBRL)· 20 Feb 2026verified |
| Intangibles (excl. goodwill) | 7.1 bn | 5.5 bn | 5.1 bn | 4.9 bn | 4.6 bn | 4.7 bn | SEC (XBRL)· 20 Feb 2026verified |
| Total assets | 24.4 bn | 23.5 bn | 21.1 bn | 21.5 bn | 21.4 bn | 23.1 bn | SEC (XBRL)· 20 Feb 2026verified |
| Accounts payable | 330.0 m | 306.5 m | 354.1 m | 410.6 m | 194.6 m | 303.0 m | SEC (XBRL)· 20 Feb 2026verified |
| Short-term debt | 500.0 m | 1.6 bn | 544.3 m | 900.0 m | 863.0 m | 587.1 m | SEC (XBRL)· 20 Feb 2026verified |
| Long-term debt | 7.6 bn | 5.5 bn | 5.2 bn | 4.9 bn | 5.3 bn | 6.9 bn | SEC (XBRL)· 20 Feb 2026verified |
| Current liabilities | 2.6 bn | 3.5 bn | 2.4 bn | 2.9 bn | 2.5 bn | 2.6 bn | SEC (XBRL)· 20 Feb 2026verified |
| Total liabilities | 12.2 bn | 10.8 bn | 9.0 bn | 9.0 bn | 8.9 bn | 10.4 bn | SEC (XBRL)· 20 Feb 2026verified |
| Equity | 12.2 bn | 12.7 bn | 12.0 bn | 12.5 bn | 12.5 bn | 12.7 bn | SEC (XBRL)· 20 Feb 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 1.2 bn | 1.5 bn | — | 1.6 bn | 1.5 bn | 1.7 bn | SEC (XBRL)· 20 Feb 2026verified |
| Capex | 111.9 m | 143.6 m | 187.9 m | 291.1 m | 203.8 m | 224.5 m | SEC (XBRL)· 20 Feb 2026verified |
| Free cash flow | 1.1 bn ≈ | 1.4 bn ≈ | — | 1.3 bn ≈ | 1.3 bn ≈ | 1.5 bn ≈ | SEC (XBRL)· 20 Feb 2026derived |
| Investing cash flow | -613.8 m | -503.6 m | — | -778.9 m | -888.1 m | -2.0 bn | SEC (XBRL)· 20 Feb 2026verified |
| Financing cash flow | -421.8 m | -1.3 bn | — | -763.5 m | -484.5 m | 326.0 m | SEC (XBRL)· 20 Feb 2026verified |
| Dividends paid | 198.5 m | 200.1 m | 201.2 m | 200.9 m | 196.0 m | 190.3 m | SEC (XBRL)· 20 Feb 2026verified |
| Share repurchases | — | — | 126.4 m | 692.2 m | 868.0 m | 487.0 m | SEC (XBRL)· 20 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 70 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 20.8 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation83
- Returns82
- Quality68
- Balance sheet36
- Growth74
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 93.72 – 280.88 USD.
Methods computed but outside the aggregate range: Dividend discount (DDM) (a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate).
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · the reported interest expense is far older than the latest period (the filer changed its XBRL tag): a stale figure is not used
- Peers: EV/EBITDA151.22 – 280.88 (Mid 154.15)6 companies used · median multiple 16.0x · quartiles 15.7x – 26.6xCDRE, ENOV, EW, MSA, SMTI, STE
- Peers: P/E93.72 – 190.05 (Mid 126.27)8 companies used · median multiple 31.9x · quartiles 23.7x – 48.1xALGN, APT, CDRE, EW, ISRG, MSA, SNN, STE
- Dividend discount (DDM)outside the aggregate12.62 – 16.97 (Mid 14.47)a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 70/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 5.1% | 45 (vs peers) | 11% |
| Net margin · Quality | 9.0% | 73 (vs peers) | 7% |
| FCF conversion · Quality | 214.2% | 100 (on a fixed band) | 7% |
| Revenue CAGR 3Y · Growth | 5.9% | 49 (on a fixed band) | 9% |
| EPS CAGR 3Y · Growth | 47.8% | 100 (on a fixed band) | 9% |
| Net debt / EBITDA · Balance sheet | 3.1x | 29 (vs peers) | 11% |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.5x | 55 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 27.9x | 67 (vs peers) | 11% |
| EV/EBITDA · Valuation | 12.3x | 86 (vs peers) | 11% |
| FCF yield · Valuation | 7.9% | 99 (on a fixed band) | 9% |
| Shareholder yield (distributions) · Returns | 4.9% | 70 (on a fixed band) | 7% |
| Payout ratio (FCF) · Returns | 11.4% | 100 (on a fixed band) | 4% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet36/100 · 2/3 factors with a value
- Growth74/100 · 2/2 factors with a value
- Quality68/100 · 3/3 factors with a value
- Returns82/100 · 2/2 factors with a value
- Valuation83/100 · 3/3 factors with a value
Memo
ZIMMER BIOMET HOLDINGS, INC. (ZBH). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 8.2 bn USD in 2025; YoY growth 7.2%; net margin 9.0%; ROE 6.0%; net debt/EBITDA 3.1x.
The estimated value range is 122.47–235.46 USD per share (median of 2 methods, agreement: same basis (multiples on one peer group, not independent confirmations)); assumptions are illustrative. Against the central value of 140.21 USD, the price of 110.15 USD leaves a potential of 27.3% (value / price − 1) and a margin of safety of 21.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 70/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 9.0%
- FCF conversion: 214.2%
- EPS CAGR 3Y: 47.8%
- EV/EBITDA: 12.3x
- FCF yield: 7.9%
- Payout ratio (FCF): 11.4%
- The price is below the estimated value range
What contradicts it
- Net debt / EBITDA: 3.1x
Not assessed (insufficient data or a ratio without meaning): Interest coverage.
Versus the vertical median
Orthopedic, Prosthetic & Surgical Appliances & Supplies (SIC 3842) · same industry (4-digit SIC) · compared with 23 companies
The size band was not applied: too few companies would have remained; the vertical includes much smaller or larger companies.
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| ISRGIntuitive Surgical, Inc. | 167.1 bn | 58.3 | 18.0% | 25.5% | +20.5% | −16% / +55% |
| EWEdwards Lifesciences Corporation | 57.1 bn | 56.2 | 9.7% | 15.3% | +11.5% | +15% / +47% |
| SNNSmith & Nephew plc | 28.5 bn | 45.3 | 11.8% | 10.1% | +6.1% | −2% / +25% |
| STESTERIS plc | 24.2 bn | 30.0 | 11.4% | 13.3% | +8.7% | −7% / +23% |
| ZBHZimmer Biomet Holdings, Inc. | 20.8 bn | 27.9 | 6.0% | 9.0% | +7.2% | +7% / +1% |
| ALGNAlign Technology, Inc. | 11.6 bn | 24.0 | 11.9% | 11.8% | +0.9% | +12% / −23% |
| MSAMsa Safety Inc | 6.8 bn | 22.8 | 22.1% | 15.0% | +3.7% | +10% / +2% |
| ESTAEstablishment Labs Holdings Inc. | 2.0 bn | — | -175.3% | -15.8% | +27.1% | −3% / +161% |
| ENOVEnovis Corp | 1.4 bn | — | -54.3% | -48.0% | +6.7% | −19% / −51% |
| CDRECadre Holdings, Inc. | 1.3 bn | 33.8 | 11.6% | 5.6% | +7.5% | −28% / −4% |
| AVRAnteris Technologies Global Corp. | 596.4 m | — | -75.1% | -4,619.3% | −29.2% | +49% / unavailable |
| COCHEnvoy Medical, Inc. | 549.6 m | — | — | -11,304.8% | +7.1% | +749% / +216% |
| ZJYLJin Medical International Ltd. | 483.7 m | 309.0 | 4.1% | 5.8% | −12.0% | −39% / −87% |
| SMTISanara Medtech Inc. | 297.0 m | — | -147.7% | -29.2% | +19.0% | +55% / −0% |
| INGNInogen, Inc. | 191.6 m | — | -13.1% | -6.9% | +3.9% | +2% / +24% |
| LAKELakeland Industries, Inc. | 88.7 m | — | -19.6% | -14.0% | +15.2% | −41% / −39% |
| NTRBNutriband Inc. | 73.9 m | — | -100.7% | -430.4% | −4.8% | +23% / +140% |
| APTAlpha Pro Tech, Ltd. | 58.6 m | 14.1 | 6.6% | 6.8% | +2.3% | +25% / +17% |
| CLGNCollPlant Biotechnologies Ltd | 54.2 m | — | -117.6% | -484.6% | +360.4% | −81% / −92% |
| MYOMyomo, Inc. | 51.5 m | — | -123.8% | -33.5% | +25.7% | +46% / −58% |
| MLSSMilestone Scientific Inc. | 29.2 m | — | -121.7% | -44.0% | +4.0% | +6% / −61% |
| LFWDLifeward Ltd. | 17.2 m | — | -225.6% | -141.3% | −14.1% | −13% / −90% |
| CUPRCuprina Holdings (Cayman) Limited | 14.1 m | — | -1,115.0% | -9,366.7% | +9.2% | −64% / unavailable |
| BBLGBone Biologics Corporation | 1.2 m | — | -47.5% | — | 0.0% | −77% / −98% |
1- and 3-year price returns: for ZBH from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 67.67 Total return -38% · Per year -38% | 119.55 Total return 9% · Per year 9% | 179.97 Total return 65% · Per year 65% |
| 3 years | 67.47 Total return -37% · Per year -14% | 133.96 Total return 25% · Per year 8% | 221.16 Total return 105% · Per year 27% |
| 5 years | 67.28 Total return -35% · Per year -8% | 150.10 Total return 42% · Per year 7% | 271.78 Total return 154% · Per year 20% |
- Exit P/E± 33.49
- Net margin± 23.44
- Annual revenue growth± 19.00
- Annual dilution± 1.97
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 05 Aug 2026; since then the company filed 10-Q (04 Nov 2026), 8-K (04 Nov 2026 · results).
In brief
Zimmer Biomet is a global medical technology leader with orthopedic implants, sports medicine, biologics and robotic solutions. Net sales for fiscal 2025 were 8231.5 million USD 1, up 7.2 percent 1, and revised guidance for 2026 points to reported growth between 3.9 and 4.9 percent 3.
SWOT
Strengths
- A broad portfolio spanning knees, hips, sports medicine and digital technology, with a global presence across several regions.
- Research and development aimed at new product generations and robotic systems, with recent launches receiving regulatory clearance.
- A return to organic growth and sustained operating cash generation in recent quarters.
Weaknesses
- Dependence on consignment sales and a few large categories can amplify quarterly variations.
- Operating margin fell in 2025 because of inventory charges and acquisition integration costs.
- Problems implementing a new ERP system affected deliveries and sales in some markets in the prior year.
Opportunities
- Robotics, data and artificial intelligence could extend the use of the company's platforms across more procedure types.
- Acquisitions and expansion in specialized categories could open new market segments if integration succeeds.
- The share repurchase program could support per-share metrics if executed during fiscal 2026.
Threats
- Pricing pressure from hospitals and governments could limit long-term revenue growth.
- Medical regulation is becoming stricter and more complex, which may delay product approvals.
- Trade tariffs and strong competition from rivals with greater resources could weigh on margins.
Risks
- U.S. sales force transitionhigh
Moving from independent agents to employees could lead to loss of key personnel and coverage gaps if the process is not well managed.
- Restructuring and portfolio rationalizationmedium
Restructuring programs and discontinuing product lines could create extra costs, asset impairments and lost sales if the expected benefits do not materialize.
- Regulation and FDA enforcementhigh
Inspection observations and possible enforcement actions by regulators could restrict manufacturing and sale of products.
- Tariffs and inflationmedium
Tariffs and inflation could weigh on gross margin and profitability, especially if costs cannot be fully passed on to customers.
Investment thesis
What would need to be true (bull case)
- Sales growth in the first half of 2026, combined with raised guidance, suggests commercial momentum could remain solid if core markets stay healthy.
- Innovation in robotics and data platforms could support higher market share and less pricing pressure over time.
- The share repurchase program and lower restructuring costs could improve per-share results in fiscal 2026.
What would break the thesis
- Pricing pressure from health systems could limit growth, and organic growth has remained below total sales growth.
- The U.S. commercial transition and changes in some emerging markets could cause disruption and temporary sales reductions.
- Integration costs, higher debt and interest expense could reduce financial flexibility if demand slows.
What to watch
- Execution of the U.S. sales force transition and its impact on salesQ3 2026
- Updates to organic constant currency growth guidanceQ3 2026
- Gross margin trend after 2025 inventory charges and tariffsnext 10-K
- Progress of restructuring programs and expected savings2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 05 Aug 2026; since then the company filed 10-Q (04 Nov 2026), 8-K (04 Nov 2026 · results).
The business
The company designs, manufactures and markets reconstructive orthopedic products, sports medicine, biologics, extremities, trauma, CMFT, bone cement and surgical products, supported by digital and robotic technologies such as ROSA and the ZBEdge platform 1. Customers include orthopedic surgeons, neurosurgeons, hospitals and distributors, and about 85 percent of 2025 net sales were consignment sales 1. Operations are grouped into three regional segments: Americas, EMEA and Asia Pacific, with the United States as the main market 1.
In the first half of 2026 net sales rose 7.0 percent 2, and second-quarter 2026 results showed organic constant currency growth of 4.0 percent 3, suggesting commercial momentum that still relies partly on acquisitions and currency effects.
Market context
The musculoskeletal implant market is supported by an aging and active population, technological advances and clinical outcome data 1. Global selling prices had a minimal effect on 2025 sales 1, but in the first half of 2026 they weighed on sales by 0.7 percent 2.
Sales depend on health systems: in Europe government budgets influence spending, and Japan, the largest Asia Pacific market, relies on dealer networks and government-sponsored healthcare 1. The EU MDR and FDA requirements lengthen and raise the cost of product approvals 1.
Trends
- Aging population and active lifestylestailwind
Demand for joint replacement procedures is supported by an aging and active population, a factor the company explicitly cites 1.
- Robotics and surgical datatailwind
The ROSA robotic systems and the ZBEdge platform are extending across several categories, and the next-generation shoulder system received FDA clearance in 2026 3.
- Pricing pressureheadwind
Hospitals, health systems and government cost containment put pressure on prices, and price declines are named as a factor in the 2026 outlook 12.
- Tariffs and sales force transformationmixed
U.S. tariffs weighed on gross margin in 2025, and moving the U.S. sales force to employees may disrupt sales short term, though it could strengthen commercial control if executed well 1. Tariff refunds from 2025 have already been cited as a benefit 2.
Competitive position
Competitors may in some cases have greater financial, marketing and technical resources, respond faster to new technologies and attract customers, staff and partners more readily 1. Competition is mainly on technology, innovation, quality, reputation, customer service and pricing 1.
Some competitors have better capabilities for certain sites of care such as hospitals and ambulatory centers, and pharmaceutical therapies may in some cases be more attractive than the company's products 1.
- Stryker CorporationSYK
Named in the context of orthopedic market competition and the greater resources of some rivals, according to the official sources.
- Johnson & Johnson (DePuy Synthes)JNJ
Competitor in orthopedics and trauma, cited within the general competitive landscape in the company's sources.
- Smith & Nephew
International competitor in orthopedics and sports medicine; not directly listed in the U.S. in the sources analyzed.
- MedtronicMDT
Competitor in medical technology and robotic surgery, relevant to the company's robotic systems.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Is Zimmer Biomet Stock Underperforming the Nasdaq?Yahoo Finance — News · 16 Sept 2026 · EN
- Why Prayer Is Not Answered by Marion Zimmer BradleyLessWrong · 30 Jul 2026 · EN
- Weekend trending în București, 11-12 iulie: ultimele tramvaie Tatra ies la plimbare, Alternosfera cântă „Orașul 511”, Hans Zimmer la lumina lumânării, vocile femeilor iraniene și MoanaHotNews.ro · 11 Jul 2026 · RO
The latest news item in our archive is from 16 Sept 2026; the newest SEC filing is from 04 Nov 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Quarterly report04 Nov 2026
- Current report04 Nov 2026Results of operations · Financial statements and exhibits
- Current report08 Sept 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Current report05 Aug 2026Other events · Financial statements and exhibits
- Quarterly report05 Aug 2026
- Current report05 Aug 2026Results of operations · Financial statements and exhibits
- Current report29 Jun 2026Material agreement · Termination of a material agreement · Creation of a direct financial obligation · Financial statements and exhibits
- Current report27 May 2026Shareholder vote · Financial statements and exhibits
- Current report12 May 2026Regulation FD disclosure · Financial statements and exhibits
- Quarterly report01 May 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Zimmer Biomet Holdings, Inc. · 20 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Zimmer Biomet Holdings, Inc. · 05 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Zimmer Biomet Holdings, Inc. · 05 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.