# Zimmer Biomet Holdings Inc. (ZBH) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Healthcare / Medical Devices & Supplies. Price $97.06, market value $18.5 billion.

## Valuation
- **P/E (trailing): 23.6×** (5-yr avg 49.5×, 3-yr avg 24.3×). Zimmer Biomet Holdings Inc. trades at 23.6× trailing earnings, well below its own five-year average of 49.5×: cheap by its own standards. The Healthcare median in the September 2026 study was 28.5×. Forward P/E is 10.7×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 2.2×**. Each dollar of revenue is priced at 2.2×.
- **Price / book: 1.5×**. The shares trade at 1.5× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 11.0×**. Enterprise value is 11.0× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 8.2%** (5-yr avg 5.9%). Free cash flow equals 8.2% of the market value, above its five-year average of 5.9%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 4.2%**. The inverse of the P/E: 4.2% of the price is earned each year.

## Profitability
- **Operating margin: 14.2%**. 14.2% of revenue is left after running the business.
- **Net margin: 8.6%**. 8.6% of each dollar of sales reaches the bottom line.
- **Return on equity: 5.6%**. 5.6% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 4.9%**. Return on all capital, debt included, is 4.9%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: 3.5%**. Each dollar of assets produces 3.5% of profit.

## Growth
- **Revenue growth (1 yr): 7.2%** (3-yr 5.9%/yr, 5-yr 6.1%/yr). Revenue grew 7.2% over the last year, against 6.1% a year compounded over five years.
- **EPS growth (1 yr): -19.9%** (3-yr 47.8%/yr). Earnings per share fell 19.9%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 8.0%/yr**. Free cash flow has compounded at 8.0% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.59**. Debt is 0.59 times equity, moderate leverage.
- **Net debt / EBITDA: 3.0×**. It would take 3.0 years of operating earnings to repay net borrowings, within the comfortable range.
- **Current ratio: 1.98** (quick 1.98). Current assets cover the next year's liabilities 1.98 times.
- **Altman Z-score: 2.48**. A Z-score of 2.48 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 0.99%** ($0.96 per share, trailing). Zimmer Biomet Holdings Inc. yields 0.99%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 27%** (12% of free cash flow). 27% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 14**. 14 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 0.6%/yr** (1-yr 0.0%). The dividend has grown 0.6% a year over five years.

## Analyst view
- **Analyst consensus: buy** (21 analysts). 21 analysts cover Zimmer Biomet Holdings Inc.; the consensus is buy, with an average price target of $106.90 (+10% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -2.4%** (YTD 8.8%, 3-mo 0.4%). The shares are down 2.4% over twelve months including dividends.
- **From 52-week high: -6.4%** (22.7% above the low). Trading 6% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 57**. An RSI of 57 is neutral.
- **Beta (1 yr): 0.19** (volatility 33%). Beta of 0.19 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=ZBH · Page: https://foliofundamentals.com/stocks/zbh

Not investment advice.