# Ermenegildo Zegna N.V. (ZGN) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Consumer Cyclical / Apparel & Luxury Goods. Price $13.91, market value $3.7 billion.

## Valuation
- **P/E (trailing): 39.7×** (5-yr avg 31.1×, 3-yr avg 25.6×). Ermenegildo Zegna N.V. trades at 39.7× trailing earnings, well above its own five-year average of 31.1×: investors are paying up relative to the company's past. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 23.0×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.86**. A PEG of 0.86 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 1.7×**. Each dollar of revenue is priced at 1.7×.
- **Price / book: 3.2×**. The shares trade at 3.2× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 8.6×**. Enterprise value is 8.6× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 7.6%** (5-yr avg 8.1%). Free cash flow equals 7.6% of the market value, in line with its five-year average of 8.1%. Above 5% is generally attractive.
- **Earnings yield: 2.5%**. The inverse of the P/E: 2.5% of the price is earned each year.

## Profitability
- **Gross margin: 67.5%**. Ermenegildo Zegna N.V. keeps 67.5% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 7.3%**. 7.3% of revenue is left after running the business.
- **Net margin: 5.7%**. 5.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 10.0%**. 10.0% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 10.5%**. Return on all capital, debt included, is 10.5%.
- **Return on assets: 3.9%**. Each dollar of assets produces 3.9% of profit.

## Growth
- **Revenue growth (1 yr): -1.5%** (3-yr 8.7%/yr, 5-yr 13.6%/yr). Revenue fell 1.5% over the last year, against 13.6% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 26.7%** (3-yr 21.9%/yr). Earnings per share rose 26.7%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 37.9%/yr**. Free cash flow has compounded at 37.9% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.15**. Debt is 0.15 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. Ermenegildo Zegna N.V. holds more cash than debt.
- **Interest coverage: 2.8×**. Operating profit covers interest 2.8×, thin but manageable.
- **Current ratio: 1.59** (quick 1.59). Current assets cover the next year's liabilities 1.59 times.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 0.98%** ($0.14 per share, trailing). Ermenegildo Zegna N.V. yields 0.98%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 28%** (12% of free cash flow). 28% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 4**. 4 straight years of increases.

## Analyst view
- **Analyst consensus: buy** (14 analysts). 14 analysts cover Ermenegildo Zegna N.V.; the consensus is buy, with an average price target of $15.09 (+8% 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): 38.9%** (YTD 38.3%, 3-mo -8.0%). The shares are up 38.9% over twelve months including dividends.
- **From 52-week high: -12.8%** (60.8% above the low). Trading 13% 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): 66**. An RSI of 66 is neutral.
- **Beta (1 yr): 1.24** (volatility 41%). Beta of 1.24 against the S&P 500: the shares move roughly with the market.

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

Not investment advice.