Zimmer Biomet Holdings, Inc.

BIT:1ZBH Stock Report

Market Cap: €16.0b

Zimmer Biomet Holdings Valuation

Is 1ZBH undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1ZBH when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€134.79
Fair Value
40.4% undervalued intrinsic discount
26
Number of Analysts

Below Fair Value: 1ZBH (€80.38) is trading below our estimate of fair value (€134.79)

Significantly Below Fair Value: 1ZBH is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1ZBH?

Key metric: As 1ZBH is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1ZBH. This is calculated by dividing 1ZBH's market cap by their current earnings.
What is 1ZBH's PE Ratio?
PE Ratio20.1x
EarningsUS$913.40m
Market CapUS$18.14b

Price to Earnings Ratio vs Peers

How does 1ZBH's PE Ratio compare to its peers?

The above table shows the PE ratio for 1ZBH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.4x
DIA DiaSorin
25x12.79%€4.9b
ELN EL.En
13.2x4.05%€826.1m
AMP Amplifon
30.3x14.25%€4.3b
SOON Sonova Holding
29.1x10.96%CHF 15.7b
1ZBH Zimmer Biomet Holdings
20.1x10.49%€18.1b

Price-To-Earnings vs Peers: 1ZBH is good value based on its Price-To-Earnings Ratio (20.1x) compared to the peer average (24.4x).

Price to Earnings Ratio vs Industry

How does 1ZBH's PE Ratio compare vs other companies in the European Medical Equipment Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
1ZBH 20.1xIndustry Avg. 31.5xNo. of Companies11PE020406080100+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1ZBH is good value based on its Price-To-Earnings Ratio (20.1x) compared to the European Medical Equipment industry average (31.5x).

Price to Earnings Ratio vs Fair Ratio

What is 1ZBH's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1ZBH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.1x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 1ZBH's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 1ZBH forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€80.38
€95.62
+18.96%
11.14%€131.26€80.11n/a26
May ’26€90.38
€107.44
+18.87%
10.32%€131.72€92.20n/a26
Apr ’26n/a
€112.74
0%
10.42%€138.57€97.00n/a26
Mar ’26n/a
€117.54
0%
10.49%€144.69€101.28n/a26
Feb ’26n/a
€119.94
0%
9.15%€144.15€100.91n/a26
Jan ’26n/a
€119.04
0%
8.03%€144.29€102.92n/a25
Dec ’25n/a
€118.52
0%
8.22%€142.32€101.52n/a26
Nov ’25n/a
€115.10
0%
8.27%€138.42€98.74n/a26
Oct ’25n/a
€113.86
0%
11.38%€158.10€96.66n/a26
Sep ’25n/a
€115.29
0%
10.97%€157.87€96.52n/a26
Aug ’25n/a
€122.00
0%
10.56%€160.53€102.74n/a26
Jul ’25n/a
€126.12
0%
9.02%€162.98€104.31n/a26
Jun ’25n/a
€125.70
0%
8.62%€161.32€103.24n/a25
May ’25n/a
€129.07
0%
8.35%€164.69€102.58€90.3825
Apr ’25n/a
€125.07
0%
8.50%€160.20€99.78n/a25
Mar ’25n/a
€125.93
0%
8.56%€161.49€100.59n/a25
Feb ’25n/a
€121.78
0%
10.01%€160.81€96.48n/a25
Jan ’25n/a
€119.72
0%
10.43%€159.06€89.98n/a25
Dec ’24n/a
€123.37
0%
11.65%€163.78€92.65n/a25
Nov ’24n/a
€136.92
0%
12.32%€165.32€94.47n/a25
Oct ’24n/a
€139.41
0%
8.23%€161.77€110.93n/a24
Sep ’24n/a
€139.41
0%
8.23%€161.77€110.93n/a24
Aug ’24n/a
€137.56
0%
9.13%€159.34€105.62n/a23
Jul ’24n/a
€140.41
0%
9.35%€163.12€108.12n/a23
Jun ’24n/a
€140.41
0%
9.35%€163.12€108.12n/a23
May ’24n/a
€124.04
0%
10.19%€158.81€95.29n/a23
AnalystConsensusTarget
Consensus Narrative from 26 Analysts
€94.24
Fair Value
14.7% undervalued intrinsic discount
26
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/05/23 12:12
End of Day Share Price 2025/05/23 00:00
Earnings2025/03/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Zimmer Biomet Holdings, Inc. is covered by 63 analysts. 27 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
David ToungArgus Research Company
Stephan GasteygerAtlantic Equities LLP
Jeffrey JohnsonBaird