Zimmer Biomet Holdings Stock Buy Hold or Sell Recommendation

ZBH Stock  USD 131.98  0.63  0.48%   
Considering the 90-day investment horizon and your slightly conservative level of risk, our recommendation regarding Zimmer Biomet Holdings is 'Hold'. Macroaxis provides Zimmer Biomet buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding ZBH positions. The advice algorithm takes into account all of Zimmer Biomet's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Zimmer Biomet's buy or sell advice are summarized below:
Real Value
110.86
Target Price
143.78
Hype Value
131.98
Market Value
131.98
Naive Value
133.1
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Zimmer Biomet Holdings given historical horizon and risk tolerance towards Zimmer Biomet. When Macroaxis issues a 'buy' or 'sell' recommendation for Zimmer Biomet Holdings, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Zimmer Biomet Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Zimmer and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Zimmer Biomet Holdings. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in bureau of labor statistics.

Execute Zimmer Biomet Buy or Sell Advice

The Zimmer recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Zimmer Biomet Holdings. Macroaxis does not own or have any residual interests in Zimmer Biomet Holdings or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Zimmer Biomet's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Zimmer BiometBuy Zimmer Biomet
Hold

Market Performance

OKDetails

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

OvervaluedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Follows the market closelyDetails

Investor Sentiment

InterestedDetails

Analyst Consensus

BuyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Zimmer Biomet Holdings has a Risk Adjusted Performance of 0.0753, Jensen Alpha of 0.0367, Total Risk Alpha of (0.13), Sortino Ratio of 0.0152 and Treynor Ratio of 0.1692
Macroaxis provides trade recommendation on Zimmer Biomet to complement and cross-verify current analyst consensus on Zimmer Biomet Holdings. Our trade advice engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Zimmer Biomet Holdings is not overpriced, please check out all Zimmer Biomet Holdings fundamentals, including its cash flow from operations, working capital, and the relationship between the cash per share and number of employees . Given that Zimmer Biomet Holdings has a price to book of 2.18 X, we strongly advise you to confirm Zimmer Biomet Holdings market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevalent risk tolerance and investing horizon.

Zimmer Biomet Trading Alerts and Improvement Suggestions

Over 91.0% of the company outstanding shares are owned by institutional investors
On 31st of January 2024 Zimmer Biomet paid $ 0.24 per share dividend to its current shareholders
Latest headline from zacks.com: Heres Why You Should Buy Zimmer Biomet Stock Now

Zimmer Biomet Returns Distribution Density

The distribution of Zimmer Biomet's historical returns is an attempt to chart the uncertainty of Zimmer Biomet's future price movements. The chart of the probability distribution of Zimmer Biomet daily returns describes the distribution of returns around its average expected value. We use Zimmer Biomet Holdings price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Zimmer Biomet returns is essential to provide solid investment advice for Zimmer Biomet.
Mean Return
0.15
Value At Risk
-1.77
Potential Upside
2.48
Standard Deviation
1.19
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Zimmer Biomet historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Zimmer Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Zimmer Biomet is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Zimmer Biomet Holdings backward and forwards among themselves. Zimmer Biomet's institutional investor refers to the entity that pools money to purchase Zimmer Biomet's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Victory Capital Management Inc.2023-12-31
3.2 M
Van Eck Associates Corporation2023-12-31
2.8 M
Morgan Stanley - Brokerage Accounts2023-12-31
2.8 M
Allspring Global Investments Holdings, Llc2023-12-31
2.8 M
Boston Partners Global Investors, Inc2023-12-31
2.6 M
Northern Trust Corp2023-12-31
2.5 M
Norges Bank2023-12-31
2.2 M
Neuberger Berman Group Llc2023-12-31
2.2 M
Legal & General Group Plc2023-12-31
2.1 M
Vanguard Group Inc2023-12-31
23.9 M
Blackrock Inc2023-12-31
18.7 M
Note, although Zimmer Biomet's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Zimmer Biomet Cash Flow Accounts

201920202021202220232024 (projected)
Free Cash Flow1.2B1.1B1.3B1.1B892.4M899.3M
Depreciation1.0B1.0B937.7M926.4M951.7M514.0M
Capital Expenditures404.7M117.9M152M187.9M689.2M723.7M
Net Income1.1B(137.4M)445.5M291.2M1.0B585.0M
End Period Cash Flow617.9M802.1M478.5M375.7M415.8M596.1M
Other Non Cash Items608.8M633M276.3M337.9M(1.4M)(1.3M)
Change To Inventory(125.2M)(40.8M)(8.4M)(75.6M)(240.4M)(228.4M)
Change In Cash75.1M184.2M(323.6M)(102.8M)40.1M42.1M
Change To Netincome(384.3M)736.7M267.2M378.5M435.3M457.0M
Dividends Paid196.7M198.5M200.1M201.2M(200.9M)(190.9M)
Investments48.1M53.5M(503.6M)(529.2M)(670.6M)(637.1M)
Change Receivables(93.8M)(70M)(15.1M)(184.7M)(166.2M)(157.9M)
Net Borrowings(716.1M)(275.2M)(1.1B)(1.1B)(956.1M)(908.3M)

Zimmer Biomet Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Zimmer Biomet or Health Care Equipment & Supplies sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Zimmer Biomet's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Zimmer stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
0.04
β
Beta against NYSE Composite0.83
σ
Overall volatility
1.23
Ir
Information ratio 0.01

Zimmer Biomet Volatility Alert

Zimmer Biomet Holdings has low volatility with Treynor Ratio of 0.17, Maximum Drawdown of 6.17 and kurtosis of 1.87. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Zimmer Biomet's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Zimmer Biomet's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Zimmer Biomet Fundamentals Vs Peers

Comparing Zimmer Biomet's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Zimmer Biomet's direct or indirect competition across all of the common fundamentals between Zimmer Biomet and the related equities. This way, we can detect undervalued stocks with similar characteristics as Zimmer Biomet or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Zimmer Biomet's fundamental indicators could also be used in its relative valuation, which is a method of valuing Zimmer Biomet by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Zimmer Biomet to competition
FundamentalsZimmer BiometPeer Average
Return On Equity0.0836-0.31
Return On Asset0.044-0.14
Profit Margin0.14 %(1.27) %
Operating Margin0.24 %(5.51) %
Current Valuation32.69 B16.62 B
Shares Outstanding205.08 M571.82 M
Shares Owned By Insiders0.12 %10.09 %
Shares Owned By Institutions91.10 %39.21 %
Number Of Shares Shorted4.59 M4.71 M
Price To Earning77.41 X28.72 X
Price To Book2.18 X9.51 X
Price To Sales3.66 X11.42 X
Revenue7.39 B9.43 B
Gross Profit4.92 B27.38 B
EBITDA2.34 B3.9 B
Net Income1.02 B570.98 M
Cash And Equivalents375.7 M2.7 B
Cash Per Share2.71 X5.01 X
Total Debt6 B5.32 B
Debt To Equity0.48 %48.70 %
Current Ratio1.98 X2.16 X
Book Value Per Share60.70 X1.93 K
Cash Flow From Operations1.58 B971.22 M
Short Ratio3.30 X4.00 X
Earnings Per Share4.88 X3.12 X
Price To Earnings To Growth2.56 X4.89 X
Target Price136.61
Number Of Employees18 K18.84 K
Beta1.01-0.15
Market Capitalization27.07 B19.03 B
Total Asset21.5 B29.47 B
Retained Earnings10.38 B9.33 B
Working Capital1.75 B1.48 B
Note: Disposition of tradable shares by Lori Winkler of Zimmer Biomet at 124.28 subject to Rule 16b-3 [view details]

Zimmer Biomet Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Zimmer . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Zimmer Biomet Buy or Sell Advice

When is the right time to buy or sell Zimmer Biomet Holdings? Buying financial instruments such as Zimmer Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Other Current Liabilities511M985M1.3B941.7M
Total Assets23.5B21.1B21.5B13.7B

Use Investing Ideas to Build Portfolios

In addition to having Zimmer Biomet in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Run Management Thematic Idea Now

Management
Management Theme
Companies providing management services to businesses. The Management theme has 47 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Management Theme or any other thematic opportunities.
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When determining whether Zimmer Biomet Holdings offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Zimmer Biomet's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Zimmer Biomet Holdings Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Zimmer Biomet Holdings Stock:
Check out Zimmer Biomet Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note that the Zimmer Biomet Holdings information on this page should be used as a complementary analysis to other Zimmer Biomet's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.

Complementary Tools for Zimmer Stock analysis

When running Zimmer Biomet's price analysis, check to measure Zimmer Biomet's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Zimmer Biomet is operating at the current time. Most of Zimmer Biomet's value examination focuses on studying past and present price action to predict the probability of Zimmer Biomet's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Zimmer Biomet's price. Additionally, you may evaluate how the addition of Zimmer Biomet to your portfolios can decrease your overall portfolio volatility.
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Is Zimmer Biomet's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Zimmer Biomet. If investors know Zimmer will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Zimmer Biomet listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.16)
Dividend Share
0.96
Earnings Share
4.88
Revenue Per Share
35.43
Quarterly Revenue Growth
0.063
The market value of Zimmer Biomet Holdings is measured differently than its book value, which is the value of Zimmer that is recorded on the company's balance sheet. Investors also form their own opinion of Zimmer Biomet's value that differs from its market value or its book value, called intrinsic value, which is Zimmer Biomet's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Zimmer Biomet's market value can be influenced by many factors that don't directly affect Zimmer Biomet's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Zimmer Biomet's value and its price as these two are different measures arrived at by different means. Investors typically determine if Zimmer Biomet is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Zimmer Biomet's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.