Zimmer Biomet (NYSE:ZBH) Stock Rating Reaffirmed as "Buy" by Argus

Key Points

• Argus reaffirmed its “Buy” rating on Zimmer Biomet and set a $125 price target, implying approximately 27% upside from the prior close.
• Analyst sentiment is mixed overall: seven analysts rate the stock a Buy, 15 recommend Hold, and one recommends Sell, producing a consensus rating of “Hold” with a $104.47 target.
• Zimmer Biomet exceeded quarterly expectations, reporting $2.07 in adjusted earnings per share versus a $2.01 estimate and $2.18 billion in revenue, up 4.8% year over year.

Zimmer Biomet (NYSE:ZBH - Get Free Report)'s stock had its "buy" rating restated by Argus in a research report issued to clients and investors on Thursday, Benzinga reports. They presently have a $125.00 price objective on the medical equipment provider's stock. Argus's price objective would indicate a potential upside of 27.09% from the company's previous close.

ZBH has been the subject of several other reports. BMO Capital Markets reissued a "market perform" rating on shares of Zimmer Biomet in a report on Monday, September 28th. Barclays raised Zimmer Biomet to a "hold" rating in a report on Wednesday, October 7th. Royal Bank Of Canada lifted their price objective on Zimmer Biomet from $101.00 to $110.00 and gave the company an "outperform" rating in a report on Thursday, August 6th. Wall Street Zen cut Zimmer Biomet from a "buy" rating to a "hold" rating in a report on Saturday, August 8th. Finally, Stifel Nicolaus lifted their price objective on Zimmer Biomet from $105.00 to $110.00 and gave the company a "buy" rating in a report on Thursday, August 6th. Seven analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, Zimmer Biomet has a consensus rating of "Hold" and a consensus price target of $104.47.

Zimmer Biomet Stock Performance

NYSE:ZBH traded up $3.50 during mid-day trading on Thursday, hitting $98.36. 311,551 shares of the stock were exchanged, compared to its average volume of 2,222,771. The stock has a market capitalization of $18.76 billion, a price-to-earnings ratio of 23.91, a price-to-earnings-growth ratio of 1.81 and a beta of 0.49. The firm's 50-day simple moving average is $95.18 and its 200 day simple moving average is $91.41. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.94 and a current ratio of 1.69. Zimmer Biomet has a fifty-two week low of $79.12 and a fifty-two week high of $104.15.

Zimmer Biomet (NYSE:ZBH - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The medical equipment provider reported $2.07 earnings per share for the quarter, topping the consensus estimate of $2.01 by $0.06. The business had revenue of $2.18 billion during the quarter, compared to analysts' expectations of $2.13 billion. Zimmer Biomet had a return on equity of 13.12% and a net margin of 9.48%. The firm's revenue for the quarter was up 4.8% compared to the same quarter last year. During the same period last year, the firm posted $2.07 EPS. Zimmer Biomet has set its FY 2026 guidance at 8.470-8.590 EPS. As a group, equities analysts anticipate that Zimmer Biomet will post 8.54 EPS for the current fiscal year.

Insider Buying and Selling at Zimmer Biomet

In other news, insider Chad F. Phipps sold 3,000 shares of Zimmer Biomet stock in a transaction on Friday, September 4th. The stock was sold at an average price of $98.35, for a total value of $295,050.00. Following the transaction, the insider owned 65,231 shares in the company, valued at approximately $6,415,468.85. This trade represents a 4.40% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Kevin R. Thornal sold 5,691 shares of Zimmer Biomet stock in a transaction on Friday, September 11th. The shares were sold at an average price of $92.95, for a total value of $528,978.45. The disclosure for this sale is available in the SEC filing. Company insiders own 1.28% of the company's stock.

Institutional Investors Weigh In On Zimmer Biomet

Hedge funds and other institutional investors have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Zimmer Biomet during the 2nd quarter worth $1,344,282,000. State Street Corp grew its position in shares of Zimmer Biomet by 0.6% in the 2nd quarter. State Street Corp now owns 8,877,171 shares of the medical equipment provider's stock valued at $766,343,000 after buying an additional 52,044 shares during the last quarter. Primecap Management Co. CA bought a new stake in shares of Zimmer Biomet in the 2nd quarter valued at about $328,578,000. Dimensional Fund Advisors LP grew its position in shares of Zimmer Biomet by 1.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,224,163 shares of the medical equipment provider's stock valued at $201,082,000 after buying an additional 24,208 shares during the last quarter. Finally, Bank of America Corp DE bought a new stake in shares of Zimmer Biomet in the 2nd quarter valued at about $187,480,000. Institutional investors own 88.89% of the company's stock.

About Zimmer Biomet

Zimmer Biomet Holdings, Inc is a medical technology company that develops and manufactures products used in orthopedic surgery and musculoskeletal care. Its portfolio includes implants for the hip, knee, shoulder, and other joints, as well as products for sports medicine, extremity reconstruction, trauma, and spine procedures.

The company also offers surgical technologies and solutions designed to support orthopedic procedures, including robotic-assisted surgery systems, digital tools, patient-specific planning, and related instruments.