Zimmer Biomet (NYSE:ZBH) Earns Buy Rating from Analysts at Rothschild & Co Redburn

Key Points

• Rothschild & Co Redburn has initiated coverage on Zimmer Biomet (NYSE:ZBH) with a "buy" rating and a target price of $130.00, indicating a potential upside of 30.21% from the current price.
• Other analysts maintain a mix of ratings for Zimmer Biomet, with ten analysts giving it a "buy," while the average target price stands at $112.06.
• Zimmer Biomet reported a 7% year-over-year revenue increase for its last quarter, posting earnings of $2.07 per share, beating consensus estimates of $1.98.

Rothschild & Co Redburn started coverage on shares of Zimmer Biomet (NYSE:ZBH - Get Free Report) in a report released on Thursday, MarketBeat reports. The brokerage set a "buy" rating and a $130.00 price target on the medical equipment provider's stock. Rothschild & Co Redburn's price objective indicates a potential upside of 29.96% from the company's previous close.

Other analysts have also recently issued reports about the company. UBS Group boosted their price objective on Zimmer Biomet from $91.00 to $96.00 and gave the company a "sell" rating in a research report on Friday, August 8th. Roth Capital reiterated a "buy" rating on shares of Zimmer Biomet in a research report on Thursday, August 7th. Raymond James Financial raised their price target on Zimmer Biomet from $104.00 to $113.00 and gave the company an "outperform" rating in a report on Friday, August 8th. Evercore ISI reduced their target price on Zimmer Biomet from $102.00 to $96.00 and set an "in-line" rating on the stock in a report on Tuesday, July 8th. Finally, Royal Bank Of Canada raised their price target on Zimmer Biomet from $112.00 to $115.00 and gave the stock an "outperform" rating in a research report on Friday, August 8th. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, seven have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $113.16.

Zimmer Biomet Stock Performance

Zimmer Biomet stock traded down $0.18 during mid-day trading on Thursday, reaching $100.03. The company's stock had a trading volume of 4,228,497 shares, compared to its average volume of 1,180,396. The firm has a market cap of $19.82 billion, a price-to-earnings ratio of 24.34, a PEG ratio of 2.30 and a beta of 0.68. The business has a 50 day moving average price of $100.06 and a 200-day moving average price of $99.39. The company has a current ratio of 1.87, a quick ratio of 0.96 and a debt-to-equity ratio of 0.54. Zimmer Biomet has a twelve month low of $89.22 and a twelve month high of $114.72.

Zimmer Biomet (NYSE:ZBH - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The medical equipment provider reported $2.07 earnings per share for the quarter, beating analysts' consensus estimates of $1.98 by $0.09. The business had revenue of $2.08 billion for the quarter, compared to analysts' expectations of $2.06 billion. Zimmer Biomet had a net margin of 10.51% and a return on equity of 12.76%. The company's revenue was up 7.0% on a year-over-year basis. During the same period in the previous year, the business earned $2.01 earnings per share. Zimmer Biomet has set its FY 2025 guidance at 8.100-8.300 EPS. Sell-side analysts predict that Zimmer Biomet will post 8.22 EPS for the current fiscal year.

Insiders Place Their Bets

In other Zimmer Biomet news, SVP Lori Winkler sold 1,500 shares of Zimmer Biomet stock in a transaction that occurred on Monday, September 8th. The stock was sold at an average price of $104.15, for a total transaction of $156,225.00. Following the sale, the senior vice president directly owned 6,833 shares of the company's stock, valued at approximately $711,656.95. The trade was a 18.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 1.39% of the company's stock.

Hedge Funds Weigh In On Zimmer Biomet

A number of hedge funds have recently added to or reduced their stakes in the company. Ameriprise Financial Inc. raised its stake in Zimmer Biomet by 236.0% during the 1st quarter. Ameriprise Financial Inc. now owns 4,568,287 shares of the medical equipment provider's stock valued at $517,039,000 after buying an additional 3,208,596 shares during the last quarter. Dodge & Cox lifted its holdings in shares of Zimmer Biomet by 12.9% in the 2nd quarter. Dodge & Cox now owns 22,097,463 shares of the medical equipment provider's stock valued at $2,015,510,000 after acquiring an additional 2,533,009 shares during the last quarter. Norges Bank purchased a new stake in Zimmer Biomet in the 2nd quarter worth about $225,867,000. JPMorgan Chase & Co. increased its position in shares of Zimmer Biomet by 251.3% during the first quarter. JPMorgan Chase & Co. now owns 2,081,381 shares of the medical equipment provider's stock worth $235,571,000 after acquiring an additional 1,488,918 shares during the period. Finally, Nuveen LLC purchased a new position in shares of Zimmer Biomet during the first quarter worth approximately $155,891,000. 88.89% of the stock is currently owned by hedge funds and other institutional investors.

About Zimmer Biomet

Zimmer Biomet Holdings, Inc, together with its subsidiaries, operates as a medical technology company worldwide. The company designs, manufactures, and markets orthopedic reconstructive products, such as knee and hip products; S.E.T. products, including sports medicine, biologics, foot and ankle, extremities, and trauma products; craniomaxillofacial and thoracic products comprising face and skull reconstruction products, as well as products that fixate and stabilize the bones of the chest to facilitate healing or reconstruction after open heart surgery, trauma, or for deformities of the chest.