Zimmer Biomet Holdings, Inc. (ZBH)

Over the past six months, Zimmer Biomet's stock has underperformed the S&P 500 Index by -18.11%. As of June 20, 2025, the share price was $91.22, a 15.90% decline from June 24, 2024. The stock has also seen a year-to-date decline of 14.34% as of May 6, 2025. Key events include disappointing Q1 2025 results due to acquisition costs and tariff uncertainty, Q4 2024 net sales of $2.023 billion, Q2 2024 net sales of $1.942 billion, the acquisition of Paragon 28, and macroeconomic challenges.

The surgical equipment and consumables industry experiences consistent demand due to ongoing medical needs, recurring revenue from consumables, and long-term contracts. Zimmer Biomet's first quarter is historically lower due to payments related to prior year rebates and employee bonuses, and the company expects seasonality to return to pre-COVID patterns.

Zimmer Biomet Holdings, Inc. is a global medical technology company focused on musculoskeletal healthcare. It designs, manufactures, and markets orthopedic and dental reconstruction implants, spinal implants, and traumatology products. Its offerings include orthopedic reconstructive products, sports medicine, biologics, extremities and trauma products, CMFT products, dental implants, and related surgical products. The company also provides digital and robotic technologies like the ROSA Knee System. In 2022, Zimmer Biomet spun out its dental and spine businesses.

Zimmer Biomet has a global presence, operating in over 40 countries with distribution to over 100. As of 2023, it had approximately 25 production sites worldwide. In 2023, the Americas accounted for 62.5% of net sales, EMEA for 28.9%, and Asia Pacific for 8.6%. In 2024, international sales represented approximately 41.6% of total net sales. The company is strengthening its presence in international markets, with strong revenue growth in Asia Pacific.

Zimmer Biomet is known for its established orthopedic portfolio and strong brand, giving it pricing power and stable cash flow. The company has faced past issues with integration, supply, inventory, and quality. Sustainalytics recently assigned Zimmer Biomet a "Moderate" controversy level, citing incidents in "Business Ethics" and "Customer" categories.

Zimmer Biomet has a diverse ownership structure, with institutional investors holding approximately 87.43% to 89.55% of the stock, while individuals hold around 0.14% to 10.32%. Major institutional owners include Vanguard Group Inc, Dodge & Cox, and BlackRock, Inc.