Why Zimmer Biomet stock is back in focus

Zimmer Biomet Holdings (ZBH) is back on investors radar after fourth quarter and full year 2025 results topped revenue and profit expectations, supported by hip and knee demand and progress in robotic assisted surgical systems.

The recent results and fresh US$1.5b buyback authorization have coincided with a 7.5% 7 day share price return and 10.5% 30 day share price return. However, the 1 year total shareholder return of a 3.1% decline shows that longer term momentum is still catching up.

If Zimmer Biomet’s robotics and tech push has your attention, this could be a good moment to scan beyond large caps and check out 32 robotics and automation stocks as potential next research ideas.

With Zimmer Biomet trading at US$96.45 and an average analyst target of about US$102, plus an internal intrinsic value estimate implying a 44% discount, you have to ask: is there a genuine opportunity here, or is the market already pricing in future growth?

Most Popular Narrative: 6.3% Undervalued

Zimmer Biomet’s fair value from the most followed narrative sits at about $102.96 versus the $96.45 last close, which highlights a modest valuation gap.

The company's focused investment in digital health, robotics, and data-driven surgical solutions (including the ROSA and upcoming Monogram platforms) is increasing adoption of premium offerings, enabling margin expansion due to product mix and driving recurring revenues through connected care ecosystems, supporting higher net margins and earnings predictability.

Curious what is baked into that fair value? The narrative places emphasis on steadier margins, measured revenue growth, and a future earnings multiple that assumes disciplined execution. Want the full playbook behind those assumptions before you judge the 6.3% gap? Read on and test whether this story lines up with your expectations.

Result: Fair Value of $102.96 (UNDERVALUED)

However, this story can still get knocked off course if pricing pressure squeezes margins or if acquisitions like Paragon 28 and Monogram take longer to pay off.

Build Your Own Zimmer Biomet Holdings Narrative

If this narrative does not quite match your view, or you prefer to work through the numbers yourself, you can build a custom thesis in just a few minutes by starting with Do it your way.

A great starting point for your Zimmer Biomet Holdings research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.