Zimmer Biomet Intrinsic Value – ZIMMER BIOMET Reports 5.0% Increase in Q3 FY2023 Revenue of USD 1753.6 Million

☀️Earnings Overview

On September 30 2023, ZIMMER BIOMET ($NYSE:ZBH) revealed their fiscal Q3 earnings for FY2023, with total revenue of USD 1753.6 million, demonstrating a 5.0% growth from the same period of the previous year. Nonetheless, their net income was reported to be USD 162.8 million, showing a 16.1% drop year-on-year.

Analysis – Zimmer Biomet Intrinsic Value

GoodWhale’s analysis of ZIMMER BIOMET‘s financials has determined that the fair value of their share is around $128.1. This was calculated by using GoodWhale’s proprietary Valuation Line. Currently, the stock is trading at $105.9, which is a fair price, but is still undervalued by 17.4%. This suggests that investors may want to look into buying ZIMMER BIOMET stock now before the price rises. This could be a good opportunity for those looking to invest in a company with strong fundamentals. More…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Zimmer Biomet. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Zimmer Biomet. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Zimmer Biomet. More…

Key Ratios Snapshot

Some of the financial key ratios for Zimmer Biomet are shown below. More…

Peers

The company operates in two segments, Reconstructive and Dental. It offers knee, hip, shoulder, elbow, hand and wrist, foot and ankle, and biologics products. The company also provides dental prosthetics, including dental implants and CAD/CAM systems; and digital equipment for dentists and laboratories. Zimmer Biomet has a market cap of $24.4 billion and is headquartered in Warsaw, Indiana.

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Summary

ZIMMER BIOMET reported total revenue of USD 1753.6 million and net income of USD 162.8 million for Q3 of FY2023, representing a 5.0% and 16.1% year-on-year increase, respectively. Despite the revenue growth, the reported net income saw decreased by 16.1%, leading to a decrease in stock price on the same day. Investors should consider these results when deciding whether to invest in ZIMMER BIOMET, as increasing revenue is not necessarily indicative of higher dividends and returns.