Zimmer Biomet Holdings, Inc. cash flow to debt ratio of 22.57% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Zimmer Biomet Holdings, Inc.'s free cash flow has increased 28.87% from $1.14B last year to $1.47B, signaling increasing performance

Zimmer Biomet Holdings, Inc.'s debt to equity ratio is 0.59, which means that the company's assets are healthy financed, signaling financial stability.

Zimmer Biomet Holdings, Inc.'s debt has increased relative to shareholder equity from 0.50 last year to 0.59 today, signaling weakened financials

Zimmer Biomet Holdings, Inc. has a net debt to EBITDA ratio of 3.12x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Zimmer Biomet Holdings, Inc.'s interest coverage ratio of 4.63 indicates that earnings with good margin can cover interest payments on company debt

Zimmer Biomet Holdings, Inc.'s profit margin has decreased (19.44%) in the last year from 11.77% to 9.48%, signaling decreasing performance

Zimmer Biomet Holdings, Inc.'s short-term assets of $5.12B exceed its short-term liabilities of $2.58B

Zimmer Biomet Holdings, Inc.'s return on assets of 3.54% is lower than the 5.00% threshold, indicating inefficient asset utilization

Zimmer Biomet Holdings, Inc.'s return on equity of 6.36%, is lower than 15.00%, indicating bad performance

Zimmer Biomet Holdings, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Zimmer Biomet Holdings, Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Zimmer Biomet Holdings, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Zimmer Biomet Holdings, Inc. has a free cash flow yield of 7.78%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Zimmer Biomet Holdings, Inc.'s yearly earnings has decreased 21.97% since last year from $903.80M to $705.20M, signaling decreasing performance

Zimmer Biomet Holdings, Inc.'s yearly revenue has increased 7.20% since last year from $7.68B to $8.23B, signaling increasing performance

ROIC 5.51% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Zimmer Biomet Holdings, Inc.'s 3-year revenue CAGR of 5.85% is positive, indicating growing revenue over the past 3 years

Zimmer Biomet Holdings, Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

Zimmer Biomet Holdings, Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Zimmer Biomet Holdings, Inc. is overvalued relative to its fair value price of 78.76 based on Discounted Cash Flow model

Zimmer Biomet Holdings, Inc. has an earnings yield of 4.29%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Zimmer Biomet Holdings, Inc. is overvalued relative to its fair value price of 43.93 based on EBITDA multiple model

Zimmer Biomet Holdings, Inc. has an EV/EBITDA ratio of 11.66x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Zimmer Biomet Holdings, Inc. is undervalued relative to its fair value price of 128.58 based on Earnings Fair Value model

Zimmer Biomet Holdings, Inc. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Zimmer Biomet Holdings, Inc. has a price-to-book ratio of 1.49x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Zimmer Biomet Holdings, Inc. has a price-to-sales ratio of 2.21x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue