Zimmer Biomet Holdings (NYSE: ZBH) is one of 84 publicly-traded companies in the “Medical Equipment, Supplies & Distribution” industry, but how does it weigh in compared to its rivals? We will compare Zimmer Biomet Holdings to related companies based off the strength of its earnings, analyst recommendations, profitability, dividends, risk, institutional ownership and valuation.

Institutional and Insider Ownership

85.5% of Zimmer Biomet Holdings shares are owned by institutional investors. Comparatively, 63.4% of shares of all “Medical Equipment, Supplies & Distribution” companies are owned by institutional investors. 1.1% of Zimmer Biomet Holdings shares are owned by insiders. Comparatively, 13.0% of shares of all “Medical Equipment, Supplies & Distribution” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Volatility & Risk

Zimmer Biomet Holdings has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, Zimmer Biomet Holdings’ rivals have a beta of 1.08, meaning that their average stock price is 8% more volatile than the S&P 500.

Valuation and Earnings

This table compares Zimmer Biomet Holdings and its rivals gross revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Zimmer Biomet Holdings $7.78 billion $2.80 billion 33.25
Zimmer Biomet Holdings Competitors $827.05 million $159.48 million 33.11

Zimmer Biomet Holdings has higher revenue and earnings than its rivals. Zimmer Biomet Holdings is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently the more expensive than other companies in its industry.

Dividends

Zimmer Biomet Holdings pays an annual dividend of $0.96 per share and has a dividend yield of 0.8%. Zimmer Biomet Holdings pays out 27.6% of its earnings in the form of a dividend. As a group, “Medical Equipment, Supplies & Distribution” companies pay a dividend yield of 0.8% and pay out 35.6% of their earnings in the form of a dividend. Zimmer Biomet Holdings is clearly a better dividend stock than its rivals, given its higher yield and lower payout ratio.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Zimmer Biomet Holdings and its rivals, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Zimmer Biomet Holdings 1 6 13 1 2.67
Zimmer Biomet Holdings Competitors 321 1470 2571 105 2.55

Zimmer Biomet Holdings currently has a consensus price target of $138.68, suggesting a potential upside of 19.87%. All “Medical Equipment, Supplies & Distribution” companies have a potential upside of 3.45%. Given Zimmer Biomet Holdings’ stronger consensus rating and higher probable upside, equities analysts plainly believe Zimmer Biomet Holdings is more favorable than its rivals.

Profitability

This table compares Zimmer Biomet Holdings and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Zimmer Biomet Holdings 9.12% 16.70% 6.18%
Zimmer Biomet Holdings Competitors -130.72% -19.09% -11.11%

Summary

Zimmer Biomet Holdings beats its rivals on 13 of the 15 factors compared.

Zimmer Biomet Holdings Company Profile

Zimmer Biomet Holdings, Inc. is engaged in designing, manufacturing and marketing of orthopedic reconstructive products; sports medicine, biologics, extremities and trauma products; office-based technologies; spine, craniomaxillofacial and thoracic products; dental implants, and related surgical products. The Company’s products and solutions help treat patients suffering from disorders of, or injuries to, bones, joints or supporting soft tissues. The Company manages its operations through three geographic operating segments: the Americas, consisting principally of the United States and other North, Central and South American markets; EMEA, consisting principally of Europe and the Middle East and African markets, and Asia Pacific, consisting primarily of Japan and other Asian and Pacific markets. The Company’s product category segments include Americas Spine, Office Based Technologies, Craniomaxillofacial and Thoracic (CMF), and Dental.

Receive News & Ratings for Zimmer Biomet Holdings Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Zimmer Biomet Holdings Inc. and related companies with MarketBeat.com's FREE daily email newsletter.