TacticScaleWhat Zimmer Biomet Does & How It Makes Money (ZBH)
Updated October 2026 · reflects Zimmer Biomet's latest reported financials
Medical device maker of joint replacements and orthopedic surgical technologies. It designs, makes and sells orthopedic implants, surgical products and robotic and digital technologies.
How Zimmer Biomet makes money
It designs, makes and sells orthopedic implants, surgical products and robotic and digital technologies. Its customers are surgeons, hospitals, healthcare institutions, distributors, dealers and hospital purchasing groups around the world.
What Zimmer Biomet does
Zimmer Biomet is a global medical technology company focused on the musculoskeletal system. Its core business is reconstructive orthopedics, mainly knee and hip implants. It also sells a broader S.E.T. portfolio covering sports medicine, biologics, foot and ankle, upper extremities, trauma, and craniomaxillofacial and thoracic products, along with bone cement and other surgical products. Its customers include orthopedic surgeons, neurosurgeons, hospitals, distributors and purchasing groups. On top of its implants, the company offers robotic and digital tools. The ROSA Robot helps surgeons position implants in total and partial knee replacements. The ZBEdge Platform connects robotic and digital technologies to collect data before, during and after surgery, and uses analytics and AI to help surgeons make decisions. The company was founded in 1927, is headquartered in Warsaw, Indiana, and took the Zimmer Biomet name in June 2015.
Products & services
- Knee and hip replacement implants
- ROSA Robot
- ZBEdge Platform
- Sports medicine and soft tissue repair products
- Trauma and craniomaxillofacial/thoracic fixation products
- Bone cement and surgical products
What is Zimmer Biomet worth?
On an owner-earnings DCF, Zimmer Biomet's most-likely value is about $91 versus a recent price near $89 (2% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$55) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
⚠ High leverage — net debt is 6.2× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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