Zimmer Biomet Holdings (FRA:ZIM) EBIT: €1,031 Mil (TTM As of Mar. 2026)


FRA:ZIM Zimmer Biomet Holdings Inc FRA:ZIM
76 GF Score
Price €76.80
GF Value €109.16
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Zimmer Biomet Holdings EBIT?

Zimmer Biomet Holdings FRA:ZIM +1.29% 76 EBIT is €1,031 Mil as of Mar. 2026. GuruFocus rates FRA:ZIM with a GF Score™ of 76/100 and a GF Value™ of €109.16 (Significantly Undervalued). The stock has 3 warning signs investors should review.

Zimmer Biomet Holdings's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was €320 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was €1,031 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Zimmer Biomet Holdings's annualized ROC % for the quarter that ended in Mar. 2026 was 5.92%. Zimmer Biomet Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 30.40%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Zimmer Biomet Holdings's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 4.77%.


Zimmer Biomet Holdings  (FRA:ZIM) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Zimmer Biomet Holdings's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=1367.044 * ( 1 - 20.91% )/( (17835.961 + 18720.59)/ 2 )
=1081.1950996/18278.2755
=5.92 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=19720.312 - 1378.868 - ( 505.483 - max(0, 2206.48 - 4372.395+505.483))
=17835.961

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=19654.184 - 566.661 - ( 366.933 - max(0, 2477.619 - 4292.562+366.933))
=18720.59

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Zimmer Biomet Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1280.544/( ( (1884.863 + max(2161.815, 0)) + (1913.12 + max(2465.163, 0)) )/ 2 )
=1280.544/( ( 4046.678 + 4378.283 )/ 2 )
=1280.544/4212.4805
=30.40 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1455.558 + 1952.586 + 458.768) - (1378.868 + 0 + 326.229)
=2161.815

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1495.239 + 1943.482 + 486.908) - (566.661 + 0 + 893.805)
=2465.163

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Zimmer Biomet Holdings's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=1030.831/21597.014
=4.77 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Zimmer Biomet Holdings EBIT Related Terms


Zimmer Biomet Holdings EBIT Historical Data

* Premium members only.

The historical data trend for Zimmer Biomet Holdings's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Zimmer Biomet Holdings EBIT Chart

Zimmer Biomet Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 626.05 536.48 1,163.21 1,198.14 959.55

Zimmer Biomet Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 273.06 263.48 302.12 145.10 320.14

FRA:ZIM vs PEN, GMED, STE: EBIT Comparison

For the Medical Devices subindustry, Zimmer Biomet Holdings's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Zimmer Biomet Holdings EV-to-EBIT vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Zimmer Biomet Holdings's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Zimmer Biomet Holdings's EV-to-EBIT falls into.


FRA:ZIM
76GF Score
Zimmer Biomet Holdings Inc FRA:ZIM
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Zimmer Biomet Holdings EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €1,031 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of €1,031 Mil mean?
Zimmer Biomet Holdings (FRA:ZIM) has a EBIT of €1,031 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Zimmer Biomet Holdings.
Is Zimmer Biomet Holdings' EBIT too high?
Zimmer Biomet Holdings' current EBIT is €1,031 Mil. Overall, Zimmer Biomet Holdings has a GF Score™ of 76/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zimmer Biomet Holdings' EBIT compare to PEN and GMED?
Zimmer Biomet Holdings' EBIT of €1,031 Mil can be compared against companies in the Medical Devices & Instruments industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Medical Devices & Instruments company?
A good EBIT depends on the Medical Devices & Instruments industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Zimmer Biomet Holdings. Zimmer Biomet Holdings's current EBIT is €1,031 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zimmer Biomet Holdings stock overvalued right now?
Based on GuruFocus' analysis, Zimmer Biomet Holdings (FRA:ZIM) is currently considered Significantly Undervalued. The stock's GF Value™ is €109.16, compared to a current price of €76.80 — trading 29.6% below its estimated fair value. The current EBIT is €1,031 Mil. Zimmer Biomet Holdings' overall GF Score™ is 76/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Zimmer Biomet Holdings (FRA:ZIM), the current EBIT is €1,031 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Zimmer Biomet Holdings (FRA:ZIM) Overvalued in 2026?

Based on GuruFocus' analysis, Zimmer Biomet Holdings stock appears to be undervalued. The current stock price of €76.80 is trading 29.6% below its estimated GF Value™ of €109.16. GuruFocus considers Zimmer Biomet Holdings to be Significantly Undervalued.

Key valuation signals for FRA:ZIM:

  • EBIT: €1,031 Mil
  • GF Value™: €109.16 vs. price of €76.80 (29.6% below fair value)
  • GF Score™: 76/100 with 3 warning signs

No single metric tells the full story. See the FRA:ZIM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zimmer Biomet Holdings Business Description

Address 345 East Main Street, Warsaw, IN, USA, 46580
Zimmer Biomet designs, manufactures, and markets orthopedic reconstructive implants as well as supplies and surgical equipment for orthopedic surgery. With the acquisitions of Centerpulse in 2003 and Biomet in 2015, Zimmer holds the leading share of the reconstructive market in the United States, Europe, and Japan. Roughly two-thirds of total revenue is derived from sales of large joints; another fourth comes from extremities, trauma, sports medicine, and related surgical products. The firm spun out its dental and spine businesses in 2022.
76GF Score

Get the complete analysis for FRA:ZIM

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€76.80
Price
€109.16
GF Value