Zalando SE (CHIX:ZALD) Profitability Rank: 7 (As of Jun. 2026) — Near Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

CHIX:ZALD Zalando SE CHIX:ZALD
78 GF Score
Price €22.44
GF Value €32.24
Valuation Significantly Undervalued
! 5 Warning Signs
View Full Analysis

What is Zalando SE Profitability Rank?

Zalando SE CHIX:ZALD 78 Profitability Rank is 7 as of Jun. 2026, which is at its 10-year median of 7.00. GuruFocus rates CHIX:ZALD with a GF Score™ of 78/100 and a GF Value™ of €32.24 (Significantly Undervalued). The stock has 5 warning signs investors should review.

Zalando SE has the Profitability Rank of 7.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Zalando SE's Operating Margin % for the quarter that ended in Jun. 2026 was 3.24%. As of today, Zalando SE's Piotroski F-Score is 6.


Zalando SE Profitability Rank Related Terms


CHIX:ZALD vs AMZN, BABA, PDD: Profitability Rank Comparison

For the Internet Retail subindustry, Zalando SE's Profitability Rank, along with its competitors' market caps and Profitability Rank 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.


Zalando SE Profitability Rank vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Zalando SE's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Zalando SE's Profitability Rank falls into.


CHIX:ZALD
78GF Score
Zalando SE CHIX:ZALD
Profitability Rank is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zalando SE Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Zalando SE has the Profitability Rank of 7.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Zalando SE's Operating Margin % for the quarter that ended in Jun. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2026 ) / Revenue (Q: Jun. 2026 )
=111 / 3424.4
=3.24 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Zalando SE has an F-score of 6 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Warning Sign:

Zalando SE operating margin has been in a 5-year decline. The average rate of decline per year is -3.7%.

4. Consistency of the profitability

5. Predictability Rank

Frequently Asked Questions Learn more about Profitability Rank →
What does a Profitability Rank of 7 mean?
Zalando SE (CHIX:ZALD) has a Profitability Rank of 7 as of Jun. 2026. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on Zalando SE and its competitors. This is near median its historical median of 7.00. Over the past decade, Zalando SE's Profitability Rank has ranged from 6.00 to 8.00.
Is Zalando SE's Profitability Rank too high?
Zalando SE's current Profitability Rank of 7 is near median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 6.00 to a high of 8.00. Overall, Zalando SE has a GF Score™ of 78/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zalando SE's Profitability Rank compare to AMZN and BABA?
Zalando SE's Profitability Rank of 7 can be compared against companies in the Retail - Cyclical industry. Historically, Zalando SE's own Profitability Rank has ranged from 6.00 to 8.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Profitability Rank for a Retail - Cyclical company?
A good Profitability Rank depends on the Retail - Cyclical industry context. However, Profitability Rank 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 Profitability Rank mean?
A high Profitability Rank can signal that a stock is expensive relative to its fundamentals. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on Zalando SE and its competitors. Zalando SE's current Profitability Rank is 7, which is near median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zalando SE stock overvalued right now?
Based on GuruFocus' analysis, Zalando SE (CHIX:ZALD) is currently considered Significantly Undervalued. The stock's GF Value™ is €32.24, compared to a current price of €22.44 — trading 30.4% below its estimated fair value. The current Profitability Rank is 7, which is near median its 10-year median of 7.00. Zalando SE's overall GF Score™ is 78/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Profitability Rank calculated?
Profitability Rank is calculated from a company's financial statements. For Zalando SE (CHIX:ZALD), the current Profitability Rank is 7 as of Jun. 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 Zalando SE (CHIX:ZALD) Overvalued in 2026?

Based on GuruFocus' analysis, Zalando SE stock appears to be undervalued. The current stock price of €22.44 is trading 30.4% below its estimated GF Value™ of €32.24. GuruFocus considers Zalando SE to be Significantly Undervalued.

Key valuation signals for CHIX:ZALD:

  • Profitability Rank: 7 (near median its 10-year median of 7.00)
  • GF Value™: €32.24 vs. price of €22.44 (30.4% below fair value)
  • GF Score™: 78/100 with 5 warning signs

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


Zalando SE Business Description

Address Valeska-Gert-Strabe 5, Berlin, DEU, 10243
Zalando, founded in 2008, is Europe's biggest pure-play online fashion platform. Zalando is present in 25 European countries, and its major market is the DACH region, comprising Germany, Austria, and Switzerland. After the About You acquisition, it has 17 fulfillment centers, offers over 7,000 brands, and as of September 2025, had 62 million active users (more than 10% of the population in countries where the firm has a presence).
78GF Score

Get the complete analysis for CHIX:ZALD

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

€22.44
Price
€32.24
GF Value