Zimmer Biomet Holdings (FRA:ZIM) ROCE %: 7.38% (As of Mar. 2026)


FRA:ZIM Zimmer Biomet Holdings Inc FRA:ZIM
76 GF Score
Price €76.80
GF Value €106.93
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Zimmer Biomet Holdings ROCE %?

Zimmer Biomet Holdings FRA:ZIM +1.29% 76 ROCE % is 7.38% as of Mar. 2026. GuruFocus rates FRA:ZIM with a GF Score™ of 76/100 and a GF Value™ of €106.93 (Modestly Undervalued). The stock has 3 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Zimmer Biomet Holdings's annualized ROCE % for the quarter that ended in Mar. 2026 was 7.38%.

Zimmer Biomet Holdings  (FRA:ZIM) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Zimmer Biomet Holdings ROCE % Related Terms

Zimmer Biomet Holdings ROCE % Historical Data

* Premium members only.

The historical data trend for Zimmer Biomet Holdings's ROCE % 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 ROCE % Chart

Zimmer Biomet Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.51 3.04 6.69 6.82 5.39

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
ROCE % 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 5.99 5.87 6.82 3.27 7.38
FRA:ZIM
76GF Score
Zimmer Biomet Holdings Inc FRA:ZIM
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Zimmer Biomet Holdings ROCE % Calculation

Zimmer Biomet Holdings's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=959.554/( ( (20403.862 - 2340.61) + (19720.312 - 2206.48) )/ 2 )
=959.554/( (18063.252+17513.832)/ 2 )
=959.554/17788.542
=5.39 %

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

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=1280.544/( ( (19720.312 - 2206.48) + (19654.184 - 2477.619) )/ 2 )
=1280.544/( ( 17513.832 + 17176.565 )/ 2 )
=1280.544/17345.1985
=7.38 %

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

* 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 ROCE % →
What does a ROCE % of 7.38% mean?
Zimmer Biomet Holdings (FRA:ZIM) has a ROCE % of 7.38% as of Mar. 2026.
Is Zimmer Biomet Holdings' ROCE % too high?
Zimmer Biomet Holdings' current ROCE % is 7.38%. The Medical Devices & Instruments industry median ROCE % is 2.23. Zimmer Biomet Holdings' value of 7.38% is 230.9% above this industry median. Overall, Zimmer Biomet Holdings has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zimmer Biomet Holdings' ROCE % compare to PEN and GMED?
Zimmer Biomet Holdings' ROCE % of 7.38% can be compared against companies in the Medical Devices & Instruments industry. The industry median ROCE % is 2.23. Zimmer Biomet Holdings' value of 7.38% is 230.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Medical Devices & Instruments company?
The median ROCE % among Medical Devices & Instruments companies is 2.23, based on 814 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Zimmer Biomet Holdings's current ROCE % of 7.38% is 230.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Medical Devices & Instruments industry, the median ROCE % is 2.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zimmer Biomet Holdings's current ROCE % is 7.38%. 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 Modestly Undervalued. The stock's GF Value™ is €106.93, compared to a current price of €76.80 — trading 28.2% below its estimated fair value. The current ROCE % is 7.38% and 230.9% above the Medical Devices & Instruments industry median of 2.23. 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 ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Zimmer Biomet Holdings (FRA:ZIM), the current ROCE % is 7.38% 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 28.2% below its estimated GF Value™ of €106.93. GuruFocus considers Zimmer Biomet Holdings to be Modestly Undervalued.

Key valuation signals for FRA:ZIM:

  • ROCE %: 7.38%
  • GF Value™: €106.93 vs. price of €76.80 (28.2% below fair value)
  • GF Score™: 76/100 with 3 warning signs
  • Industry Position: 230.9% above the Medical Devices & Instruments median

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

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

€76.80
Price
€106.93
GF Value