In a report released yesterday, Ryan Zimmerman from BTIG maintained a Buy rating on Zimmer Biomet Holdings, with a price target of $112.00.
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Ryan Zimmerman has given his Buy rating due to a combination of factors related to valuation, expectations, and execution potential. Even though he is trimming his forecasts for both revenue and earnings—reflecting more conservative assumptions on organic growth, foreign exchange tailwinds, and tariff-related margin pressure—he still anticipates earnings to grow in FY26 in line with the company’s own commentary. In his view, the stock’s current price undervalues Zimmer Biomet relative to its projected earnings over the next 12–24 months, particularly now that estimates and investor expectations have already been reset lower.
Zimmerman’s $112 price target is based on applying an 11.5x multiple to his forward EPS estimates, which represents a discount to both the company’s historical trading range and its peer group, justified by Zimmer Biomet’s slower expected growth and prior operational missteps. He believes that if management can deliver steady, predictable results and gradually rebuild credibility with investors, the shares have room to appreciate from current levels. Ultimately, the Buy rating rests on the balance of a relatively low valuation, moderated expectations, and the upside tied to improved execution over the coming years.
In another report released on January 5, Evercore ISI also upgraded the stock to a Buy with a $120.00 price target.