Zimmer Biomet Q3 sales beat estimates, raises FY outlook

Overview

• U.S. medical device maker's Q3 net sales rose 3.1%, slightly beating analyst expectations

• Adjusted EPS for Q3 was flat yr/yr and beat analyst expectations

• Company raised full-year 2026 organic constant-currency sales growth and adjusted EPS guidance

Outlook

• Zimmer Biomet raises 2026 constant currency revenue growth forecast to 4.1%-4.6% from 3.4%-4.4%

• Company now expects 2026 organic constant currency revenue growth of 3.0%-3.5%, up from 2.25%-3.25%

• Zimmer Biomet raises 2026 adjusted diluted EPS outlook to $8.50-$8.60 from $8.47-$8.59

Result Drivers

• PRODUCT MIX - Growth in Hips, S.E.T., and Technology & Data, Bone Cement and Surgical franchises drove overall sales

• BROAD-BASED PERFORMANCE - Company cited strong performance across multiple business segments as supporting its updated guidance

• COMMERCIAL EXECUTION - Company highlighted U.S. commercial transformation efforts as contributing to performance

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 20 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy."

• Wall Street's median 12-month price target for Zimmer Biomet Holdings, Inc. is $105.00, about 8.2% above its November 3 closing price of $97.06

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads

• Nov 4 - Smith+Nephew cuts outlook after failed orthopaedics deal talks with J&J

• Nov 4 - UK's Smith & Nephew misses Q3 revenue estimates, cuts outlook on slower US orthopaedics market

• Nov 3 - Strata Critical Medical Q3 revenue beats estimates; announces buyback

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)