Zimmer Biomet Sees Unusually Large Options Volume (NYSE:ZBH)

Zimmer Biomet Holdings, Inc. (NYSE:ZBH) was the target of some unusual options trading on Friday. Stock traders acquired 2,270 call options on the stock. This represents an increase of approximately 534% compared to the average volume of 358 call options.

Insider Activity

In related news, insider Sang Yi sold 5,000 shares of the stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $82.64, for a total transaction of $413,200.00. Following the completion of the sale, the insider directly owned 27,251 shares of the company’s stock, valued at approximately $2,252,022.64. This represents a 15.50% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 1.28% of the company’s stock.

Institutional Trading of Zimmer Biomet

Hedge funds have recently made changes to their positions in the business. PNC Financial Services Group Inc. increased its holdings in shares of Zimmer Biomet by 9.4% during the fourth quarter. PNC Financial Services Group Inc. now owns 161,195 shares of the medical equipment provider’s stock worth $14,495,000 after purchasing an additional 13,883 shares during the period. Wilsey Asset Management Inc. acquired a new stake in Zimmer Biomet during the fourth quarter worth approximately $32,439,000. Douglas Lane & Associates LLC increased its stake in Zimmer Biomet by 6.7% during the 4th quarter. Douglas Lane & Associates LLC now owns 460,178 shares of the medical equipment provider’s stock worth $41,379,000 after acquiring an additional 28,818 shares during the period. Northwestern Mutual Wealth Management Co. increased its stake in Zimmer Biomet by 257.2% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 34,370 shares of the medical equipment provider’s stock worth $3,091,000 after acquiring an additional 24,748 shares during the period. Finally, Morningstar Investment Management LLC raised its holdings in Zimmer Biomet by 235.4% in the 4th quarter. Morningstar Investment Management LLC now owns 57,865 shares of the medical equipment provider’s stock valued at $5,204,000 after acquiring an additional 40,610 shares in the last quarter. 88.89% of the stock is owned by institutional investors and hedge funds.

Zimmer Biomet Stock Up 2.2%

ZBH traded up $2.00 during trading on Friday, reaching $91.23. 236,206 shares of the stock were exchanged, compared to its average volume of 2,283,044. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.95 and a current ratio of 1.73. The stock’s 50 day moving average price is $86.03 and its two-hundred day moving average price is $89.75. Zimmer Biomet has a twelve month low of $79.12 and a twelve month high of $108.29. The stock has a market cap of $17.65 billion, a P/E ratio of 23.64, a price-to-earnings-growth ratio of 2.58 and a beta of 0.46.

Zimmer Biomet (NYSE:ZBH) last announced its quarterly earnings data on Tuesday, April 28th. The medical equipment provider reported $2.09 EPS for the quarter, beating analysts’ consensus estimates of $1.86 by $0.23. The company had revenue of $2.09 billion during the quarter, compared to the consensus estimate of $2.07 billion. Zimmer Biomet had a net margin of 9.05% and a return on equity of 13.24%. The company’s quarterly revenue was up 9.3% on a year-over-year basis. During the same quarter last year, the firm posted $1.81 EPS. Zimmer Biomet has set its FY 2026 guidance at 8.400-8.550 EPS. Equities analysts expect that Zimmer Biomet will post 8.48 EPS for the current year.

Zimmer Biomet Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Thursday, June 25th will be issued a dividend of $0.24 per share. The ex-dividend date is Thursday, June 25th. This represents a $0.96 dividend on an annualized basis and a yield of 1.1%. Zimmer Biomet’s dividend payout ratio (DPR) is presently 24.94%.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on ZBH shares. Weiss Ratings reiterated a “hold (c-)” rating on shares of Zimmer Biomet in a report on Monday. Barclays cut their price objective on shares of Zimmer Biomet from $100.00 to $94.00 and set an “underweight” rating on the stock in a research report on Wednesday, April 29th. Wall Street Zen downgraded Zimmer Biomet from a “buy” rating to a “hold” rating in a research note on Saturday, July 4th. Stifel Nicolaus cut their price target on Zimmer Biomet from $110.00 to $105.00 and set a “buy” rating on the stock in a report on Wednesday, April 29th. Finally, JPMorgan Chase & Co. reduced their price objective on Zimmer Biomet from $100.00 to $95.00 and set a “neutral” rating for the company in a research report on Wednesday, April 29th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, thirteen have assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $102.33.

About Zimmer Biomet

Zimmer Biomet (NYSE: ZBH) is a global medical device company focused on musculoskeletal healthcare. Headquartered in Warsaw, Indiana, the company designs, manufactures and markets a broad portfolio of products used to treat joint disorders, bone disorders and related conditions. Its customer base includes orthopaedic and dental surgeons, hospitals, ambulatory surgery centers and other healthcare providers that rely on implants, instruments and related services for reconstructive and restorative procedures.

The company’s product offerings span joint replacement systems for hips, knees and shoulders; trauma and extremities implants; spine and thoracic solutions; dental and craniomaxillofacial implants and prosthetics; and sports medicine devices.