Zimmer Biomet Holdings, Inc. ZBH is set to unveil its third-quarter 2024 financial performance on Oct. 30, kicking off the earnings season with gusto.
The last reported quarter saw the giant’s earnings of $2.01 surpassing the Zacks Consensus Estimate by a modest 1.5%. ZBH has consistently outperformed earnings expectations over the past four quarters, with an average beat of 2.84%.
Peering into the Crystal Ball: ZBH’s Q3 Estimates
Market analysts have floated a consensus estimate of $1.81 billion for revenues, reflecting a robust 3.3% uptick from the comparable period last year.
The anticipated earnings per share stand at $1.75, marking a healthy 6.1% improvement from the year-ago figures.
What Lies Behind the Estimates: A Glimpse Behind the Curtain
The earnings consensus for ZBH has dipped slightly by 1.1% in the last month, settling at $1.75 per share. With the stage set, it’s time to examine the backstage action preceding this market performance.
Factors at Play: A Symphony of Growth and Progress
Zimmer Biomet stands on the cusp of an impressive third quarter, expected to ride on significant momentum across its business divisions.
The company’s Hip segment, strengthened by innovative navigation solutions and product introductions, is poised for a strong showing. The recent acquisition of OrthoGrid Systems and the upcoming launch of hip posterior robotics overseas are painting a vivid picture of revenue growth.
In the Knees business, although facing supply challenges, ZBH navigates these hurdles with strategic product launches and promising partnerships, all pointing towards continued growth.
The company’s S.E.T. business, which showed robust mid-single digit growth in the previous quarter, is expected to maintain its winning streak, powered by focused growth areas.
Strategic Moves and Vision: What the Future Holds
Even with a less-than-ideal Earnings ESP of -1.65% and a Zacks Rank #4 (Strong) in tow, Zimmer Biomet continues to chart a course for success, leveraging technological advancements and strategic collaborations to drive its financial performance.
Exploring Alternative Avenues: Stocks to Watch
As investors gear up for the earnings whirlwind, other medical stocks like Atea Pharmaceuticals, RadNet, and TransMedics Group beckon with promising opportunities. Each armed with a unique blend of strengths, these stocks could potentially deliver positive surprises in the upcoming quarterly reports.
With a diversified landscape of opportunities to watch, seasoned investors and market enthusiasts are eagerly awaiting the unveiling of Q3 financial performances, poised on the edge of anticipation.