Zimmer Biomet management check
ZBH · Health Care · Health Care Equipment · CEO Mr. Tornos
Filings as of
2 good · 4 to watch · 1 flagged, across the seven questions below.
- Flag
Have owners done well?
Trailed its chosen peers$100 invested at the start of fiscal 2021 grew to $63, against $127 for the peer group the company picked itself.
- Watch
Does pay follow performance?
Pay only loosely tracked returnsOver 5 years, the CEO's pay actually paid (equity valued at the share price) had a correlation of 0.02 with shareholder return. 1 means pay moved in step; below 0, the opposite way.
- Watch
What does the CEO cost owners?
2.3% of net income$16.1m of reported pay in fiscal 2025, against $705.0m of net income.
- Watch
Do they own the stock?
Insiders are selling3 insiders sold $1.2m in the last six months and none bought.
- Good
Are owners being diluted?
Share count shrinkingDiluted shares changed -2.7% a year over the last three fiscal years. Stock-based pay was 1.1% of revenue in the latest year.
- Watch
Is leadership stable?
2 CEOs in the pay tableCEOs in the pay table: Bryan Hanson, Mr. Tornos. 9 filings under 8-K item 5.02 (officers or directors leaving or joining, or new pay arrangements) in the last 3 years.
- Good
Are the books clean?
No red flags on fileNo restatements, auditor changes or late filings since 2021.
Against the S&P 500
Each check's score (0–100) and how it compares: the share of ranked S&P 500 companies it matches or beats, and the median in Health Care.
| Check | Score | At or above | Sector median |
|---|---|---|---|
| Owner returns | 0 | 26 | |
| Pay for performance | 51 | 85 | |
| CEO cost | 20 | 44 | |
| Skin in the game | — | — | 46 |
| Dilution | 83 | 68 | |
| Stable leadership | 40 | 70 | |
| Clean books | 100 | 100 |
Closest peers
Others in Health Care Equipment, by management score. Zimmer Biomet is 53rd of 60 in its sector.
- 115ABTAbbott Laboratories75
- 149SYKStryker Corporation72
- 156ISRGIntuitive Surgical72
- 188IDXXIdexx Laboratories69
- 192BSXBoston Scientific69
- 246RVTYRevvity64
- 256GEHCGE HealthCare64
- 294RMDResMed62
- 321STESteris60
- 353BDXBecton Dickinson58
Pay versus performance
From the proxy statement filed April 1, 2026. "Actually paid" values stock awards at the share price, so it rises and falls with the stock.
| Fiscal year | CEO | CEO pay | Actually paid | Other executives (avg) | $100 became | Peers | Net income |
|---|---|---|---|---|---|---|---|
| 2025 | Mr. Tornos | $16.1m | $12.6m | $6.1m | $63 | $127 | $705.0m |
| 2024 | — | $15.0m | $9.2m | $3.9m | $73 | $117 | $903.8m |
| 2023 | Bryan Hanson | $12.8m | $10.3m | $5.0m | $83 | $106 | $1.0bn |
| 2022 | — | $16.4m | $20.5m | $4.7m | $87 | $97 | $231.4m |
| 2021 | — | $15.0m | $0 | $4.2m | $83 | $119 | $401.6m |
The board says pay is tied most to consolidated constant currency revenue. Its other key measures: Consolidated constant currency revenue, Consolidated free cash flow, Adjusted operating profit, Adjusted EPS growth.
Insiders and the CEO's stake
3 insiders sold $1.2m in the last six months and none bought.
- SoldKevin R ThornalGrp Pres-Global Business$529kSep 11, 2026
- SoldSang YiGroup President, Asia Pacific$413kMay 29, 2026
- SoldChad F PhippsSee remarks below.$295kSep 4, 2026
Leadership and governance on file
- Sep 8, 2026Leadership change8-K 5.02
- Apr 28, 2026Leadership change8-K 5.02
- Jan 12, 2026Leadership change8-K 5.02
- Jun 3, 2025Leadership change8-K 5.02
- May 27, 2025Leadership change8-K 5.02
- Feb 25, 2025Leadership change8-K 5.02
- Jun 20, 2024Leadership change8-K 5.02
- May 15, 2024Leadership change8-K 5.02
- Jan 5, 2024Leadership change8-K 5.02
- Aug 22, 2023Leadership change8-K 5.02
- May 16, 2022Leadership change8-K 5.02
- Oct 29, 2021Leadership change8-K 5.02
Latest shareholder vote results: May 27, 2026, including the say-on-pay vote.
Where the money went
Over 2021–2025: $3.2bn returned to owners in buybacks and dividends, 97% of net income, and $472.0m of pay in stock.
| Fiscal year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $6.8bn | $6.9bn | $7.4bn | $7.7bn | $8.2bn |
| Net income | $401.6m | $231.4m | $1.0bn | $903.8m | $705.1m |
| Stock-based pay | $76.0m | $105.0m | $99.8m | $101.0m | $90.2m |
| Buybacks | — | $126.4m | $692.2m | $868.0m | $487.0m |
| Dividends | $200.1m | $201.2m | $200.9m | $196.0m | $190.3m |
| Diluted shares | 210m | 210m | 210m | 204m | 199m |
Educational only, not investment advice. Figures are as filed with the SEC: pay from the proxy's pay-versus-performance table, capital allocation from 10-K XBRL data, insider trades from Form 4s over the last six months, events from the last 5 years of filings. The peer group is the one the company chose. See the method.