Download PDF

1. Company Snapshot

1.a. Company Description

Carl Zeiss Meditec AG operates as a medical technology company in Germany, rest of Europe, the United States, Asia, and internationally.It operates in two segments, Ophthalmic Devices and Microsurgery.The Ophthalmic Devices segment offers products and solutions for the diagnosis and treatment of eye diseases; and systems and consumables for cataract, retinal, and refractive surgeries.


It serves practicing ophthalmologists and optometrists, as well as physicians and surgeons in hospitals and outpatient surgery centers.The Microsurgery segment offers visualization solutions for invasive surgical treatments; and solutions in the area of ear, nose and throat, plastic and reconstructive, dental and spinal surgeries.It serves physicians in various fields and hospitals.


The company was founded in 1846 and is headquartered in Jena, Germany.Carl Zeiss Meditec AG is a subsidiary of Carl Zeiss AG.

Show Full description

1.b. Last Insights on AFX

Carl Zeiss Meditec's recent performance was negatively impacted by weaker-than-anticipated fiscal third-quarter core earnings and warnings of a U.S. tariff impact, which would lead to higher prices. The company's EPS missed expectations, and shareholders have endured a 62% loss over the past three years. Additionally, the optical tech group faced a 12% share slump due to the tariff warning. Despite advancements in medical technology, including CE mark approval for CIRRUS PathFinder AI tool and showcasing a comprehensive retina care workflow at EURETINA, the company's short-term prospects are challenged.

1.c. Company Highlights

2. Carl Zeiss Meditec AG Delivers Resilient Performance Amidst Macro Challenges

Carl Zeiss Meditec AG reported a solid financial performance for the first six months of fiscal year 2024/2025, with revenue rising 10.9% year-over-year to €1,051 million. Order intake surged 33.4% to €1,095 million, driven by strong demand across all regions, particularly the Americas, which grew by 28%. Recurring revenue now accounts for 50% of total revenue, marking a historic milestone. EBITA rose slightly to €114 million, though the EBITA margin declined to 10.8% due to last year's one-off gain and current market dynamics. Adjusted EBITA margin improved to 10.7%. CEO Dr. Markus Weber highlighted the company's resilience, stating, "Our strong positioning is a testament to our innovation and strategic corrections."

Publication Date: May -20

📋 Highlights
  • Revenue Growth: Reported €1,051 million, a 10.9% year-over-year increase.
  • Order Intake Surge: Grew 33.4% to €1,095 million, driven by strong demand across all regions.
  • Recurring Revenue Milestone: Now accounts for 50% of total revenue, a historic high for the company.
  • EBITA Performance: Rose slightly to €114 million, though EBITA margin declined to 10.8% due to market dynamics.
  • Leadership Transition: CEO Dr. Markus Weber to depart, succeeded by Maximilian Foerst, with a focus on innovation and growth.

Leadership Transition and Market Dynamics

Dr. Markus Weber announced his departure, effective May 31, handing over the reins to Maximilian Foerst, who brings extensive experience in ophthalmology and refractive businesses. Foerst's track record in Greater China, which now generates over €2 billion in revenue, underscores his ability to drive growth. Despite macroeconomic uncertainties and U.S. trade tensions, the company maintained its fiscal year guidance, anticipating a challenging environment but expecting improvement in the second half driven by new product launches and seasonal demand peaks.

Product Performance and Future Prospects

The VISUMAX 800 and KINEVO platforms are driving growth, with the VISUMAX 800 achieving pricing premiums of 20% or more in China. The DORC acquisition has enhanced the surgical segment, expanding recurring revenues and diversifying income streams. Management expressed optimism about the VISUMAX 800's potential, with mid double-digit growth expected in China. However, macroeconomic uncertainties and U.S. tariff impacts remain headwinds, though the company has mitigated risks through strategic stock increases and pricing adjustments.

Valuation and Analyst Expectations

With a P/E ratio of 34.05 and EV/EBITDA of 21.31, the stock appears to price in significant growth expectations. Analysts estimate next year's revenue growth at 6.7%, though the current EPS of 0.18 fell short of estimates at 0.4585. Despite this, the company's strong order backlog and recurring revenue streams suggest stability, positioning it well to achieve its long-term EBITA margin target of 16-20%.

3. NewsRoom

Card image cap

FluoGuide Signs Collaboration Agreement with ZEISS

Nov -25

Source:

Card image cap

ZEISS expands DORC portfolio and further strengthens digital footprint with improved workflow efficiency and digital visualization

Oct -07

Source:

Card image cap

Carl Zeiss Meditec AG's (ETR:AFX) Stock Has Shown Weakness Lately But Financial Prospects Look Decent: Is The Market Wrong?

Sep -22

Source:

Card image cap

Societe Generale: shares & voting rights as of 31 August 2025

Sep -09

Source:

Card image cap

Vaisala Corporation: Share Repurchase 9.9.2025

Sep -09

Source:

Card image cap

Assessing Acciona (BME:ANA)'s Valuation After Recent Subtle Moves

Sep -09

Source:

Card image cap

Deutsche Bank (XTRA:DBK): Assessing Valuation After a Period of Quiet Share Price Momentum

Sep -09

Source:

Card image cap

Is Vaisala (HLSE:VAIAS) Undervalued? A Fresh Look at Its Current Valuation

Sep -09

Source:

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.49%)

6. Segments

Ophthalmology

Expected Growth: 7%

Strong demand for cataract and refractive surgeries, increasing prevalence of eye diseases, and advancements in ophthalmic technologies drive growth in Ophthalmology segment. Zeiss's innovative products, such as SMILE and ReLEx, and strategic partnerships further boost growth. Expanding presence in emerging markets and increasing adoption of digitalization in ophthalmology also contribute to the 7% growth.

Microsurgery

Expected Growth: 9%

Strong demand for minimally invasive procedures, increasing adoption of robotic-assisted microsurgery, and advancements in ophthalmic and neurosurgical applications drive growth. Zeiss' innovative products, such as the ZEISS TIVATO 700, and strategic partnerships expand market share. Growing healthcare expenditure, aging population, and rising prevalence of eye disorders also contribute to the 9% growth.

7. Detailed Products

Ophthalmic Diagnostics

Carl Zeiss Meditec AG offers a range of ophthalmic diagnostic systems, including optical coherence tomography (OCT) and ultrasound systems, to help diagnose and monitor eye diseases such as glaucoma, cataracts, and age-related macular degeneration.

Intraocular Lenses

The company offers a range of intraocular lenses (IOLs) for cataract surgery, including monofocal, multifocal, and toric lenses, designed to improve visual outcomes and patient satisfaction.

Microsurgery Systems

Carl Zeiss Meditec AG provides microsurgery systems for ophthalmic and neurosurgical applications, including vitreoretinal surgery and neurosurgical procedures.

Refraction and Imaging Systems

The company offers a range of refraction and imaging systems, including autorefractors, keratometers, and optical coherence tomography (OCT) systems, to support eye care professionals in diagnosing and managing eye diseases.

Surgical Ophthalmology

Carl Zeiss Meditec AG provides a range of surgical ophthalmology products, including phacoemulsification systems, vitrectomy systems, and ophthalmic surgical instruments.

8. Carl Zeiss Meditec AG's Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Carl Zeiss Meditec AG is moderate, as there are alternative medical technology companies that offer similar products and services.

Bargaining Power Of Customers

The bargaining power of customers for Carl Zeiss Meditec AG is low, as the company's products and services are specialized and customers have limited alternatives.

Bargaining Power Of Suppliers

The bargaining power of suppliers for Carl Zeiss Meditec AG is moderate, as the company relies on a few key suppliers for critical components and materials.

Threat Of New Entrants

The threat of new entrants for Carl Zeiss Meditec AG is low, as the medical technology industry has high barriers to entry and requires significant capital investment and expertise.

Intensity Of Rivalry

The intensity of rivalry for Carl Zeiss Meditec AG is high, as the medical technology industry is highly competitive and companies must continually innovate and improve their products and services to remain competitive.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 6.73%
Debt Cost 8.59%
Equity Weight 93.27%
Equity Cost 8.59%
WACC 8.59%
Leverage 7.21%

11. Quality Control: Carl Zeiss Meditec AG passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Ypsomed

A-Score: 3.9/10

Value: 2.9

Growth: 8.2

Quality: 5.7

Yield: 0.6

Momentum: 2.0

Volatility: 4.0

1-Year Total Return ->

View Full Report
Stock-Card
Tecan

A-Score: 3.6/10

Value: 4.4

Growth: 4.1

Quality: 5.7

Yield: 2.5

Momentum: 0.0

Volatility: 4.7

1-Year Total Return ->

View Full Report
Stock-Card
Elekta

A-Score: 3.5/10

Value: 4.3

Growth: 4.0

Quality: 3.1

Yield: 6.9

Momentum: 0.5

Volatility: 2.3

1-Year Total Return ->

View Full Report
Stock-Card
Gerresheimer

A-Score: 3.3/10

Value: 8.8

Growth: 4.6

Quality: 4.1

Yield: 1.2

Momentum: 0.0

Volatility: 1.3

1-Year Total Return ->

View Full Report
Stock-Card
Carl Zeiss Meditec

A-Score: 3.3/10

Value: 3.9

Growth: 5.0

Quality: 5.9

Yield: 1.9

Momentum: 1.0

Volatility: 2.3

1-Year Total Return ->

View Full Report
Stock-Card
Amplifon

A-Score: 3.2/10

Value: 4.3

Growth: 5.4

Quality: 4.8

Yield: 2.5

Momentum: 0.0

Volatility: 2.3

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

43.44$

Current Price

43.44$

Potential

-0.00%

Expected Cash-Flows