ZIFF DAVIS INC (ZD) Stock Fundamental Analysis
NASDAQ:ZD • US48123V1026
32.13 USD
+1.67 (+5.48%)
Last: Feb 20, 2026, 10:31 AM
We assign a fundamental rating of 5 out of 10 to ZD. ZD was compared to 69 industry peers in the Interactive Media & Services industry. While ZD belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ZD is valued quite cheap, but it does not seem to be growing. This makes ZD very considerable for value investing!
1. Profitability
1.1 Basic Checks
- ZD had positive earnings in the past year.
- In the past year ZD had a positive cash flow from operations.
- In the past 5 years ZD has always been profitable.
- ZD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ZD's Return On Assets of 3.19% is fine compared to the rest of the industry. ZD outperforms 69.57% of its industry peers.
- ZD has a Return On Equity of 6.17%. This is in the better half of the industry: ZD outperforms 72.46% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 4.29%, ZD is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- ZD had an Average Return On Invested Capital over the past 3 years of 4.24%. This is significantly below the industry average of 13.55%.
- The 3 year average ROIC (4.24%) for ZD is below the current ROIC(4.29%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.19% | ||
| ROE | 6.17% | ||
| ROIC | 4.29% |
ROA(3y)1.57%
ROA(5y)4.39%
ROE(3y)3.01%
ROE(5y)9.34%
ROIC(3y)4.24%
ROIC(5y)3.97%
1.3 Margins
- ZD has a Profit Margin of 7.62%. This is in the better half of the industry: ZD outperforms 73.91% of its industry peers.
- ZD's Profit Margin has declined in the last couple of years.
- ZD has a Operating Margin of 13.25%. This is in the better half of the industry: ZD outperforms 76.81% of its industry peers.
- In the last couple of years the Operating Margin of ZD has grown nicely.
- ZD has a better Gross Margin (86.50%) than 86.96% of its industry peers.
- In the last couple of years the Gross Margin of ZD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.25% | ||
| PM (TTM) | 7.62% | ||
| GM | 86.5% |
OM growth 3Y-2.32%
OM growth 5Y11.07%
PM growth 3Y-49.55%
PM growth 5Y-26.37%
GM growth 3Y-0.39%
GM growth 5Y0.85%
2. Health
2.1 Basic Checks
- ZD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for ZD has been reduced compared to 1 year ago.
- ZD has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for ZD has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.73, we must say that ZD is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of ZD (1.73) is better than 62.32% of its industry peers.
- ZD has a debt to FCF ratio of 3.32. This is a good value and a sign of high solvency as ZD would need 3.32 years to pay back of all of its debts.
- With a decent Debt to FCF ratio value of 3.32, ZD is doing good in the industry, outperforming 68.12% of the companies in the same industry.
- A Debt/Equity ratio of 0.48 indicates that ZD is not too dependend on debt financing.
- ZD has a worse Debt to Equity ratio (0.48) than 63.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.32 | ||
| Altman-Z | 1.73 |
ROIC/WACC0.75
WACC5.75%
2.3 Liquidity
- A Current Ratio of 1.61 indicates that ZD should not have too much problems paying its short term obligations.
- ZD's Current ratio of 1.61 is in line compared to the rest of the industry. ZD outperforms 42.03% of its industry peers.
- A Quick Ratio of 1.61 indicates that ZD should not have too much problems paying its short term obligations.
- ZD's Quick ratio of 1.61 is in line compared to the rest of the industry. ZD outperforms 42.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 4.67% over the past year.
- ZD shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.19% yearly.
- The Revenue has been growing slightly by 5.70% in the past year.
- ZD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.94% yearly.
EPS 1Y (TTM)4.67%
EPS 3Y-9.84%
EPS 5Y-1.19%
EPS Q2Q%7.32%
Revenue 1Y (TTM)5.7%
Revenue growth 3Y-0.35%
Revenue growth 5Y5.94%
Sales Q2Q%2.87%
3.2 Future
- ZD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.07% yearly.
- The Revenue is expected to grow by 3.22% on average over the next years.
EPS Next Y4.92%
EPS Next 2Y6.95%
EPS Next 3Y6.07%
EPS Next 5YN/A
Revenue Next Year3.37%
Revenue Next 2Y3.14%
Revenue Next 3Y3.22%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 4.78, the valuation of ZD can be described as very cheap.
- ZD's Price/Earnings ratio is rather cheap when compared to the industry. ZD is cheaper than 91.30% of the companies in the same industry.
- ZD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.09.
- Based on the Price/Forward Earnings ratio of 4.21, the valuation of ZD can be described as very cheap.
- Based on the Price/Forward Earnings ratio, ZD is valued cheaper than 97.10% of the companies in the same industry.
- ZD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.78 | ||
| Fwd PE | 4.21 |
4.2 Price Multiples
- 94.20% of the companies in the same industry are more expensive than ZD, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ZD indicates a rather cheap valuation: ZD is cheaper than 95.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.86 | ||
| EV/EBITDA | 3.69 |
4.3 Compensation for Growth
- ZD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- ZD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.97
PEG (5Y)N/A
EPS Next 2Y6.95%
EPS Next 3Y6.07%
5. Dividend
5.1 Amount
- ZD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NASDAQ:ZD (2/20/2026, 10:31:02 AM)
32.13
+1.67 (+5.48%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-23 2026-02-23/amc
Inst Owners114.92%
Inst Owner ChangeN/A
Ins Owners0.36%
Ins Owner Change0.58%
Market Cap1.27B
Revenue(TTM)1.46B
Net Income(TTM)111.07M
Analysts77.33
Price Target44.3 (37.88%)
Short Float %12.16%
Short Ratio8.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.38%
Min EPS beat(2)-4.25%
Max EPS beat(2)1.49%
EPS beat(4)1
Avg EPS beat(4)-4.72%
Min EPS beat(4)-11.23%
Max EPS beat(4)1.49%
EPS beat(8)3
Avg EPS beat(8)-1.96%
EPS beat(12)5
Avg EPS beat(12)-2.09%
EPS beat(16)8
Avg EPS beat(16)-1.01%
Revenue beat(2)1
Avg Revenue beat(2)-1.29%
Min Revenue beat(2)-3.71%
Max Revenue beat(2)1.14%
Revenue beat(4)1
Avg Revenue beat(4)-2.43%
Min Revenue beat(4)-5.57%
Max Revenue beat(4)1.14%
Revenue beat(8)1
Avg Revenue beat(8)-3.05%
Revenue beat(12)2
Avg Revenue beat(12)-2.68%
Revenue beat(16)2
Avg Revenue beat(16)-3.06%
PT rev (1m)0%
PT rev (3m)-5.93%
EPS NQ rev (1m)0.19%
EPS NQ rev (3m)1.57%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)-0.43%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-2.5%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.78 | ||
| Fwd PE | 4.21 | ||
| P/S | 0.87 | ||
| P/FCF | 4.86 | ||
| P/OCF | 3.39 | ||
| P/B | 0.71 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.69 |
EPS(TTM)6.72
EY20.92%
EPS(NY)7.63
Fwd EY23.75%
FCF(TTM)6.61
FCFY20.58%
OCF(TTM)9.47
OCFY29.49%
SpS36.9
BVpS45.54
TBVpS-4.62
PEG (NY)0.97
PEG (5Y)N/A
Graham Number82.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.19% | ||
| ROE | 6.17% | ||
| ROCE | 6.95% | ||
| ROIC | 4.29% | ||
| ROICexc | 5.24% | ||
| ROICexgc | 40.53% | ||
| OM | 13.25% | ||
| PM (TTM) | 7.62% | ||
| GM | 86.5% | ||
| FCFM | 17.92% |
ROA(3y)1.57%
ROA(5y)4.39%
ROE(3y)3.01%
ROE(5y)9.34%
ROIC(3y)4.24%
ROIC(5y)3.97%
ROICexc(3y)5.44%
ROICexc(5y)5.07%
ROICexgc(3y)37.52%
ROICexgc(5y)N/A
ROCE(3y)6.87%
ROCE(5y)6.44%
ROICexgc growth 3Y-8.29%
ROICexgc growth 5YN/A
ROICexc growth 3Y-1.96%
ROICexc growth 5Y15.52%
OM growth 3Y-2.32%
OM growth 5Y11.07%
PM growth 3Y-49.55%
PM growth 5Y-26.37%
GM growth 3Y-0.39%
GM growth 5Y0.85%
F-Score9
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.32 | ||
| Debt/EBITDA | 2.04 | ||
| Cap/Depr | 49% | ||
| Cap/Sales | 7.76% | ||
| Interest Coverage | 5.58 | ||
| Cash Conversion | 88.29% | ||
| Profit Quality | 235.14% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.61 | ||
| Altman-Z | 1.73 |
F-Score9
WACC5.75%
ROIC/WACC0.75
Cap/Depr(3y)47.23%
Cap/Depr(5y)45.52%
Cap/Sales(3y)7.74%
Cap/Sales(5y)7.9%
Profit Quality(3y)440.1%
Profit Quality(5y)331.37%
High Growth Momentum
Growth
EPS 1Y (TTM)4.67%
EPS 3Y-9.84%
EPS 5Y-1.19%
EPS Q2Q%7.32%
EPS Next Y4.92%
EPS Next 2Y6.95%
EPS Next 3Y6.07%
EPS Next 5YN/A
Revenue 1Y (TTM)5.7%
Revenue growth 3Y-0.35%
Revenue growth 5Y5.94%
Sales Q2Q%2.87%
Revenue Next Year3.37%
Revenue Next 2Y3.14%
Revenue Next 3Y3.22%
Revenue Next 5YN/A
EBIT growth 1Y-3.97%
EBIT growth 3Y-2.66%
EBIT growth 5Y17.66%
EBIT Next Year24.05%
EBIT Next 3Y9.89%
EBIT Next 5YN/A
FCF growth 1Y60.13%
FCF growth 3Y-11.02%
FCF growth 5Y-3.66%
OCF growth 1Y38.09%
OCF growth 3Y-8.91%
OCF growth 5Y-1.1%
ZIFF DAVIS INC / ZD FAQ
What is the ChartMill fundamental rating of ZIFF DAVIS INC (ZD) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ZD.
What is the valuation status for ZD stock?
ChartMill assigns a valuation rating of 9 / 10 to ZIFF DAVIS INC (ZD). This can be considered as Undervalued.
Can you provide the profitability details for ZIFF DAVIS INC?
ZIFF DAVIS INC (ZD) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for ZD stock?
The Price/Earnings (PE) ratio for ZIFF DAVIS INC (ZD) is 4.78 and the Price/Book (PB) ratio is 0.71.
Can you provide the financial health for ZD stock?
The financial health rating of ZIFF DAVIS INC (ZD) is 5 / 10.