Ermenegildo Zegna N.V. (ZGN) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+144.4%

$34.00

vs $13.91 price

Levered DCF

$14.37

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.31

Grey zone

Rating

B-

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	23.58×	25.73×	21.81×	46.56×	-13.76×	-41.85×	106.77×	58.53×
P/B	2.2×	2.19×	3.14×	3.42×	3.12×	3.24×	3.37×	3.28×
P/S	1.23×	1.03×	1.39×	1.56×	1.45×	1.91×	1.76×	1.92×
EV / EBITDA	7.71×	6.95×	8.5×	8.85×	34.9×	17.94×	12.3×	13.54×
Gross margin	55.6%	66.6%	64.3%	62.2%	62.0%	52.7%	58.8%	61.4%
Operating margin	8.5%	8.6%	10.9%	9.9%	-7.3%	-2.2%	6.7%	8.0%
Net margin	5.1%	4.0%	6.4%	3.4%	-10.5%	-5.0%	1.6%	3.2%
Current ratio	1.59×	1.41×	1.27×	1.48×	1.97×	2.31×	2.05×	2.12×
Debt / equity	0.95×	1.13×	1.19×	1.35×	1.77×	1.79×	1.67×	1.9×
Interest coverage	3.68×	4.21×	6.78×	9.22×	-6.76×	-1.38×	4.73×	5.32×
Dividend yield	1.3%	1.5%	0.9%	0.9%	0.0%	0.1%	0.5%	0.6%
Payout ratio	30.9%	39.3%	20.6%	42.4%	-0.1%	-3.4%	58.5%	38.9%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	9.2%	8.4%	14.5%	7.6%	-22.6%	-8.4%	3.2%	5.5%
Return on invested capital	5.3%	5.0%	7.7%	4.9%	-4.7%	-1.1%	1.4%	2.3%
Return on assets	3.3%	2.7%	4.4%	2.1%	-5.5%	-2.1%	0.8%	1.3%
Free cash flow yield	10.7%	7.7%	7.5%	3.1%	10.0%	1.6%	4.9%	5.8%
Earnings yield	4.2%	3.8%	4.6%	2.2%	-7.3%	-2.6%	0.9%	1.7%
Enterprise value	$3B	$2.8B	$3.3B	$3B	$2.5B	$2.7B	$3.3B	$3.4B
Net debt / EBITDA	1.93×	2.01×	1.78×	1.96×	8.54×	5.03×	3.55×	4.4×
Cash conversion cycle (days)	164	206	186	166	165	179	-55	154