Ermenegildo Zegna NV (ZGN) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Ermenegildo Zegna NV stock $8.54, price $14.07, that is 39.3% below the price, quality 51 out of 100. Rating: strongly overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range $6.02 – $15.43 · fair‑value band $5.93 – $10.79 · the $14.07 price screens above the $8.54 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 8, 2026.
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Ermenegildo Zegna N.V., together with its subsidiaries, designs, produces, markets, and distributes luxury menswear and womenwear, children's clothing, footwear, leather goods, and other accessories worldwide.
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It offers luxury leisurewear, such as knitwear, jeans, jersey and shirts, fabric and leather outerwear, and accessories; formalwear, including formal suits to tuxedos, shirts, blazers, formal coats, and accessories; and leather accessories comprising sneakers and other shoes, bags, belts and small leather accessories.
The company is also manufacturing and distributing eyewear, cufflinks and jewelry, beachwear, underwear, and fragrances. In addition, it offers fine jewelry, childrenswear, textile, and home design products. The company sells its products under the ZEGNA, Thom Browne, and TOM FORD FASHION brands.
It serves its products through retail stores and online channels. The company was founded in 1910 and is based in Milan, Italy. Ermenegildo Zegna N.V. operates as a subsidiary of Monterubello Societa' Semplice.
Stock analysis
Ermenegildo Zegna NV (ZGN) currently trades at $14.07, while our model-based Fair Value estimate is $8.54, 39% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth DCF group reads highest at a median of $14.81 per share, and 6 of the 26 models we run sit above the $14.07 price.
Bear case: the Asset-Based group reads lowest at $1.32, and 20 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: $5.93 (bear) to $10.79 (bull), the price of $14.07 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 51/100 (solid quality), in the Consumer Cyclical sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Ermenegildo Zegna NV reported revenue of €1.8B in FY2025 versus €1.3B in FY2021, a compound +9.3%/yr. Reported net income was €94.7M in FY2025.
Key figures
Market cap $3.8B Mid · P/E ratio 40.2 · P/S ratio 1.73 · EPS (TTM) $0.3500 · Dividend yield 0.9% · Net margin 4.0% · Return on equity 8.7% · Return on assets (EBIT) 4.2% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 42 out of 100 (low confidence).
What moves the price
The share trades about 8% below its 52-week high and 64% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at −7% fair-value upside, at −39%, ZGN screens richer than that median.
Fair Value models
Bear$5.93Fair Value $8.54Bull$10.79
Price $14.07 · Downside -39.3%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($0.1966 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Saledi Monte Rubello Edoardo ZegnaCo-CEO of the ZEGNA brand17,037 shares at $13.12$223,525May 8, 2026
Saledi Monte Rubello Angelo ZegnaCo-CEO of the ZEGNA brand1,935 shares at $13.12$25,387May 8, 2026
BuyGianluca Ambrogio TagliabueActing Group CEO47,250 shares at ?May 7, 2026
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.81/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−5.4%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+7.2%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+12.5%
Start year 2020 (pandemic)
Revenue growth 7 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+6.5%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: adjusted.
+7.4%
Earnings growth per share plus dividend.
Earnings per share, growth per year+6.5%
Dividend (yield on the price)0.9%
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.−2% → 9%
Growth Forecast
Little optimism in the price
The price assumes less growth than the company has delivered so far and less than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+2.4%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+8.2%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in EUR, euro area: IMF forecast 2.2% a year to 2030, 2.6% from 2016 to 2025) that is about +0.2% a year for the price and +5.9% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (87 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Neutral
Recent news coverage is roughly neutral, about typical for how stocks are covered.
AI conclusion: Moderate margins and cash conversion offer some stability, yet thin evidence of durable advantages versus peers leaves the business without clear distinguishing signals.
Main risk: The leadership transition risks adding layers of complexity to day-to-day strategy execution across brands in a volatile luxury market, pressuring profitability.
Zegna is shifting to a new leadership setup with Gildo Zegna as executive chairman and a fresh group CEO handling day-to-day strategy starting next year. The move follows uneven half-year results where direct-to-consumer sales expanded but overall profits declined. Our models currently see the stock as overvalued. Will the transition strengthen execution across its brands or add layers of complexity in a volatile luxury market?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Apparel Manufacturing · 213 stocks
Beats the industry median on 5/14 measures
Overall it trails its industry peers.
Valuation
Quality Score51 · Below median
Fair Value upside−39.3% · Below median
Profitability
Return on equity (12 months)8.7% · Above median
Return on assets3.3% · Above median
Net margin (12 months)4.0% · Above median
Operating margin (12 months)7.2% · Above median
Growth and dividend
Revenue growth (quarter YoY)6.4% · Above median
Dividend yield (12 months)0.9% · Bottom 25%
Balance sheet
Debt / equity0.16× · Above median
Valuation Multiplesvs Apparel Manufacturing median · lower = cheaper
P/E (12 months)40.2× · Priciest 25%
P/B3.31× · Priciest 25%
P/S (12 months)1.73× · Pricier than median
Price / free cash flow (fiscal year)14.1× · Pricier than median
EV/EBITDA21.0× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 42
FUTURE (revenue growth)32· sector 14
PAST (return on equity)35· sector 22
HEALTH (low debt)92· sector 98
DIVIDEND (yield)17· sector 64
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is Ermenegildo Zegna NV (ZGN) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of $8.54 versus a price of $14.07, about 39% lower (overvalued).
What is the fair value of ZGN?
Our model-based fair value for Ermenegildo Zegna NV is $8.54 (as of Nov 8, 2026), built from audited fundamentals. The current price: $14.07.
What is the quality score of ZGN?
Ermenegildo Zegna NV has a Quality Score of 51/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Ermenegildo Zegna NV (ZGN)?
Our model-based price target is the fair value of $8.54 (as of Nov 8, 2026) from 26 valuation models. Cautious scenario $5.93, optimistic scenario $10.79. It is a calculation from audited fundamentals, not an analyst target.
What is the Ermenegildo Zegna NV stock forecast for 2026?
Our models put fair value at $8.54, about 39% lower versus a price of $14.07 (overvalued). Cautious scenario $5.93, optimistic scenario $10.79. The calculation is refreshed regularly with new filings.
What is the revenue of Ermenegildo Zegna NV (ZGN)?
Ermenegildo Zegna NV reported trailing-twelve-month revenue of about €2.0B (latest available figure, as of Nov 8, 2026).
Does Ermenegildo Zegna NV pay a dividend?
Ermenegildo Zegna NV currently shows a dividend yield of 0.85% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of Ermenegildo Zegna NV (ZGN) and when is the ex-dividend date?
Ermenegildo Zegna NV pays a dividend of $0.12 per share a year, a dividend yield of 0.9%. The last ex-dividend date was Jul 6, 2026. A dividend has been paid every year since at least 2022. The payout ratio is 24.2% of earnings (on adjusted earnings, reported 30.6%). Free cash flow covers the dividend 8.36 times. Our assessment: Well covered. A low payout and the dividend is fully funded by free cash flow, a comfortable, sustainable dividend.
What growth is priced into Ermenegildo Zegna NV (ZGN)?
For today's price to be fair in a discounted-cash-flow model, Ermenegildo Zegna NV would have to grow free cash flow by +2.4 % per year for five years (discount rate 9.5 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +12.5 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of ZGN use?
Our models discount Ermenegildo Zegna NV at 9.5 %: a base by market capitalisation (mid), damped by beta 0.91, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Ermenegildo Zegna NV that is +2.4 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (9.5 %) and the same formula as our fair value.
How much growth has Ermenegildo Zegna NV (ZGN) delivered so far?
Over the past 5 years revenue at Ermenegildo Zegna NV grew +12.5 % a year. The price currently implies free-cash-flow growth of +2.4 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Ermenegildo Zegna NV (ZGN) growing?
The median revenue growth in the sector is +4.7 % a year. That is the yardstick for the growth priced into Ermenegildo Zegna NV (+2.4 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Ermenegildo Zegna NV (ZGN)?
The free-cash-flow yield on the price is 7.10 %: that much free cash flow Ermenegildo Zegna NV produces per unit of market value. When it exceeds the discount rate of our models (9.5 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Ermenegildo Zegna NV (ZGN)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Ermenegildo Zegna NV it is $8.54 per share (as of Nov 8, 2026), against a price of $14.07. It is the blended result of 26 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is Ermenegildo Zegna NV stock overvalued or undervalued in 2026?
As of Nov 8, 2026, ZGN trades above its calculated fair value: price $14.07, fair value $8.54, a gap of about −39% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of ZGN?
No. The price is what the market pays today ($14.07); the fair value is what the company's own numbers justify ($8.54). For Ermenegildo Zegna NV the two are $5.53 per share apart. That gap is exactly why we show both numbers side by side.
How much is Ermenegildo Zegna NV worth?
The market values Ermenegildo Zegna NV at about $3.8B (market capitalisation, as of Nov 8, 2026). Per share that is $14.07; our models calculate a fair value of $8.54 per share.
What do the bullish and bearish scenarios say about ZGN?
Our models span a range for Ermenegildo Zegna NV: cautious scenario $5.93, base $8.54, optimistic $10.79 per share (as of Nov 8, 2026, price $14.07). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of ZGN?
Ermenegildo Zegna NV trades at a price-to-earnings ratio of 40.2 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $8.54 is built from several models across several years. Excluding one-off items of fiscal year 2025 it is 28.1 (reported for FY2025: 35.5). Other multiples: P/B 3.3, P/S 1.7, EV/EBITDA 21.0.
How solid is the balance sheet of Ermenegildo Zegna NV (ZGN)?
Balance-sheet figures for Ermenegildo Zegna NV (as of Nov 8, 2026): return on equity 8.7%, debt of 0.16 per unit of equity. They feed the Quality Score of 51/100, which measures business quality independently of the share price.
How far is ZGN from its 52-week high?
Ermenegildo Zegna NV trades at $14.07, about 8% below its 52-week high of $15.25 and 64% above the low of $8.60 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $8.54 is for.
Which stocks are comparable to Ermenegildo Zegna NV?
From the same area (Consumer Cyclical) we also value Ralph Lauren Corporation, Moncler S.p.A, LPP SA, Levi Strauss & Co, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Ermenegildo Zegna NV stock attractive at the current price?
The data as of Nov 8, 2026: price $14.07, calculated fair value $8.54 (−39%), Quality Score 51/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of ZGN calculated?
We run Ermenegildo Zegna NV through 26 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $8.54 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.0% above its aggregate fair value. Ermenegildo Zegna NV itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Ermenegildo Zegna NV (ZGN)?
The closing price on Nov 6, 2026 was $14.07. Our model-based fair value is $8.54, about 39% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Ermenegildo Zegna NV right now?
The price sits above even our optimistic bull case ($10.79). The favourable scenario is already priced in. Solid but not exceptional quality (51/100) and above fair value, neither a clear bargain nor a standout compounder. A fairly wide model range ($5.93 to $10.79) leaves room in how you read the outcome.
Key figures of Ermenegildo Zegna NV
How large is the market capitalisation of Ermenegildo Zegna NV (ZGN)?
The market capitalisation of Ermenegildo Zegna NV is $3.8B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Ermenegildo Zegna NV (ZGN)?
The price-to-sales ratio of Ermenegildo Zegna NV is 1.73 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Ermenegildo Zegna NV (ZGN)?
Earnings per share at Ermenegildo Zegna NV are $0.3500 (price ÷ EPS = P/E 40.2). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Ermenegildo Zegna NV (ZGN)?
The dividend yield of Ermenegildo Zegna NV is 0.9% (payout 24.2%, on adjusted earnings, reported 30.6%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Ermenegildo Zegna NV (ZGN)?
The net margin of Ermenegildo Zegna NV is 4.0% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Ermenegildo Zegna NV (ZGN)?
The return on equity (ROE) of Ermenegildo Zegna NV is 8.7% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Ermenegildo Zegna NV (ZGN)?
On an EBIT basis the return on assets of Ermenegildo Zegna NV is 4.2% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Ermenegildo Zegna NV (ZGN)?
The operating margin of Ermenegildo Zegna NV is 7.2% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Ermenegildo Zegna NV (ZGN)?
Revenue at Ermenegildo Zegna NV is growing +6.4% versus a year earlier (3y avg +7.2%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Ermenegildo Zegna NV (ZGN)?
Earnings per share at Ermenegildo Zegna NV are growing −49.2% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Ermenegildo Zegna NV (ZGN) carry?
The net debt of Ermenegildo Zegna NV is €757M (fiscal year 2025, ≈ 3.1 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Nov 8, 2026