How did ZBH's Q4 earnings surprise impact investor sentiment?

Zimmer Biomet's (ZBH) Q4 earnings surprise had a mixed impact on investor sentiment, as evidenced by the following:

1. **Revenue Growth Perception**: The expectation of a 3.9% year-over-year revenue growth for Q4, amounting to $2.02 billion, may have initially instilled confidence in investors regarding the company's performance. This anticipated growth could be seen as a positive sign, indicating Zimmer Biomet's ability to expand its market presence and generate higher revenues.
2. **Earnings Per Share (EPS) Expectations**: The projected 4.3% year-over-year increase in EPS, reaching $2.30, might have influenced investor optimism. A higher EPS typically suggests improved profitability and can lead to increased investor confidence.
3. **Actual Earnings Performance**: However, the company's actual Q4 performance fell slightly short of expectations. While revenue exceeded expectations, EPS of $2.30 missed the consensus estimate of $2.35. This slight shortfall could have led to concerns among investors about the company's profitability margins and operational efficiency.
4. **Market Reaction**: The market's reaction to Zimmer Biomet's Q4 earnings report is not explicitly detailed. However, it is likely that the mixed results led to a nuanced response. Investors might have appreciated the revenue growth but expressed concerns over the missed EPS target.

In conclusion, while the anticipated revenue and EPS growth could have been positive catalysts, the slight miss in EPS and the actual earnings figures may have tempered investor enthusiasm. The overall impact would depend on how these factors were weighed against the company's broader strategic goals and market conditions.