Yahoo Home ZIM Integrated Shipping Services (ZIM) Gains But Lags Market: What You Should Know
ZIM Integrated Shipping Services (ZIM) closed at $24.42 in the latest trading session, marking a +1.37% move from the prior day. This change lagged the S&P 500's 1.63% gain on the day. At the same time, the Dow added 1.07%, and the tech-heavy Nasdaq gained 0.3%.
Prior to today's trading, shares of the container shipping company had lost 0.17% over the past month. This has lagged the Transportation sector's gain of 1.9% and the S&P 500's gain of 2.94% in that time.
Investors will be hoping for strength from ZIM Integrated Shipping Services as it approaches its next earnings release. The company is expected to report EPS of $9.46, down 22.2% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.01 billion, down 4.05% from the year-ago period.
ZIM's full-year Zacks Consensus Estimates are calling for earnings of $37.98 per share and revenue of $12.5 billion. These results would represent year-over-year changes of -2.67% and +16.48%, respectively.
It is also important to note the recent changes to analyst estimates for ZIM Integrated Shipping Services. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 6.56% lower within the past month. ZIM Integrated Shipping Services is currently a Zacks Rank #5 (Strong Sell).
Looking at its valuation, ZIM Integrated Shipping Services is holding a Forward P/E ratio of 0.63. For comparison, its industry has an average Forward P/E of 3.35, which means ZIM Integrated Shipping Services is trading at a discount to the group.
The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 65, putting it in the top 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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