ZIM Integrated Shipping Services (NYSE:ZIM) Shares Gap Up - Should You Buy?

Key Points

• ZIM Integrated Shipping Services shares opened at $14.89 after closing at $13.63, reflecting a notable price increase of approximately 9.2% before trading at $14.77.
• Analysts have downgraded the stock's ratings, with Barclays lowering its target price to $13.30, and a consensus rating of "Strong Sell" with a price target of $14.58.
• The company reported a significant earnings miss for the last quarter, with earnings of $0.19 per share against an estimate of $1.50, indicating underlying financial challenges.

ZIM Integrated Shipping Services Ltd. (NYSE:ZIM - Get Free Report)'s share price gapped up before the market opened on Monday . The stock had previously closed at $13.63, but opened at $14.89. ZIM Integrated Shipping Services shares last traded at $14.77, with a volume of 2,345,650 shares trading hands.

Wall Street Analyst Weigh In

Several brokerages recently commented on ZIM. Citigroup restated a "sell" rating on shares of ZIM Integrated Shipping Services in a research report on Monday, August 11th. Barclays cut their price target on ZIM Integrated Shipping Services from $14.80 to $13.30 and set an "underweight" rating on the stock in a report on Thursday, August 28th. JPMorgan Chase & Co. increased their target price on shares of ZIM Integrated Shipping Services from $9.50 to $9.80 and gave the stock an "underweight" rating in a research note on Friday, August 22nd. Wall Street Zen lowered shares of ZIM Integrated Shipping Services from a "hold" rating to a "sell" rating in a research note on Friday, August 22nd. Finally, Jefferies Financial Group reissued a "hold" rating and set a $17.00 price objective on shares of ZIM Integrated Shipping Services in a research report on Wednesday, August 20th. Two investment analysts have rated the stock with a Hold rating and five have issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Strong Sell" and an average target price of $14.58.

ZIM Integrated Shipping Services Stock Performance

The firm has a market cap of $1.73 billion, a P/E ratio of 0.86, a PEG ratio of 0.17 and a beta of 1.74. The company has a current ratio of 1.20, a quick ratio of 1.11 and a debt-to-equity ratio of 1.20. The company's 50-day moving average is $15.20 and its two-hundred day moving average is $15.85.

ZIM Integrated Shipping Services (NYSE:ZIM - Get Free Report) last posted its earnings results on Wednesday, August 20th. The company reported $0.19 earnings per share for the quarter, missing analysts' consensus estimates of $1.50 by ($1.31). ZIM Integrated Shipping Services had a net margin of 23.37% and a return on equity of 50.61%. The company had revenue of $1.64 billion during the quarter, compared to the consensus estimate of $1.84 billion. As a group, equities analysts predict that ZIM Integrated Shipping Services Ltd. will post 16.75 EPS for the current fiscal year.

ZIM Integrated Shipping Services Cuts Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 9th. Shareholders of record on Tuesday, September 2nd were paid a dividend of $0.06 per share. The ex-dividend date was Tuesday, September 2nd. This represents a $0.24 annualized dividend and a yield of 1.7%. ZIM Integrated Shipping Services's dividend payout ratio (DPR) is 1.44%.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in ZIM. Goldman Sachs Group Inc. lifted its position in shares of ZIM Integrated Shipping Services by 20.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 4,720,986 shares of the company's stock worth $68,879,000 after buying an additional 788,514 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its position in shares of ZIM Integrated Shipping Services by 134.9% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 4,368,287 shares of the company's stock worth $70,286,000 after buying an additional 2,508,432 shares in the last quarter. American Century Companies Inc. lifted its holdings in ZIM Integrated Shipping Services by 15.4% during the second quarter. American Century Companies Inc. now owns 2,632,099 shares of the company's stock worth $42,350,000 after acquiring an additional 351,810 shares during the period. Allianz Asset Management GmbH lifted its holdings in ZIM Integrated Shipping Services by 10.8% during the second quarter. Allianz Asset Management GmbH now owns 1,546,383 shares of the company's stock worth $24,881,000 after acquiring an additional 150,841 shares during the period. Finally, Jump Financial LLC lifted its holdings in ZIM Integrated Shipping Services by 204.0% during the second quarter. Jump Financial LLC now owns 1,536,092 shares of the company's stock worth $24,716,000 after acquiring an additional 1,030,817 shares during the period. 21.42% of the stock is owned by institutional investors.

ZIM Integrated Shipping Services Company Profile

ZIM Integrated Shipping Services Ltd., together with its subsidiaries, provides container shipping and related services in Israel and internationally. It provides door-to-door and port-to-port transportation services for various types of customers, including end-users, consolidators, and freight forwarders.