In the latest trading session, ZIM Integrated Shipping Services (ZIM) closed at $15.61, marking a -4.82% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 1.11% for the day. Meanwhile, the Dow gained 1.19%, and the Nasdaq, a tech-heavy index, added 1.43%.
Coming into today, shares of the container shipping company had lost 9.14% in the past month. In that same time, the Transportation sector gained 2%, while the S&P 500 gained 3.92%.
The upcoming earnings release of ZIM Integrated Shipping Services will be of great interest to investors. It is anticipated that the company will report an EPS of $1.05, marking a 65.91% fall compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.69 billion, down 12.42% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.22 per share and revenue of $6.71 billion. These totals would mark changes of -87.54% and -20.37%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for ZIM Integrated Shipping Services. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ZIM Integrated Shipping Services is currently a Zacks Rank #3 (Hold).
With respect to valuation, ZIM Integrated Shipping Services is currently being traded at a Forward P/E ratio of 7.38. This signifies a discount in comparison to the average Forward P/E of 9.25 for its industry.
Also, we should mention that ZIM has a PEG ratio of 0.28. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Transportation - Shipping industry currently had an average PEG ratio of 1.02 as of yesterday's close.
The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 70, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
ZIM Integrated Shipping Services Ltd. (ZIM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
