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ZIM Integrated Shipping Services (ZIM) Rises Yet Lags Behind Market: Some Facts Worth Knowing

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ZIM Integrated Shipping Services (ZIM - Free Report) closed the latest trading day at $18.11, indicating a +0.28% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 0.36%. Elsewhere, the Dow saw a downswing of 0.28%, while the tech-heavy Nasdaq appreciated by 0.51%.

Shares of the container shipping company witnessed a loss of 12.84% over the previous month, trailing the performance of the Transportation sector with its gain of 4.72% and the S&P 500's gain of 2.11%.

The upcoming earnings release of ZIM Integrated Shipping Services will be of great interest to investors. The company is forecasted to report an EPS of $3.47, showcasing a 382.11% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $2.09 billion, up 73.06% from the year-ago period.

Investors should also take note of any recent adjustments to analyst estimates for ZIM Integrated Shipping Services. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 4.88% decrease. ZIM Integrated Shipping Services presently features a Zacks Rank of #3 (Hold).

Investors should also note ZIM Integrated Shipping Services's current valuation metrics, including its Forward P/E ratio of 6.05. Its industry sports an average Forward P/E of 8.94, so one might conclude that ZIM Integrated Shipping Services is trading at a discount comparatively.

One should further note that ZIM currently holds a PEG ratio of 0.23. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Transportation - Shipping industry had an average PEG ratio of 1.48.

The Transportation - Shipping industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 237, finds itself in the bottom 6% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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