About ZIM Integrated Shipping Services

ZIM Integrated Shipping Services ranks among the top ten container liner shipping companies globally. Established in Israel in 1945, just as World War II concluded, ZIM played a pivotal role in the foundation of the state of Israel by transporting hundreds of thousands of immigrants and essential cargo to the region.

Over the years, ZIM has evolved into a renowned global carrier, known for its innovation and dependability. The company boasts a diverse fleet of over 100 vessels, servicing more than 100 ports worldwide. In 2021, ZIM transported over 3.5 million TEUs (twenty-foot equivalent units) of containers internationally.

ZIM has strategically placed itself as a formidable contender on major trade routes, including Asia-North America, Asia-Mediterranean, and Intra-Asia. The company has also heavily invested in digitalization and prioritizes exceptional customer service. Notably, in 2022, ZIM achieved the top rank for schedule reliability based on its on-time performance.

Embracing emerging technologies like blockchain and big data, ZIM continually enhances its efficiency. Also, The company’s emphasis on agility and digital innovation has consistently yielded profits, even amidst industry challenges. With significant investments on the horizon, ZIM is well-prepared to maintain its top-ten global shipping carrier status in the coming years.

Overall, ZIM’s extensive experience and strategic approach has solidified its position in the global shipping sector. Plus, The company’s upward trajectory also presents an appealing prospect for potential investors.

ZIM Integrated Shipping Services (ZIM) Stock Price History

ZIM commenced trading on the New York Stock Exchange in January 2021 after completing its initial public offering (IPO). The company issued 14,500,000 shares at $15 each, raising close to $220 million in capital.

On its first trading day, January 28, 2021, ZIM’s stock price soared over 30%, opening at $17.75 and closing at $20.94. This robust debut reflected investors’ positive sentiments regarding the shipping company’s future.

Throughout 2021, ZIM’s stock price consistently climbed, reaching an all-time high of $91.23 in October. This remarkable 490% surge from its IPO price was driven by record profits, as global supply chain disruptions caused shipping rates to soar. ZIM adeptly capitalized on this freight market boom.

However, 2022 saw a decline in ZIM’s stock price as shipping rates began to stabilize. The stock dipped to the $40-50 range early in the year and further decreased to below $30 by September 2022. Factors such as rising inflation, concerns of a recession, and global uncertainties affected the stock’s performance.

The downward trend persisted into 2023, with the stock plunging below $20 by March of that year. Currently, the stock hovers around $8.

The company experienced a meteoric rise during the 2021 freight market boom but has since cooled off in line with normalizing industry conditions. Here’s a price history of ZLM on yearly basis since its inception, reflecting the company’s stock performance over the years.

ZIM Stock Earnings

ZIM Integrated Shipping Services has solidified its position as a significant entity in the shipping industry, shown by its robust financial performance in recent years. The company’s market capitalization stands at $1003.82 million, which shows its how big the company is in the shipping sector. In the last 12 months, ZIM reported an impressive revenue of $8.10 billion, with a gross profit of $7.80 billion. This close alignment of revenue and gross profit shows the company’s efficiency in managing operations and cost. Also, the EBITDA, which indicates how healthy the company is financially, is reported at a strong $2.21 billion.

Now, If we look deeper into the earnings per share (EPS), ZIM has an EPS of $10.8, which highlights its capability to provide significant returns for its shareholders. However, it’s worth noting the company’s operating margin is at -12.62%, which indicates that the company is facing challenges to convert its revenue into operational profit. On the brighter side, ZIM’s profit margin stands at a healthy 16.08%, showing its effectiveness to convert a good portion of its revenue into net profit.

Here’s a financial breakdown of company’s revenue, gross profit and EBITDA on a yearly basis. This shows how the company’s financials has seen a consistent growth in the last 4 years.

ZIM Stock Forecast & Price Prediction

According to short-term forecast, ZIM’s stock price will fall to $7.12 by the end of 2023 and then climb to $8.17 by the end of 2024. For long-term forecast, ZIM can rise to $10.23 within the year of 2025, $25.53 in 2030, and a staggering $80.83 by 2050.

ZIM Stock Forecast & Price Prediction 2023

In 2023, ZIM’s stock price is projected to decline to an average of $7.12, with potential highs of $12.05 and lows of $5.07. This suggests a decrease of about 16% from current levels. This can be based on reduced shipping rates and decreasing demand. However, ZIM’s volumes saw a slight increase this year, but reduced average freight rates per unit affected revenue and earnings, leading to decrease in stock price. Well, If the stock price falls to the predicted $7 range, it might be a value opportunity for long-term investors.

ZIM Stock Forecast & Price Prediction 2024

Moving into 2024, the stock shows signs of recovery, but is still in the downward trend. The average price can rise to $8.17, with a high of $15.09 and a low of $6.11, marking a decrease of 5.12%. We believe that challenges such as decreased demand and lower shipping rates can remain in 2024 as well.

ZIM Stock Forecast & Price Prediction 2025 – 2028

For 2025, the stock price forecast suggests an average of $10.23, indicating a potential 19% rise from 2023 levels. Predicted prices range from a low of $7.19 to a high of $20.13. By 2025, the shipping market could stabilize as demand picks up, which can create a more positive environment for ZIM’s profitability. Also, The company’s investments in digital transformation and operational efficiency can help them boost its success on major routes.

This positive trajectory continues through 2028, where the stock is predicted to achieve an average price of $18.41, soaring to $35.33 at its peak, and maintaining a floor of $12.43, reflecting a substantial increase of 115.42%.

ZIM Stock Forecast & Price Prediction 2029 – 2030

By the end of decade, we can ZIM’s stock reaching new heights. By 2029, the average stock price is anticipated to be $22.47, with a potential high of $40.37 and a low of $15.53, marking a growth of 162.49%.

Even in 2030, the momentum continues as ZIM’s stock price can hit an average around $25.53, marking almost 200% growth from 2023. The highest price is projected at $45.41, with the lowest at $18.59. This positive trend can be seen if ZIM’s long-term investments and strategy remains flexible in the ever changing shipping sector.

ZIM Stock Forecast & Price Prediction 2040-2050

If we look at the current financial data and historical performance year-over-year, we think that ZIM’s stock can reach even more bullish phase in the future.

In 2040, the stock can rise to $50.67, with a high of $90.49 and a low of $35.71, which is a whopping 497.91% growth. By 2050, the predictions are even more staggering. The stock is expected to average at $80.83, with potential highs reaching $120.57 and lows at $60.89, which indicates an astronomical growth of 855.27%.

Well, This long-term bullish outlook that we see in the table can depend on ZIM’s strategic expansions, innovations in shipping technology, and a dominant presence in global trade routes.

ZIM Stock : Buy, Sell or Hold?

If you look at ZIM’s potential price over the next decade, you might think whether now is the right moment to buy, sell, or hold the stock.

Based on 7 analyst ratings, ZIM has received 1 Buy rating, 3 Hold ratings, 2 Sell ratings, and 1 Strong Sell rating. Hence, The average rating is 2.57 out of 5. Well, this rating is due to industry challenges the company is facing right now.

But, If you listen to the analysts, Some believe that the stock is undervalued, and promises long-term outlook, while others argue that it might decline further before becoming a buy. So, For current shareholders, it might be advisable to hold onto ZIM stock if they can take high risk and are willing to stay invested for long-term.

However, Selling could be a better option for those who are looking to gain during short term. Because the 2023 forecast doesn’t look good due to rising costs, geopolitical tensions disrupting trade flows, competition from modern fleets, high capital expenditures, and environmental regulations.

ZIM Stock FAQs

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Is ZIM a good long-term investment?

Based on the stock price predictions, ZIM has potential to be a good long-term investment. The forecasted average price shows ZIM stock increasing 198% by 2030 and 855% by 2050 compared to current levels in 2023. However, near-term headwinds through 2023-2024 result in high volatility and risk. So, For investors with a time horizon beyond 5-10 years, ZIM appears in a good position to generate strong returns.

What is the future of ZIM?

The future of ZIM seems bright. In the next five years, the stock is expected to increase around 115%. The average price the stock can reach is around $18. Also, Its operational excellence and focus on leveraging technology will help ZIM to remain among the top 10 global shipping carriers in the long term.

What is the ZIM forecast for 2023?

The 2023 forecast anticipates a drop in ZIM’s stock price by an average of 16% due to declining shipping rates, and sudden drop in demand. According to forecast, the stock price could further fell to $7 by the end of 2023.

Who owns the most ZIM stock?

As of September 2022, Kenneth (Zongjian) Shen holds the largest stake in ZIM stock, owning around 15%. Founder Eli Glickman holds approximately 2.5% of the shares.

How old is ZIM stock?

ZIM has been publicly traded since January 2021 when it debuted its IPO on the NYSE.

How profitable is ZIM?

The company is quite profitable. ZIM has an annual revenue of 13.84 billion, which is an increase of 10.19% from revenue in 2022.

Is ZIM owned by Israel?

Yes, ZIM Integrated Shipping Services was founded in Israel in 1945 and played a major role in the country’s development. Then, In 2004, Israel Corp. acquired it, and now, it is a fully independent public company listed on the NYSE.

Why is ZIM stock priced so low?

ZIM’s valuation appears low due to drop in demand and decline in average freight rates.

Will ZIM recover?

Industry analysts anticipate that ZIM will likely see a recovery in the long term as demand strengthens. According to long-term forecast, the stock could reach around $26, which is around 200% growth.