Long-established in the Transportation industry, ZIM Integrated Shipping Services Ltd (ZIM, Financial) has enjoyed a stellar reputation. It has recently witnessed a daily gain of 8.18%, juxtaposed with a three-month change of -8.33%. However, fresh insights from the GuruFocus Score Rating hint at potential headwinds. Notably, its diminished rankings in financial strength, growth, and valuation suggest that the company might not live up to its historical performance. Join us as we dive deep into these pivotal metrics to unravel the evolving narrative of ZIM Integrated Shipping Services Ltd.
Decoding the GF Score
The GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation, which has been found to be closely correlated to the long-term performances of stocks by backtesting from 2006 to 2021. The stocks with a higher GF Score generally generate higher returns than those with a lower GF Score. Therefore, when picking stocks, investors should invest in companies with high GF Scores. The GF Score ranges from 0 to 100, with 100 as the highest rank.
- Financial strength rank: 6/10
- Profitability rank: 7/10
- Growth rank: 10/10
- GF Value rank: 2/10
- Momentum rank: 0/10
Based on the above method, GuruFocus assigned ZIM Integrated Shipping Services Ltd the GF Score of 64 out of 100, which signals poor future outperformance potential.
Understanding ZIM Integrated Shipping Services Ltd's Business
ZIM Integrated Shipping Services Ltd is an asset-light container liner shipping company with a market cap of $1.43 billion. It offers tailored services, including land transportation and logistical services, specialized shipping solutions, including the transportation of out-of-gauge cargo, refrigerated cargo, and dangerous and hazardous cargo. Its services include Cargo Services, Digital Services, Schedules, and Shipping Trades and Lines. Geographically, it derives a majority of revenue from the Pacific. The company has reported sales of $8.1 billion with an operating margin of 23.57%.
Next Steps
Despite ZIM Integrated Shipping Services Ltd's financial strength, profitability, and growth metrics, the GuruFocus Score Rating highlights the firm's unparalleled position for potential underperformance. This analysis underscores the importance of a comprehensive understanding of a company's financial health and growth prospects before making investment decisions.
GuruFocus Premium members can find more companies with strong GF Scores using the following screener link: GF Score Screen
