ZIM INTEGRATED SHIPPING SERV (ZIM) Stock Fundamental Analysis
USA - NYSE:ZIM - IL0065100930 - Common Stock
17.01 USD
+0.99 (+6.18%)
17.17 USD
+0.16 (+0.94%)
We assign a fundamental rating of 5 out of 10 to ZIM. ZIM was compared to 35 industry peers in the Marine Transportation industry. ZIM scores excellent on profitability, but there are some minor concerns on its financial health. ZIM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
ZIM had positive earnings in the past year.
In the past year ZIM had a positive cash flow from operations.
Of the past 5 years ZIM 4 years were profitable.
Each year in the past 5 years ZIM had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 18.07%, ZIM belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
Looking at the Return On Equity, with a value of 51.44%, ZIM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 22.14%, ZIM belongs to the best of the industry, outperforming 97.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.07% | ||
| ROE | 51.44% | ||
| ROIC | 22.14% |
ROA(3y)8.76%
ROA(5y)18.36%
ROE(3y)7.27%
ROE(5y)63.37%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ZIM has a Profit Margin of 23.38%. This is amongst the best in the industry. ZIM outperforms 82.86% of its industry peers.
In the last couple of years the Profit Margin of ZIM has declined.
The Operating Margin of ZIM (28.74%) is better than 77.14% of its industry peers.
ZIM's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 32.54%, ZIM is not doing good in the industry: 68.57% of the companies in the same industry are doing better.
ZIM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.74% | ||
| PM (TTM) | 23.38% | ||
| GM | 32.54% |
OM growth 3Y-18.26%
OM growth 5Y53.61%
PM growth 3Y-16.16%
PM growth 5YN/A
GM growth 3Y-16.4%
GM growth 5Y32.89%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ZIM is creating value.
The number of shares outstanding for ZIM remains at a similar level compared to 1 year ago.
ZIM has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ZIM has an improved debt to assets ratio.
2.2 Solvency
ZIM has an Altman-Z score of 2.22. This is not the best score and indicates that ZIM is in the grey zone with still only limited risk for bankruptcy at the moment.
ZIM's Altman-Z score of 2.22 is fine compared to the rest of the industry. ZIM outperforms 77.14% of its industry peers.
ZIM has a debt to FCF ratio of 1.59. This is a very positive value and a sign of high solvency as it would only need 1.59 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.59, ZIM belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
A Debt/Equity ratio of 1.21 is on the high side and indicates that ZIM has dependencies on debt financing.
ZIM has a worse Debt to Equity ratio (1.21) than 80.00% of its industry peers.
Although ZIM does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 1.59 | ||
| Altman-Z | 2.22 |
ROIC/WACC2.42
WACC9.14%
2.3 Liquidity
A Current Ratio of 1.20 indicates that ZIM should not have too much problems paying its short term obligations.
The Current ratio of ZIM (1.20) is worse than 60.00% of its industry peers.
ZIM has a Quick Ratio of 1.11. This is a normal value and indicates that ZIM is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ZIM (1.11) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
ZIM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1834.88%, which is quite impressive.
ZIM shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -22.88% yearly.
The Revenue has grown by 43.57% in the past year. This is a very strong growth!
Measured over the past years, ZIM shows a very strong growth in Revenue. The Revenue has been growing by 20.62% on average per year.
EPS 1Y (TTM)1834.88%
EPS 3Y-22.88%
EPS 5YN/A
EPS Q2Q%-93.83%
Revenue 1Y (TTM)43.57%
Revenue growth 3Y-7.73%
Revenue growth 5Y20.62%
Sales Q2Q%-15.36%
3.2 Future
ZIM is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -29.76% yearly.
ZIM is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -10.71% yearly.
EPS Next Y-84.92%
EPS Next 2Y-49.9%
EPS Next 3Y-29.76%
EPS Next 5YN/A
Revenue Next Year-15.53%
Revenue Next 2Y-15.3%
Revenue Next 3Y-10.71%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 1.02, the valuation of ZIM can be described as very cheap.
ZIM's Price/Earnings ratio is rather cheap when compared to the industry. ZIM is cheaper than 97.14% of the companies in the same industry.
When comparing the Price/Earnings ratio of ZIM to the average of the S&P500 Index (25.56), we can say ZIM is valued rather cheaply.
The Forward Price/Earnings Ratio is negative for ZIM. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.02 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ZIM is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
100.00% of the companies in the same industry are more expensive than ZIM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.55 | ||
| EV/EBITDA | 1.51 |
4.3 Compensation for Growth
ZIM has a very decent profitability rating, which may justify a higher PE ratio.
ZIM's earnings are expected to decrease with -29.76% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-49.9%
EPS Next 3Y-29.76%
5. Dividend
5.1 Amount
ZIM has a Yearly Dividend Yield of 49.49%, which is a nice return.
Compared to an average industry Dividend Yield of 7.86, ZIM pays a better dividend. On top of this ZIM pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, ZIM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 49.49% |
5.2 History
ZIM has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ZIM pays out 51.00% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP51%
EPS Next 2Y-49.9%
EPS Next 3Y-29.76%
17.01
+0.99 (+6.18%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners53.44%
Inst Owner Change-25.68%
Ins Owners1.17%
Ins Owner ChangeN/A
Market Cap2.05B
Revenue(TTM)8.58B
Net Income(TTM)2.00B
Analysts42.67
Price Target13.6 (-20.05%)
Short Float %19.86%
Short Ratio5.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 49.49% |
Yearly Dividend4.81
Dividend Growth(5Y)N/A
DP51%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-23.6%
Min EPS beat(2)-76.76%
Max EPS beat(2)29.56%
EPS beat(4)3
Avg EPS beat(4)7.52%
Min EPS beat(4)-76.76%
Max EPS beat(4)46.04%
EPS beat(8)5
Avg EPS beat(8)3.03%
EPS beat(12)7
Avg EPS beat(12)-1097.29%
EPS beat(16)10
Avg EPS beat(16)-820.85%
Revenue beat(2)1
Avg Revenue beat(2)0.04%
Min Revenue beat(2)-7.17%
Max Revenue beat(2)7.25%
Revenue beat(4)3
Avg Revenue beat(4)4.22%
Min Revenue beat(4)-7.17%
Max Revenue beat(4)12.54%
Revenue beat(8)4
Avg Revenue beat(8)1.28%
Revenue beat(12)6
Avg Revenue beat(12)-0.32%
Revenue beat(16)9
Avg Revenue beat(16)0.64%
PT rev (1m)-3.61%
PT rev (3m)-13.11%
EPS NQ rev (1m)-8.86%
EPS NQ rev (3m)23.96%
EPS NY rev (1m)-10.55%
EPS NY rev (3m)-7.44%
Revenue NQ rev (1m)-0.67%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.02 | ||
| Fwd PE | N/A | ||
| P/S | 0.24 | ||
| P/FCF | 0.55 | ||
| P/OCF | 0.52 | ||
| P/B | 0.53 | ||
| P/tB | 0.54 | ||
| EV/EBITDA | 1.51 |
EPS(TTM)16.64
EY97.82%
EPS(NY)-4.41
Fwd EYN/A
FCF(TTM)30.88
FCFY181.55%
OCF(TTM)32.76
OCFY192.57%
SpS71.19
BVpS32.35
TBVpS31.44
PEG (NY)N/A
PEG (5Y)N/A
Graham Number110.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.07% | ||
| ROE | 51.44% | ||
| ROCE | 28.03% | ||
| ROIC | 22.14% | ||
| ROICexc | 27.73% | ||
| ROICexgc | 28.17% | ||
| OM | 28.74% | ||
| PM (TTM) | 23.38% | ||
| GM | 32.54% | ||
| FCFM | 43.38% |
ROA(3y)8.76%
ROA(5y)18.36%
ROE(3y)7.27%
ROE(5y)63.37%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-39.31%
ROICexgc growth 5Y21.82%
ROICexc growth 3Y-39.21%
ROICexc growth 5Y23.31%
OM growth 3Y-18.26%
OM growth 5Y53.61%
PM growth 3Y-16.16%
PM growth 5YN/A
GM growth 3Y-16.4%
GM growth 5Y32.89%
F-Score7
Asset Turnover0.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 1.59 | ||
| Debt/EBITDA | 1.27 | ||
| Cap/Depr | 18.16% | ||
| Cap/Sales | 2.63% | ||
| Interest Coverage | 5.07 | ||
| Cash Conversion | 106.43% | ||
| Profit Quality | 185.54% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 2.22 |
F-Score7
WACC9.14%
ROIC/WACC2.42
Cap/Depr(3y)17.11%
Cap/Depr(5y)N/A
Cap/Sales(3y)2.51%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1834.88%
EPS 3Y-22.88%
EPS 5YN/A
EPS Q2Q%-93.83%
EPS Next Y-84.92%
EPS Next 2Y-49.9%
EPS Next 3Y-29.76%
EPS Next 5YN/A
Revenue 1Y (TTM)43.57%
Revenue growth 3Y-7.73%
Revenue growth 5Y20.62%
Sales Q2Q%-15.36%
Revenue Next Year-15.53%
Revenue Next 2Y-15.3%
Revenue Next 3Y-10.71%
Revenue Next 5YN/A
EBIT growth 1Y691.65%
EBIT growth 3Y-24.58%
EBIT growth 5Y85.29%
EBIT Next Year-11.28%
EBIT Next 3Y-20.41%
EBIT Next 5YN/A
FCF growth 1Y30.37%
FCF growth 3Y-10.68%
FCF growth 5Y57.03%
OCF growth 1Y21.02%
OCF growth 3Y-14.34%
OCF growth 5Y58.89%
ZIM INTEGRATED SHIPPING SERV / ZIM FAQ
Can you provide the ChartMill fundamental rating for ZIM INTEGRATED SHIPPING SERV?
ChartMill assigns a fundamental rating of 5 / 10 to ZIM.
What is the valuation status of ZIM INTEGRATED SHIPPING SERV (ZIM) stock?
ChartMill assigns a valuation rating of 5 / 10 to ZIM INTEGRATED SHIPPING SERV (ZIM). This can be considered as Fairly Valued.
How profitable is ZIM INTEGRATED SHIPPING SERV (ZIM) stock?
ZIM INTEGRATED SHIPPING SERV (ZIM) has a profitability rating of 7 / 10.
Can you provide the financial health for ZIM stock?
The financial health rating of ZIM INTEGRATED SHIPPING SERV (ZIM) is 5 / 10.
What is the earnings growth outlook for ZIM INTEGRATED SHIPPING SERV?
The Earnings per Share (EPS) of ZIM INTEGRATED SHIPPING SERV (ZIM) is expected to decline by -84.92% in the next year.