ZIM Integrated Shipping Services Ltd. ($ZIM) Earnings (Q4 FY21)

 ZIM Integrated Shipping Services Ltd. ($ZIM) Earnings and Opinion:


ZIM Integrated Shipping Services Ltd. is a company in the Industrials sector and operates in the Marine Shipping industry. The company provides shipping containers and services in Israel, as well as Internationally. ZIM was founded in 1945 and is currently headquartered in Haifa, Israel. The company has been traded on the stock market since the beginning of 2021. 

ZIM Integrated Shipping Services Ltd. EPS and Revenue (Q4 FY21):

  • EPS of $14.17 beating expectations of $13.65
  • Revenue of $3.47B beating expectations of $3.44B
  • EPS was up 306% (YOY) and Revenue was up 155% (YOY)
ZIM Integrated Shipping Services Ltd. EPS and Revenue (FY21):
  • EPS of $39.02 beating expectations of $38.28
  • Revenue of $10.73B beating expectations of $10.65B
  • EPS was up 687% (YOY) and Revenue was up 169% (YOY)
ZIM Integrated Shipping Services Ltd. Dividends:
  • Declared a dividend of $17.00 per share which makes up 50% of Net Income
  • Dividends are expected to be distributed on a quarterly basis and should make up 20% of the Net Income for that respected quarter
Opinion:
ZIM Integrated Shipping Services Ltd. is currently trading 5% higher after reporting earnings before the opening bell today. ZIM is a fairly new company to the stock market and has seen phenomenal gains in its short life on the stock market. They backed up their strong business with record earnings numbers reported in this quarter. EPS saw absurd gains on a year-over-year basis and the revenues saw over 100% gains on a year-over-year basis. These numbers are very intriguing for an Investor. However, I think a lot of this had to do with the supply chain. With supply chain disruptions, a company like ZIM who transports the goods were able to up-charge the heck out of companies to move their products. This is the main reason for these record revenue numbers. If prices fall back down to earth, I can see this company return to normal revenue numbers and EPS numbers. I personally do not hold a position in this company, but it would've been nice to hop on in the beginning and get a pretty nice return. I think this could be a company to watch, especially because it pays such a high dividend yield. This could also be a red flag, because the yield is so high. However, according to the company, they have the net income to cover it, as well as some net income to invest back in the business. I think this is a great stock with some upside for sure, I just have no idea how the supply chain will affect this business when it returns to normalcy.  


*Information from ZIM and Yahoo Finance
*Estimates from Zacks


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