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ZIM (ZIM)
NYSE:ZIM

ZIM (ZIM) AI Stock Analysis

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ZIM

ZIM

(NYSE:ZIM)

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Neutral 62 (OpenAI - 5.2)
Rating:62Neutral
Price Target:
$22.50
â–˛(5.34% Upside)
ZIM's overall stock score reflects strong profitability and attractive valuation, offset by technical indicators suggesting overbought conditions and challenges in revenue growth. The company's strategic investments and high dividend yield are positives, but high leverage and market uncertainties pose risks.
Positive Factors
High profit margins and operational efficiency
ZIM’s consistently high gross, EBIT and EBITDA margins signal durable operational efficiency and pricing power within its network. Strong margins support robust cash generation and dividend capacity, providing a cushion during cyclical downturns and funding for fleet and network investments over the medium term.
Strong cash conversion and liquidity
Healthy operating cash flow conversion and near-par free cash flow conversion indicate durable cash generation that funds dividends, debt service and capex. Combined with stated $3bn liquidity, this gives ZIM flexibility to invest in modernizing the fleet and to withstand trade-cycle volatility over the coming months.
Fleet modernization and route diversification
Investing in newbuild and LNG‑capable vessels improves fuel efficiency, regulatory alignment and long-term unit economics. Simultaneous route diversification into Southeast Asia and Latin America reduces dependence on transpacific volumes, lowering concentration risk and enabling capture of evolving trade flows over a multi‑quarter horizon.
Negative Factors
Elevated leverage on the balance sheet
A debt/equity ratio near 1.5 increases financial vulnerability if freight rates and revenues remain weak. Higher leverage raises interest and refinancing risk, constrains strategic optionality for M&A or buybacks, and reduces resilience to prolonged industry downturns absent deleveraging or materially stronger cash flow.
Sustained revenue and freight rate declines
Substantial year‑over‑year revenue and freight rate declines reflect structural demand and pricing pressure. If persistent, they shrink scale economics and compress future cash flow generation, forcing tighter capacity discipline or structural cost reductions to preserve margins and sustain investment and dividend policies.
Industry overcapacity risk from large orderbook
A 31% orderbook amid modest scrapping points to meaningful incremental capacity that can depress freight rates and utilization. Persistent overcapacity pressures pricing power across the sector, creating a multi‑quarter headwind to revenue and requiring careful fleet deployment and potential costly idling decisions to protect long‑term margins.

ZIM (ZIM) vs. SPDR S&P 500 ETF (SPY)

ZIM Business Overview & Revenue Model

Company DescriptionZIM Integrated Shipping Services Ltd., together with its subsidiaries, provides container shipping and related services in Israel and internationally. It provides door-to-door and port-to-port transportation services for various types of customers, including end-users, consolidators, and freight forwarders. The company also offers ZIMonitor, a premium reefer cargo tracking service. As of December 31, 2021, it operated a fleet of 118 vessels, which included 110 container vessels and 8 vehicle transport vessels, of which four vessels were owned by it and 114 vessels are chartered-in; and network of 70 weekly lines. The company was incorporated in 1945 and is headquartered in Haifa, Israel.
How the Company Makes MoneyZIM generates revenue primarily through its container shipping operations, where it charges customers for the transportation of goods across various trade routes. This revenue model includes freight charges for containerized cargo, which vary based on factors such as distance, cargo type, and shipping conditions. Additionally, ZIM earns money through ancillary services, including logistics and supply chain solutions that complement its shipping operations. Key revenue streams include long-term contracts with major shipping lines and freight forwarders, spot market shipping rates, and partnerships with ports and terminals for cargo handling. The company also benefits from fluctuating freight rates, which can significantly impact its profitability, especially during periods of high demand in the shipping industry.

ZIM Earnings Call Summary

Earnings Call Date:Nov 20, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Mar 18, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted solid Q3 financial results and strategic investments in fleet modernization and route diversification. However, there are significant challenges due to declining revenues, freight rates, and a weaker fourth quarter forecast amid ongoing global trade uncertainties.
Q3-2025 Updates
Positive Updates
Solid Q3 Financial Performance
ZIM reported Q3 2025 revenue of $1.8 billion and a net income of $123 million. Adjusted EBITDA was $593 million with a margin of 33%, and adjusted EBIT was $260 million with a margin of 15%.
Dividend Distribution
Declared a dividend of $0.31 per share, amounting to approximately $37 million, representing 30% of third-quarter net income. Throughout 2025, ZIM distributed a total dividend of $9.09 per share, totaling approximately $1.1 billion.
Strategic Fleet Management
ZIM continues to invest in its fleet with a new charter agreement for 10, 11,500 TEU LNG dual-fuel vessels scheduled for delivery in 2027 and 2028. Currently, 60% of their capacity is new build, and 40% is LNG-powered.
Route Diversification
ZIM is expanding its presence in Southeast Asia and Latin America to capture new trade flows and offset reductions in transpacific cargo from China to the US.
Negative Updates
Decline in Revenue and Freight Rates
Q3 2025 revenues were down 36% compared to last year, with an average freight rate per TEU decreasing from $2,480 to $1,602.
Weaker Fourth Quarter Forecast
The fourth quarter is trending weaker than originally projected. This is due to continued pressure on freight rates and a cautious outlook on market fundamentals.
Challenges in Global Trade
Growth in supply is expected to outpace demand, with a global container volume growth forecast of about 4%. The order book for new capacity stands at 31%, and scrapping has been minimal.
Company Guidance
During the third quarter of 2025, ZIM Integrated Shipping Services Ltd. reported revenue of $1.8 billion and a net income of $123 million. The company achieved an adjusted EBITDA of $593 million, reflecting an EBITDA margin of 33%, and an adjusted EBIT of $260 million, with an EBIT margin of 15%. Despite a volatile market, ZIM maintained total liquidity of $3 billion as of September 30, 2025, and declared a dividend of 31¢ per share, totaling approximately $37 million, representing 30% of its third-quarter net income. For the full year, ZIM refined its guidance, expecting adjusted EBITDA between $2 billion to $2.2 billion and adjusted EBIT between $700 million and $900 million, based on performance through the first nine months of the year.

ZIM Financial Statement Overview

Summary
ZIM demonstrates strong profitability and cash generation capabilities, despite facing revenue growth challenges. The company's leverage is relatively high, which could be a risk factor in uncertain market conditions. However, the solid margins and cash flow ratios suggest resilience and operational efficiency.
Income Statement
65
Positive
ZIM's income statement shows a mixed performance. The TTM data reveals a decline in revenue growth rate by 11.52%, indicating a challenging market environment. However, the company maintains strong profitability with a gross profit margin of 32.54% and a net profit margin of 23.37%. EBIT and EBITDA margins are also robust at 31.02% and 45.51%, respectively, showcasing operational efficiency. Despite the revenue decline, the company remains profitable, which is a positive indicator.
Balance Sheet
55
Neutral
The balance sheet reflects a moderate financial position. The debt-to-equity ratio stands at 1.52, indicating a relatively high level of leverage, which could pose risks in a volatile market. Return on equity is strong at 50.68%, suggesting effective use of equity to generate profits. However, the equity ratio is moderate, highlighting a balanced asset structure but with potential leverage concerns.
Cash Flow
60
Neutral
Cash flow analysis shows a decline in free cash flow growth by 25.41% in the TTM period, which is concerning. However, the operating cash flow to net income ratio is healthy at 1.71, indicating good cash generation relative to net income. The free cash flow to net income ratio is also strong at 0.94, reflecting efficient cash conversion. Despite the decline in growth, cash flow metrics remain solid.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.59B8.43B5.16B12.56B10.73B3.99B
Gross Profit1.80B2.77B-194.70M6.40B6.04B842.49M
EBITDA2.99B3.82B-955.10M7.65B6.60B1.00B
Net Income1.00B2.15B-2.70B4.62B4.64B517.96M
Balance Sheet
Total Assets10.87B11.39B8.35B11.63B9.84B2.82B
Cash, Cash Equivalents and Short-Term Investments1.95B2.12B1.80B3.26B3.69B629.39M
Total Debt5.66B6.02B5.01B4.35B3.32B1.83B
Total Liabilities6.85B7.35B5.89B5.73B5.24B2.55B
Stockholders Equity4.02B4.04B2.45B5.89B4.59B267.27M
Cash Flow
Free Cash Flow2.83B3.54B904.30M5.76B4.97B838.10M
Operating Cash Flow3.08B3.75B1.02B6.11B5.97B880.80M
Investing Cash Flow-276.10M-223.20M1.78B-1.65B-3.34B-35.20M
Financing Cash Flow-3.05B-3.13B-2.89B-4.98B-1.65B-460.40M

ZIM Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price21.36
Price Trends
50DMA
19.33
Positive
100DMA
16.52
Positive
200DMA
15.89
Positive
Market Momentum
MACD
0.86
Positive
RSI
52.10
Neutral
STOCH
44.23
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZIM, the sentiment is Neutral. The current price of 21.36 is below the 20-day moving average (MA) of 21.46, above the 50-day MA of 19.33, and above the 200-day MA of 15.89, indicating a neutral trend. The MACD of 0.86 indicates Positive momentum. The RSI at 52.10 is Neutral, neither overbought nor oversold. The STOCH value of 44.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ZIM.

ZIM Risk Analysis

ZIM disclosed 55 risk factors in its most recent earnings report. ZIM reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

ZIM Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$1.82B3.9713.16%3.64%3.82%-13.73%
81
Outperform
$1.29B3.2426.18%6.16%7.13%23.37%
76
Outperform
$1.87B6.1914.98%2.94%-29.82%-16.77%
76
Outperform
$1.60B6.348.36%0.39%-1.33%-33.66%
67
Neutral
$2.33B38.792.50%1.59%-13.87%-82.48%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
$2.57B2.5725.25%20.35%1.63%-30.30%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ZIM
ZIM
21.36
8.55
66.71%
CMRE
Costamare
15.51
6.79
77.89%
DAC
Danaos
99.36
25.11
33.82%
GSL
Global Ship Lease
35.24
15.49
78.43%
NMM
Navios Maritime Partners
55.43
13.15
31.10%
SBLK
Star Bulk Carriers
20.37
5.94
41.16%

ZIM Corporate Events

ZIM Shareholders Approve Board and Auditor but Reject New Pay Policy
Jan 5, 2026

At an annual and extraordinary general shareholders’ meeting held on December 26, 2025 and adjourned to January 2, 2026, ZIM Integrated Shipping Services shareholders approved a refreshed slate of directors and re-appointed Somekh Chaikin, an affiliate of KPMG, as the company’s independent auditor through the next annual general meeting. However, investors voted down a proposed new three-year compensation policy for the company’s directors and officers, signaling resistance to changes in executive and board pay structures and underscoring ongoing shareholder scrutiny of governance and remuneration at the container shipping group.

The most recent analyst rating on (ZIM) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Adjourns Shareholders’ Meeting After Failing to Reach Quorum
Dec 29, 2025

On December 26, 2025, ZIM Integrated Shipping Services Ltd. held its annual and extraordinary shareholders’ meeting at its Haifa headquarters, with shareholders representing 38,120,799 shares, or 31.65% of its outstanding ordinary shares, in attendance. Because this participation fell short of the 33.333% quorum required under its articles of association, the company has scheduled an adjourned shareholders’ meeting for January 2, 2026, at its offices in Haifa, where the originally planned business will proceed, and where a single shareholder present in person or by proxy will be sufficient to constitute a quorum under the company’s governing rules; shareholders of record as of November 17, 2025 may vote at the adjourned meeting if their proxies are received by the company by the stated deadline.

The most recent analyst rating on (ZIM) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Board Advances Strategic Review, Rejects CEO-Led Takeover Bid
Dec 22, 2025

On December 22, 2025, ZIM Integrated Shipping Services announced that its board is in advanced stages of a strategic review, having received multiple competitive proposals from strategic parties to acquire all outstanding ordinary shares, as it weighs options including a potential sale of the company and other capital allocation and return alternatives aimed at maximizing shareholder value. The board also disclosed that it had declined a revised, management-led takeover proposal from an entity owned by CEO and President Eli Glickman and Rami Ungar, saying the offer significantly undervalued the company, and emphasized that there is no assurance any transaction will result from the review and that no further updates are planned unless a deal is reached or the process concludes.

The most recent analyst rating on (ZIM) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Reaches Agreement with Shareholders Ahead of Annual Meeting
Dec 17, 2025

On December 16, 2025, ZIM Integrated Shipping Services Ltd. announced a collaborative agreement with a shareholder group to present a unified slate of ten director nominees in its Board of Directors ahead of the Annual General Meeting on December 26, 2025. This resolution ended a proxy contest, with the shareholder group expressing full confidence in the Board’s strategic direction. The agreement reflects a strengthened alignment between ZIM’s Board and its stakeholders, allowing the company to focus on its ongoing strategic review and enhancing shareholder value.

The most recent analyst rating on (ZIM) stock is a Sell with a $8.70 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Secures Proxy Advisor Support Ahead of Key Shareholder Vote
Dec 15, 2025

On December 14, 2025, ZIM Integrated Shipping Services Ltd. announced that leading proxy advisory firm Glass Lewis recommended shareholders vote for ZIM’s director nominees and against dissident nominees at the upcoming Annual General Meeting on December 26, 2025. This endorsement follows a similar recommendation from Institutional Shareholder Services, reinforcing the board’s independent and disciplined strategic review process. The board’s approach, supported by external advisors, excludes management from evaluating strategic alternatives, ensuring alignment with shareholder interests. The dissident group’s campaign, based on unsubstantiated allegations, failed to present a compelling case for board change, according to Glass Lewis.

The most recent analyst rating on (ZIM) stock is a Sell with a $8.70 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Faces Shareholder Unrest Over Alleged Undervaluation and Management Buyout
Dec 10, 2025

ZIM Integrated Shipping Services Ltd. is facing significant shareholder unrest ahead of its annual and extraordinary general meeting scheduled for December 26, 2025. A group of shareholders, holding over 8% of the company’s shares, has submitted a position statement expressing concerns over a perceived undervaluation of the company’s shares compared to its asset value and cash reserves. The shareholders allege that the company’s management, led by CEO Eli Glickman, is attempting a management buyout at a price below the company’s true value, raising concerns of conflicts of interest and lack of transparency. They are calling for changes in the board of directors to include independent members to safeguard shareholder interests and maximize shareholder value.

The most recent analyst rating on (ZIM) stock is a Sell with a $8.70 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Board Highlights Strong Performance Amidst Proxy Battle
Dec 9, 2025

On December 9, 2025, ZIM Integrated Shipping Services Ltd. released a presentation and a letter to shareholders emphasizing its strong performance and strategic review process amidst a proxy fight led by dissident shareholders. The Board of Directors urged shareholders to support their nominees in the upcoming meeting, highlighting ZIM’s operational transformation and financial achievements since its IPO. The Board is conducting a strategic review to explore value-maximizing opportunities, having already rejected an undervalued buyout proposal from management. The review is independent, with multiple parties expressing interest, and aims to enhance shareholder value.

The most recent analyst rating on (ZIM) stock is a Sell with a $8.70 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ISS Endorses ZIM’s Director Nominees Ahead of Annual Meeting
Dec 8, 2025

On December 8, 2025, ZIM Integrated Shipping Services Ltd. announced that Institutional Shareholder Services (ISS), a leading proxy advisory firm, recommended shareholders vote in favor of all eight of ZIM’s director nominees and against the three nominees proposed by dissident shareholders for the upcoming Annual Meeting on December 26, 2025. This endorsement by ISS underscores the strength of ZIM’s current board, which has been credited with delivering strong shareholder returns, modernizing the fleet, and maintaining a robust balance sheet. The recommendation is seen as a validation of ZIM’s strategic direction and governance, urging shareholders to protect their investment by supporting the company’s nominees.

The most recent analyst rating on (ZIM) stock is a Sell with a $8.70 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Announces Reduced Withholding Tax on December 2025 Dividend
Dec 1, 2025

On December 1, 2025, ZIM Integrated Shipping Services Ltd. announced updates regarding the withholding tax procedures for its upcoming dividend distribution scheduled for December 8, 2025. The company has obtained a tax ruling from the Israeli Tax Authority, allowing certain shareholders to benefit from a reduced Israeli withholding tax rate on their dividends. This announcement is significant as it impacts the financial returns for eligible shareholders and reflects ZIM’s efforts to optimize tax efficiency for its investors.

The most recent analyst rating on (ZIM) stock is a Sell with a $8.70 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Enhances Shareholder Voting Options for December 2025 Meeting
Nov 25, 2025

ZIM Integrated Shipping Services Ltd. announced that shareholders can now vote via internet and phone for the upcoming Annual and Extraordinary Shareholders’ Meeting scheduled for December 26, 2025. This update, filed with the U.S. Securities and Exchange Commission, aims to facilitate shareholder participation and streamline the voting process, potentially impacting shareholder engagement and decision-making efficiency.

The most recent analyst rating on (ZIM) stock is a Sell with a $13.30 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Announces Strategic Review Amid Acquisition Proposal
Nov 25, 2025

On November 25, 2025, ZIM Integrated Shipping Services Ltd. announced that its Board of Directors is conducting an ongoing strategic review process following a preliminary, non-binding acquisition proposal from CEO Eli Glickman and Rami Ungar. The review, which has been in progress for several months, aims to explore value creation alternatives, including a potential sale of the company, to maximize shareholder value. The Board has engaged Evercore as its financial advisor and legal counsel from Meitar Law Offices and Skadden, Arps, Slate, Meagher & Flom LLP. Additionally, the Board has welcomed two new independent directors, Yair Avidan and Dr. Yoram Turbowicz, to enhance its financial and transactional expertise.

The most recent analyst rating on (ZIM) stock is a Sell with a $13.30 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Reports Q3 2025 Financial Results Amid Market Challenges
Nov 20, 2025

On November 20, 2025, ZIM Integrated Shipping Services Ltd. announced its financial results for the third quarter of 2025, reporting revenues of $1.78 billion and a net income of $123 million. Despite a challenging market environment characterized by geopolitical tensions and fluctuating tariffs, ZIM demonstrated resilience with a strategic focus on cost-effective fleet management and market diversification. The company declared a dividend of $37 million, reflecting its commitment to shareholder returns, and adjusted its full-year guidance upwards, anticipating adjusted EBITDA between $2.0 billion and $2.2 billion. CEO Eli Glickman emphasized ZIM’s ability to navigate market volatility and its strategic initiatives to ensure long-term growth and value for shareholders.

The most recent analyst rating on (ZIM) stock is a Hold with a $18.50 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Announces Board Changes with New Appointments
Nov 19, 2025

On November 17, 2025, ZIM Integrated Shipping Services Ltd. announced the resignation of two board members, Mr. Yair Caspi and Mr. Yoav Sebba, effective immediately. Subsequently, on November 19, 2025, the company appointed Mr. Yoram Turbowitcz and Mr. Yair Avidan as new board members, with plans to recommend their re-election at the upcoming annual shareholders’ meeting in December 2025. These appointments bring significant experience in regulatory and financial sectors, potentially strengthening ZIM’s strategic positioning and governance.

The most recent analyst rating on (ZIM) stock is a Hold with a $18.50 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

ZIM Announces Upcoming Shareholder Meeting on December 19, 2025
Nov 6, 2025

ZIM Integrated Shipping Services Ltd. announced that it will hold its annual and extraordinary general meeting of shareholders on December 19, 2025, in Haifa, Israel. During this meeting, shareholders will vote on the re-election of board members, the re-appointment of auditors, and a new compensation policy for directors and officers. The outcomes of these votes could impact the company’s governance and operational strategies moving forward.

The most recent analyst rating on (ZIM) stock is a Hold with a $15.50 price target. To see the full list of analyst forecasts on ZIM stock, see the ZIM Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 26, 2025