Whats the deal with ZIM?


Why is it so undervalued? I've run the numbers over and over again and can't see why the share price shouldn't be at least doubled.

-P/E of 1, peers in industry is at 3

-Been in business for over 80 years

-Monster dividend of like 40%, just announced 10% this QTR

-Declining margins due to decreasing container rates but it should stabilize soon. We are in an over inventory situation and shipping costs are still triple of what they were pre-covid. If economy bounces back freight rates will go back up, probably not crazy like before but still a good sum.

-Lets say container rates continue to drop we're still easily looking at a yearly dividend of 20% for next year. Most companies pay like 4%.

Just bringing the PE back to industry peers will triple this stock…what am i missing here?


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *