In this article, we discuss 5 high dividend stocks with over 12% yield. If you want our detailed analysis of dividend investing and these stocks, go directly to 10 High Dividend Stocks with Over 12% Yield.
5. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)
Dividend Yield: 17.80%
Number of Hedge Fund Holders: 22
On November 17, ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) reported solid Q3 earnings, posting an EPS of $12.16, topping estimates by $2.83. Revenue over the period amounted to $3.14 billion, outperforming estimates by $374.27 million. The stock jumped 10% to $54.93 after the Q3 earnings beat.
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) is a cargo shipping company from Israel, founded in 1945. It is one of the top 20 global carriers, offering multiple services including container shipping, refrigerated cargo, and logistics services worldwide.
The CEO and President of ZIM Integrated Shipping Services Ltd. (NYSE:ZIM), Eli Glickman, announced on November 17 that the company will be paying in December 2021 a $2.50 per share interim dividend for the third quarter, representing approximately 20% of the quarterly net income.
Abrams Bison Investments is one of the leading stakeholders of ZIM Integrated Shipping Services Ltd. (NYSE:ZIM), increasing its stake in the company by 155% in Q3, holding 1.56 million shares worth $79.4 million. Similarly, of the 22 funds that were bullish on ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) by the end of September 2021, prominent stakeholders including Renaissance Technologies, Arrowstreet Capital, and Citadel Investment Group increased their positions in ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) by 399%, 369%, and 178% in the third quarter, respectively.
Here is what Evermore Global Advisors has to say about ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) in its Q2 2021 investor letter:
“ZIM Integrated Shipping Services (ZIM) was the largest contributor to the Fund’s performance during the second quarter. With a market cap of $5.2 billion, ZIM is an Israel-based containership operator that had its initial public offering on the New York Stock Exchange this past January. As a reminder, we discussed ZIM at length in the Q1 2021 quarterly commentary as one of the new investments that we initiated during that period.
There were several notable developments during the second quarter. Given the company’s unique asset light business model and targeted, global niche approach, ZIM continued to generate exceptionally strong cash flows. ZIM ended the period with approximately $1.25 billion in cash and about $915 million in net debt. Due to the strong operational performance, the company further strengthened its balance sheet by redeeming its Series 1 and Series 2 unsecured notes due in 2023. With the early redemption of the unsecured notes, ZIM was no longer subject to certain dividend restrictions, and it declared a special dividend of $2 per share, which will be payable on Sept 15th (goes ex on August 24th). Lastly, management revised its 2021 full year EBITDA guidance from $1.4 – 1.6 billion to $2.5 – $2.7 billion, which was a sizable increase compared to the levels set last March. To that end, we continue to have high conviction in our position in ZIM.”
