Why ZIM Integrated Shipping Services (ZIM) Jumped On Monday

We recently published a list of 10 Stocks Grow Firmer Despite Mixed Market Sentiment. In this article, we are going to take a look at where ZIM Integrated Shipping Services (NYSE:ZIM) stands against other stocks that grow firmer despite mixed market sentiment.

The stock market kicked off the first trading day of the week on a lackluster note, with major indices finishing mixed as it struggled to rebound from Friday’s bloodbath.

The Dow Jones was the sole gainer among the main indices, eking out a 0.08-percent gain. In contrast, the S&P 500 and the tech-heavy Nasdaq both fell 0.50 percent and 1.21 percent, respectively.

Meanwhile, ten companies registered strength, albeit posting only modest gains. This article details the reasons behind their performance.

To come up with Monday’s top gainers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.

A fleet of vessels docking at a busy harbor, signaling the company’s presence in global marine shipping.

ZIM Integrated Shipping Services (NYSE:ZIM)

ZIM Integrated rose for a fourth consecutive day on Monday, adding 4.5 percent to close at $21.85 apiece, with investors buying shares despite the lack of positive catalysts to fuel appetite.

The rally could also be attributed to an early portfolio repositioning ahead of the company’s release of its earnings results for the fourth quarter of the year next month.

In the call, investors will be watching out for ZIM’s business outlook over the next few years, with the focus on any potential impact from the growing trade tensions on its performance in the year ahead, especially following reports over the weekend that Trump administration’s officials are set to slap higher port fees on Chinese shipping vessels, as well as those ships made in China.

ZIM—while based in Israel—buys its new vessels from China. Just recently, ZIM received its 15th and last vessel from the Yangzijiang Shipbuilding Group of China, which it co-owns with Canadian shipping firm Seaspan.

Overall, ZIM ranks 5th on our list of stocks that grow firmer despite mixed market sentiment. While we acknowledge the potential of ZIM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as ZIM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.