Is ZIM a Good Dividend Stock? (84% Dividend Yield)



Probably the number one most requested stock people have been requesting I go over is ZIM Integrated Shipping, ticker symbol ZIM. This stock currently offers investors an insane 84.53% dividend according to Google Finance. This would probably make it the highest yielding investment out there according to these stock platforms. Currently going for a price of $32.06, in the first quarter of this year ZIM paid a quarterly dividend of $17 per share which is pretty insane for any kind of dividend paying stock or fund. So I figured this would be a good opportunity to look into this stock and see if ZIM’s a good dividend stock to buy and hold and can we expect these massive dividend payments going forward.

#dividendinvesting #dividends #dividendstocks

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45 thoughts on “Is ZIM a Good Dividend Stock? (84% Dividend Yield)”

  1. I think I might pick up this stock a bit and expect 0 dividend but when i get one ill use it as a treat. whether to go on vacation or just pick up some goods i couldn't rationalize before.

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  2. I agree in part. The $17 dividend should not be considered as a reflection of future dividends. BUT a $2/qtr ot $8/yr dividend is reasonable. That's either a ~24% before taxes or ~20% after taxes yield at current market prices. Pretty damn good.
    On a humorous note, the day of the last X-dividend date the stock price dropped by the amount of the dividend. Yes, that happens all the time, but with the lower prices and still high dividend it was easy to see this time. This was two days before the Powell Effect added to the overall downer for the markets.
    David

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  3. If you look at the other payouts, they were $2, $2.50, $2.85, and $4.75. The $17 payment was a one-off.

    If you go off the other payments, it's more like 22% ($2 payout) – 51% ($4.75 payout).

    Which is still pretty dang high. But not the purported "80%"+… Still, if it keeps up at the $2-$4/quarter payout level, it seems like it's still potentially a pretty good deal as long as the price doesn't go up too much, or the dividend doesn't get cut too much (due to seasonal or cyclical issues in the industry).

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  4. I will forever be in_depted😇 to you Ms Lydia Robinson you've changed my life. I'll continue to preach about your name for the world to hear, you've saved me from a huge financial debt with just little investment, thanks Ms Lydia Robinson🇺🇸🇺🇸

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  5. I’m 65 and semi-retired, having amassed about $850,000 myself with a lot of risky small caps,’ tech stocks, and some ETFs but I recently lost 20% of it. Do I pull out now or stay put, knowing that downturns can actually be a fantastic opportunity to invest/gain.

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  6. DB failed to mention the additional ships they are buying specifically LNG Tankers and a 10-year contract with Shell to transport natural gas. With the European energy crisis, they will make bank. I'm bullish on ZIM.

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  7. I been holding ZIM for a while now, and the strategy has been buy half way before dividend and sell as soon i get confirmation that I'm getting paid. Because the price pick up in mid way and falls soon after dividend payment. I like the fundamentals, but is one company that need to keep the eye constantly because of his cyclical nature..

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  8. Amazing video! I would not recommend ZIM because it is related to logistics and as we all know logistics worldwide aren't really in the best shape! But that is for everyone to decide! Please keep up the good work!

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  9. Saying that the dividend has been cut significantly since the $17.00 per share dividend is incredibly surface level analysis. The following 2 dividends have been higher than their counterparts from last year, whilst the share price is creeping lower – who's to say that the comparable dividend next year won't be even larger and therefore give an even higher yield?

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  10. I think ZIM is a solid stock and with upside potential based on where it is currently priced now amidst these market conditions.. However, I also believe there are even better dividend stocks out there..

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  11. Dividend stocks only work when there is underlying growth to a stock… and the dividend is sustainable. Don't see that in $ZIM. Imagine reinvesting this massive dividend in a stock in a slow decline – down -60% in just the last 6 months? It's like throwing money away. You would have done better to invest the dividend in $STNG or $INSW.

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  12. I don't know if you take requests to talk about a certain stock, and I know you usually talk about those with high yields. Regardless, you've had videos on dividend kings and zombies before, and I was wondering what your thoughts on one of them, specifically SWK (Stanley Black & Decker) might be right now.

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  13. with inflation raging per today's CPI data, why would shipping charges fall? I also feel that the speaker failed to go into financial details such revenue, profit, growth, free cash flow before recommending or rejecting ZIM. Also ignored is the recent deal ZIM had signed with Shell which will be worth a billion over next 10 years.

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  14. Its normal due to supply chain crisis, warehouses also made huge profits, but this is temporarly. Shipping is all or nothing, same as oil companies. You get a lot one year and nothing next. Look at Hapag-Lloyd they payed also a huge divident due to supply chain crisis and they have a huge fleet. I wouldnt invest a lot in this stocks, only little for fun. If you like zim like stocks, i would suggest get Hapag-Lloyd, Totalen EP Gabun, BP Prudhoe Bay Royalty Trust this are "critical hitting" dividends.

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  15. Thanks for covering ZIM – I enjoyed it. To date, ZIM alone provides 25% of my div income. Also consider SBLK – shipping out of Greece. Massive div without any foreign tax.

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  16. ZIM's dividend policy is 30%-50% of the net income, with the first 3 quarters paying 30% (As of this quarter, until now it was 20%). In Q4 they are rounding up the dividend for the WHOLE year to the percentage they decide on (typically 50%). This is the reason for the large dividend in April 2022.
    You can expect another big one in April 2023, exactly how big depends on the performance of the company in 2022.

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  17. I wonder what the best opportunities to invest now are, there are opinions but a little later I find out these opinions don't matter as a totally different turn of events play out with the stocks they discussed therein.

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  18. Logistics is so underrated. World cannot function without logistics from medical to consumer goods to war machines. That's said everyone should do there own homework and decide in the risk factors involved. That said, for me ZIM is a good stock, either as short or long term investment.

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