ZIM Integrated price target lowered to $18 from $22 at Jefferies

Jefferies lowered the firm’s price target on ZIM Integrated (ZIM) to $18 from $22 and keeps a Hold rating on the shares. The past 12 months “have been great” for container rates with the sector revived on constrained supply due to re-routing, the analyst tells investors in a research note. The firm says that while the Israel-Hamas ceasefire suggests safe passage through the Red Sea is on the horizon, “plenty of uncertainty remains on Houthi intentions.” Given a return to normal trade patterns may come sooner, coupled with U.S. retail stockpiling and uncertainty on a post-tariff trade outlook, the fundamental picture for the shipping group “looks difficult,” contends Jefferies.