Toro (NASDAQ:TORO) & ZIM Integrated Shipping Services (NYSE:ZIM) Head to Head Analysis

Toro (NASDAQ:TORO) and ZIM Integrated Shipping Services (NYSE:ZIM) are both small-cap transportation companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, profitability, valuation, earnings, risk and institutional ownership.

Analyst Ratings

This is a summary of recent recommendations and price targets for Toro and ZIM Integrated Shipping Services, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Toro	0	0	0	0	0.00
ZIM Integrated Shipping Services	5	1	0	1	1.57

ZIM Integrated Shipping Services has a consensus target price of $15.04, suggesting a potential downside of 10.95%. Given ZIM Integrated Shipping Services’ stronger consensus rating and higher probable upside, analysts plainly believe ZIM Integrated Shipping Services is more favorable than Toro.

Volatility and Risk

Toro has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500. Comparatively, ZIM Integrated Shipping Services has a beta of 1.77, suggesting that its stock price is 77% more volatile than the S&P 500.

Insider and Institutional Ownership

1.7% of Toro shares are owned by institutional investors. Comparatively, 21.4% of ZIM Integrated Shipping Services shares are owned by institutional investors. 1.3% of ZIM Integrated Shipping Services shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Toro and ZIM Integrated Shipping Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Toro	176.49%	17.16%	10.30%
ZIM Integrated Shipping Services	19.26%	48.63%	15.13%

Valuation & Earnings

This table compares Toro and ZIM Integrated Shipping Services”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Toro	$78.47 million	0.72	$140.64 million	$1.06	2.79
ZIM Integrated Shipping Services	$5.16 billion	0.39	-$2.70 billion	$11.94	1.41

Toro has higher earnings, but lower revenue than ZIM Integrated Shipping Services. ZIM Integrated Shipping Services is trading at a lower price-to-earnings ratio than Toro, indicating that it is currently the more affordable of the two stocks.

Summary

ZIM Integrated Shipping Services beats Toro on 10 of the 14 factors compared between the two stocks.

About Toro

Toro Corp., a shipping company, acquires, owns, charters, and operates oceangoing tanker vessels and provides seaborne transportation services for crude oil LPG, and refined petroleum products worldwide. The company operates in three segments: Aframax/LR2 Tanker, Handysize Tanker, and LPG Carrier. As of December 31, 2023, it operated a fleet of one Handysize tanker vessel; one Aframax/LR2 vessel; and four LPG carrier vessels with an aggregate cargo carrying capacity of 0.1 million deadweight ton. Toro Corp. was incorporated in 2022 and is based in Limassol, Cyprus.

About ZIM Integrated Shipping Services

ZIM Integrated Shipping Services Ltd., together with its subsidiaries, provides container shipping and related services in Israel and internationally. It provides door-to-door and port-to-port transportation services for various types of customers, including end-users, consolidators, and freight forwarders. The company also offers ZIMonitor, a premium reefer cargo tracking service. As of March 1, 2024, it operated a fleet of 150 vessels, which included 134 container vessels and 16 vehicle transport vessels; and as of December 31, 2023, it operated a network of 67 weekly lines. The company was incorporated in 1945 and is headquartered in Haifa, Israel.