Asian Equities Analyst, Logistics & Transport, Tracking Traffic

Daniel Hellberg

Asian Equities Analyst, Logistics & Transport

Tracking Traffic

Focusing on Asian logistics, transportation, and travel companies

Equity Bottom-Up

AP Moeller - Maersk A/S / Equity Bottom-Up

<ul>
<li>Its unclear whether Yemen-based Houthis would end attacks after ceasefire</li>
<li>We've entered peak Summer shipping season from Asia to US, Europe</li>
<li>Higher spot rates have already lifted contract rates in Q2 2024</li>
</ul>


Its unclear whether Yemen-based Houthis would end attacks after ceasefire
We've entered peak Summer shipping season from Asia to US, Europe
Higher spot rates have already lifted contract rates in Q2 2024


Why an Israel-Hamas Ceasefire Probably Wouldn't Lead to Lower Container Rates in Short-Term

<ul>
<li>Our index shows April pricing momentum remained positive in deep-sea trades</li>
<li>Evergreen Marine posted strong revenue and earnings growth in Q124</li>
<li>Container carriers have performed well YTD in 2024; we expect convergence</li>
</ul>


Our index shows April pricing momentum remained positive in deep-sea trades
Evergreen Marine posted strong revenue and earnings growth in Q124
Container carriers have performed well YTD in 2024; we expect convergence


Monthly Container Shipping Tracker | Pricing Still Firm | Share Prices Converging | (May 2024)

<ul>
<li>Our analysis suggests container rate momentum remained +ive in March</li>
<li>Despite higher fuel expense, core container margins likely rose Y/Y in Q124</li>
<li>Our L/S pair trade? It's worked, a little, but Evergreen shares have stayed firm</li>
</ul>


Our analysis suggests container rate momentum remained +ive in March
Despite higher fuel expense, core container margins likely rose Y/Y in Q124
Our L/S pair trade? It's worked, a little, but Evergreen shares have stayed firm


Monthly Container Shipping Tracker | March Volumes Strong | Q1 Margins Likely Up Y/Y (April 2024)

<ul>
<li>Strong uptick in price momentum in February reflects booming spot market</li>
<li>February container throughput growth in key regions also firm, up 7.4% Y/Y</li>
<li>We suggest Short Evergreen vs Long Maersk (or ZIM) pair trade idea</li>
</ul>


Strong uptick in price momentum in February reflects booming spot market
February container throughput growth in key regions also firm, up 7.4% Y/Y
We suggest Short Evergreen vs Long Maersk (or ZIM) pair trade idea


Monthly Container Shipping Tracker | February Spot Rates Strong | Volume Firm, Too | (March 2024)

<ul>
<li>Since October, Evergreen shares have performed well on rising spot rates</li>
<li>Over the same period, Maersk and ZIM shares fell on longer-term concerns</li>
<li>Pair trade idea: SHORT Evergreen vs LONG Maersk / ZIM position</li>
</ul>


Since October, Evergreen shares have performed well on rising spot rates
Over the same period, Maersk and ZIM shares fell on longer-term concerns
Pair trade idea: SHORT Evergreen vs LONG Maersk / ZIM position


Pair Trade Idea: Short Evergreen Against Long Maersk / ZIM

Israel

Elbit Systems Ltd. designs, develops and supplies integrated defense systems. The Company also designs, develops, manufactures, markets and supports military electronic systems and products.

Blue Dart Express Limited operates a courier service and an integrated express package distribution company.  The Company offers delivery of packages and documents in India and throughout the world.

Citic Offshore Helicopter Co., Ltd. provides helicopter transportation services for the petroleum industry and other industries.  The Company also provides helicopter repair and maintenance services.

STO Express Co Ltd. develops, manufactures and markets valves, pipe fittings and plumbing equipment. The Company's business encompasses the    development, manufacturing, sales and servicing of plumbing equipment, valves,  pipe fittings, metal construction materials, home automation, environmental protection and energy control systems.

Xiamen Xiangyu Co Ltd provides supply chain and circulation services. The Company offers its clients the capability to purchase raw materials and semi-manufactured products and to distribute finished goods worldwide.

Oesterreichische Post AG offers mail delivery services.  The Company delivers mail and parcels and operates post offices.

Agility Public Warehousing Co K.S.C. offers freight storage, distribution, and transport services.  The Company provides trade financing and third party customs services and offers e-commerce services enabling its customers to place orders and make payments online.

Kerry Logistics Network Limited provides logistics services in Asia and internationally. The Company offers integrated logistics services, as well as leases warehousing space in Hong Kong and provides international freight forwarding services.

Jiangsu Aucksun Co., Ltd. manufactures and distributes rolled steel sheets and aluminum sheets.

Hub Group, Inc. is a full-service transportation provider, offering intermodal, truck brokerage, and logistics services.  The Company arranges for the movement of its customers' freight in containers and trailers over long distances.  Hub Group operates through a nationwide network of hubs, located near significant concentrations of shipping customers and railheads.

Yunda Holding Co Ltd operates as a holding company. The Company, through its subsidiaries, provides industrial investment, enterprise management, business consulting, car rental, technical development, information technology, and advertising services. Yunda Holding serves customers in China.

ZIM Integrated Shipping Services Ltd provides shipping services. The Company offers multi-modal, cargo handling, tariff management, schedule information, and other related services. ZIM Integrated Shipping Services serves clients worldwide.

ZIM Integrated Shipping Services (ZIM US)

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

ZIM Integrated Shipping Services (ZIM US)

Why an Israel-Hamas Ceasefire Probably Wouldn't Lead to Lower Container Rates in Short-Term

Shares of container shipping companies have dipped in recent weeks, apparently on the expectation that an Israel-Hamas ceasefire could un-do the re...

Tracking Traffic

Monthly Container Shipping Tracker | March Volumes Strong | Q1 Margins Likely Up Y/Y (April 2024)

Container rate momentum remained +ive in March, & we believe carriers' margins probably improved Y/Y in Q124 (despite higher fuel expenses). Our L...

Tracking Traffic

Monthly Container Shipping Tracker | February Spot Rates Strong | Volume Firm, Too | (March 2024)

February price momentum improved dramatically, to levels not seen since Q322. Spot rates have lifted some carriers' shares YTD, but we expect share...

Tracking Traffic

Pair Trade Idea: Short Evergreen Against Long Maersk / ZIM

The divergent performances of container carriers Evergreen, Maersk, and ZIM since Q4 last year suggest a LONG Maersk/ZIM against SHORT Evergreen...

Tracking Traffic

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Why an Israel-Hamas Ceasefire Probably Wouldn't Lead to Lower Container Rates in Short-Term

Shares of container shipping companies have dipped in recent weeks, apparently on the expectation that an Israel-Hamas ceasefire could un-do the re...

Tracking Traffic

Monthly Container Shipping Tracker | Pricing Still Firm | Share Prices Converging | (May 2024)

Average deep-sea rates and traffic remained firm in April. The L/S pair trades we suggested back in mid-March? One of them has worked out quite well.

Tracking Traffic

Monthly Container Shipping Tracker | March Volumes Strong | Q1 Margins Likely Up Y/Y (April 2024)

Container rate momentum remained +ive in March, & we believe carriers' margins probably improved Y/Y in Q124 (despite higher fuel expenses). Our L...

Tracking Traffic

Monthly Container Shipping Tracker | February Spot Rates Strong | Volume Firm, Too | (March 2024)

February price momentum improved dramatically, to levels not seen since Q322. Spot rates have lifted some carriers' shares YTD, but we expect share...

Tracking Traffic

Pair Trade Idea: Short Evergreen Against Long Maersk / ZIM

The divergent performances of container carriers Evergreen, Maersk, and ZIM since Q4 last year suggest a LONG Maersk/ZIM against SHORT Evergreen...

Tracking Traffic