Global shipping ports are seeing an increase in traffic this year thanks to rising international trade volume with the reopening of economies around the globe. Two major players in the shipping industry—Castor Maritime (CTRM) and ZIM Integrated (ZIM)—are expected to benefit from the recovery. But let’s find out which of these two stocks is a better buy now.Castor Maritime Inc. (CTRM) and ZIM Integrated Shipping Services Ltd. (ZIM) are two established players in the shipping industry. They provide ocean transportation services. Based in Cyprus, CTRM provides seaborne transportation services for dry bulk cargo. ZIM is in Israel and is part of the Deep-Sea Freight Transportation Industry. ZIM operates in specific areas where it has a competitive advantage and where it can provide a high-quality service.
Shipping companies were severely hit by the COVID-19 pandemic as international trade contracted. However, rising demand for raw materials with the global resuming manufacturing activities is expected to shape the shipping industry's performance this year. According to Statista, roughly 80% of goods are transported by ship.
But, while ZIM has gained 106.5% over the past three months, CTRM has declined by 75.9%. Furthermore, ZIM has gained 24.3% over the past month, while CTRM lost 18%. But which of these two stocks is a better pick now? Let's find out.