• Maersk was founded in 1904 by Captain Peter Maersk-Moller and his son Arnold Peter Maersk and has since become the largest container shipping company in the world 
• Maersk is listed on the Nasdaq Copenhagen exchange in Denmark and is a part of the OMXC25CAP index, which is the benchmark index of the Danish stock exchange. The company lists its Class A and B shares under the MAERSK A and MAERSK B stock tickers 
• The company also owns and operates APM Terminals, which owns and manages numerous port terminals and offers inland services around the world 
• Maersk was the first shipping company to introduce computerized booking systems in the 60s, as well as double-hulled tankers in the 70s and remote-controlled cranes in the 90s 
• The company has a presence in over 130 countries around the world 
• Maersk Line was the first shipping company to introduce a direct container shipping service between China and the United States in 1987 
• As of April 2023, Maersk had a market capitalization of over $32 billion, as well as an 11.73% dividend yield 
• Maersk is also involved in the business of oil and gas exploration and the company spun off its Maersk Drilling subsidiary in 1972
• Maersk also owns and operates SeaLand - an American shipping company based in Florida and with operations in 29 countries, including the Caribbeans and Central and South America 
• The company also owns Svitzer, which offers towage and marine solution services through 120 ports and 27 terminals around the world

As the largest shipping company in the world, Maersk’s stock also affects the performance of many smaller companies in the industry. The Covid-19 pandemic was an especially difficult period for Maersk and its competitors, due to supply chains being in disarray and higher shipping costs, which made it difficult to operate smoothly. 

However, Maersk had been on a massive bull run since the lockdown measures were enforced globally, as it became one of the key components for ensuring the stocking of supplies in most businesses around the world. Maersk’s stock rose from DKK 5,400 to DKK 24,000 over the course of two years, before gradually losing around 50% of its peak value heading into 2023. 

With container shipping prices falling globally, Maersk and others had to cut dividends for 2023, which has resulted in a gradual sell-off of shipping stocks. 

Maersk’s financials took a hit towards the end of 2022, with the Q4 2022 report showing:

• A 3.71% drop in quarterly revenues - to $17.82 billion
• A net income decrease of 18.77% - to $4.95 billion
• Shrinking of net profit margins by 15.64% - to 27.78%

This drop in financial performance was to be expected, as the global markets grapple with higher interest rates and a cautious consumer trend, which is combined with the ongoing war in Ukraine, that has severely constrained global supply chains. 

While the short-term future may seem unclear to many investors, Maersk still remains one of the most attractive options for investors seeking to load up on shipping stocks., as the company has an impressive selection of subsidiaries and is a leader in infrastructure innovation in the field.

The global shipping industry has found itself in an uncertain position at the moment. Inventors looking to buy up Maersk shares at a discount should consider the overall pros and cons of investing in the company for the long term. 

Pros

• Strong positioning - Maersk is the largest shipping container company in the world, which gives it a unique advantage over its competition
• Strategic subsidiaries - Maersk owns a number of important companies in the shipping industry, including APM Terminals, which owns and operates hundreds of port terminals around the world
• Strong internal culture - Maersk has a good number of industry innovations under its belt and continues to be heavily focused on continuous improvement of its operations, which gives Maersk an edge over competitors
• Diversification - Maersk has a diversified business model and operates in the shipping, logistics, and energy sectors 

Cons

• Debt - Maersk operates with a lot of debt, which can become an issue in the long run, especially if the company has to refinance its debt at higher interest rates
• Competition - despite its dominant position, Maersk has plenty of formidable competitors in the global market, which can hamper its growth potential
• Fuel prices - Maersk is heavily dependent on fuel prices to power its fleet, which is a factor to be considered
• Geopolitical risk - Any degree of geopolitical instability among countries of operation can harm Maersk’s business

• Maersk is a Danish container shipping and logistics company that has built itself up as one of the industry leaders in the world 
• Maersk’s Class A and B stock are listed on the Nasdaq Copenhagen, under the MAERSK A and MAERSK B tickers
• The company has a number of subsidiaries around the world, most notably APM Terminals in the Netherlands, which owns and operates port terminals around the world
• The Covid-19 pandemic saw Maersk stock soar by over 300% over the course of 2 years, but the stock has since shed around 50% of its value 
• Investors may want to consider Maersk shares at a lower valuation