Globant (NYSE:GLOB) Posts Earnings Results, Misses Expectations By $0.02 EPS

Globant (NYSE:GLOB) released its quarterly earnings results on Thursday. The information technology services provider reported $1.53 EPS for the quarter, missing the consensus estimate of $1.55 by ($0.02), Briefing.com reports. The firm had revenue of $617.14 million for the quarter, compared to analyst estimates of $615.32 million. Globant had a return on equity of 10.55% and a net margin of 4.01%.The company’s quarterly revenue was up .4% on a year-over-year basis. During the same period last year, the firm earned $1.63 EPS. Globant updated its FY 2025 guidance to 6.120- EPS and its Q4 2025 guidance to 1.530- EPS.

Globant Price Performance

Shares of Globant stock traded down $1.79 on Friday, hitting $61.05. The company’s stock had a trading volume of 2,663,560 shares, compared to its average volume of 1,365,791. The company has a market capitalization of $2.69 billion, a P/E ratio of 27.63, a price-to-earnings-growth ratio of 5.98 and a beta of 1.20. Globant has a 52-week low of $54.36 and a 52-week high of $235.08. The firm has a fifty day moving average price of $59.16 and a 200-day moving average price of $80.45. The company has a quick ratio of 1.71, a current ratio of 1.71 and a debt-to-equity ratio of 0.19.

Globant announced that its board has approved a stock repurchase program on Wednesday, October 1st that allows the company to repurchase $125.00 million in outstanding shares. This repurchase authorization allows the information technology services provider to repurchase up to 5% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s leadership believes its shares are undervalued.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on GLOB shares. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Globant in a report on Thursday. Canaccord Genuity Group reduced their price objective on Globant from $80.00 to $70.00 and set a “hold” rating for the company in a research note on Friday. UBS Group decreased their price objective on Globant from $120.00 to $75.00 and set a “neutral” rating for the company in a research report on Wednesday, August 20th. The Goldman Sachs Group dropped their target price on Globant from $105.00 to $90.00 and set a “neutral” rating on the stock in a report on Thursday, October 9th. Finally, JPMorgan Chase & Co. decreased their price target on Globant from $78.00 to $75.00 and set a “neutral” rating for the company in a report on Friday. Seven investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Globant presently has a consensus rating of “Hold” and an average price target of $119.94.

Institutional Investors Weigh In On Globant

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. State of Wyoming lifted its position in Globant by 78.9% during the second quarter. State of Wyoming now owns 882 shares of the information technology services provider’s stock valued at $80,000 after buying an additional 389 shares in the last quarter. Osaic Holdings Inc. lifted its holdings in shares of Globant by 61.5% during the 2nd quarter. Osaic Holdings Inc. now owns 1,163 shares of the information technology services provider’s stock valued at $114,000 after acquiring an additional 443 shares in the last quarter. Vident Advisory LLC acquired a new position in shares of Globant during the 2nd quarter valued at $252,000. Tidal Investments LLC acquired a new stake in Globant in the 2nd quarter valued at $252,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new position in Globant in the first quarter valued at about $447,000. Hedge funds and other institutional investors own 91.60% of the company’s stock.

About Globant

Globant SA, together with its subsidiaries, provides technology services worldwide. It provides digital solutions comprising blockchain, cloud technologies, cybersecurity, data and artificial intelligence, digital experience and performance, code, Internet of Things, metaverse, and engineering and testing; and enterprise technology solutions and services, such as Agile organization, Cultural Hacking, process optimization services, as well as AWS, Google Cloud, Microsoft, Oracle, SalesForce, SAP, and ServiceNow technology solutions.