Globant
Market Cap
US$8.5b
Last Updated
2021/05/07 23:17 UTC
Data Sources
Company Financials +
Executive Summary
Globant S.A. operates as a technology services company worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet with reasonable growth potential.
Similar Companies
Share Price & News
How has Globant's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GLOB is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: GLOB's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
-4.9%
GLOB
-3.1%
US IT
-0.3%
US Market
1 Year Return
75.4%
GLOB
41.3%
US IT
50.2%
US Market
Return vs Industry: GLOB exceeded the US IT industry which returned 41.3% over the past year.
Return vs Market: GLOB exceeded the US Market which returned 51.8% over the past year.
Shareholder returns
| GLOB | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.9% | -3.1% | -0.3% |
| 30 Day | 3.1% | 0.4% | 2.2% |
| 90 Day | 1.1% | 1.3% | 3.8% |
| 1 Year | 75.4%75.4% | 42.5%41.3% | 52.7%50.2% |
| 3 Year | 320.4%320.4% | 95.3%88.3% | 63.4%53.1% |
| 5 Year | 472.2%472.2% | 204.9%184.2% | 129.6%104.0% |
Long-Term Price Volatility Vs. Market
How volatile is Globant's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Be Wary Of Globant (NYSE:GLOB) And Its Returns On Capital1 month ago | Simply Wall St
Globant S.A.'s (NYSE:GLOB) Fundamentals Look Pretty Strong: Could The Market Be Wrong About The Stock?2 months ago | Simply Wall St
We Like Globant's (NYSE:GLOB) Earnings For More Than Just Statutory ProfitValuation
Is Globant undervalued compared to its fair value and its price relative to the market?
154.78x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: GLOB ($217.88) is trading above our estimate of fair value ($125.7)
Significantly Below Fair Value: GLOB is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: GLOB is poor value based on its PE Ratio (154.8x) compared to the US IT industry average (35.7x).
PE vs Market: GLOB is poor value based on its PE Ratio (154.8x) compared to the US market (20.2x).
Price to Earnings Growth Ratio
PEG Ratio: GLOB is poor value based on its PEG Ratio (7x)
Price to Book Ratio
PB vs Industry: GLOB is overvalued based on its PB Ratio (9.9x) compared to the US IT industry average (4.8x).
Future Growth
How is Globant forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
22.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GLOB's forecast earnings growth (22% per year) is above the savings rate (2%).
Earnings vs Market: GLOB's earnings (22% per year) are forecast to grow faster than the US market (15.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: GLOB's revenue (19% per year) is forecast to grow faster than the US market (9.2% per year).
High Growth Revenue: GLOB's revenue (19% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GLOB's Return on Equity is forecast to be low in 3 years time (12.8%).
Past Performance
How has Globant performed over the past 5 years?
13.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GLOB has high quality earnings.
Growing Profit Margin: GLOB's current net profit margins (6.7%) are lower than last year (8.2%).
Past Earnings Growth Analysis
Earnings Trend: GLOB's earnings have grown by 13.2% per year over the past 5 years.
Accelerating Growth: GLOB's earnings growth over the past year (0.4%) is below its 5-year average (13.2% per year).
Earnings vs Industry: GLOB earnings growth over the past year (0.4%) underperformed the IT industry 19.1%.
Return on Equity
High ROE: GLOB's Return on Equity (6.2%) is considered low.
Financial Health
How is Globant's financial position?
Financial Position Analysis
Short Term Liabilities: GLOB's short term assets ($535.6M) exceed its short term liabilities ($205.6M).
Long Term Liabilities: GLOB's short term assets ($535.6M) exceed its long term liabilities ($203.2M).
Debt to Equity History and Analysis
Debt Level: GLOB's debt to equity ratio (3%) is considered satisfactory.
Reducing Debt: GLOB's debt to equity ratio has increased from 0.2% to 3% over the past 5 years.
Debt Coverage: GLOB's debt is well covered by operating cash flow (374%).
Interest Coverage: GLOB's interest payments on its debt are well covered by EBIT (13.9x coverage).
Balance Sheet
Dividend
What is Globant current dividend yield, its reliability and sustainability?
0.15%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate GLOB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate GLOB's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if GLOB's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GLOB's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of GLOB's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.6yrs
Average management tenure
CEO
Martin Migoya (52 yo)
16.33yrs
Tenure
Mr. Martín Migoya has been the Chairman and Chief Executive Officer of Globant S.A. since 2005 and serves as its President. He is a Co-founder of Globant S.A. Mr. Migoya co-founded Sistemas Globales S.A. i...
Leadership Team
Experienced Management: GLOB's management team is considered experienced (2.6 years average tenure).
Board Members
Experienced Board: GLOB's board of directors are considered experienced (8.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 7.8%.
Top Shareholders
Company Information
Globant S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Globant S.A.
- Ticker: GLOB
- Exchange: NYSE
- Founded: 2003
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: US$8.485b
- Shares outstanding: 39.90m
- Website: https://www.globant.com
Number of Employees
Location
- Globant S.A.
- 37A Avenue J.F. Kennedy
- Luxembourg City
- 1855
- Luxembourg
Listings
Biography
Globant S.A. operates as a technology services company worldwide. The company offers transformational programs, ROI and cost efficiency, new revenue streams, E-mission, sustainability today, up with climat...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/07 23:17 |
| End of Day Share Price | 2021/05/07 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.