A Fresh Look at Globant (NYSE:GLOB) Valuation After Landmark FIFA Digital Partnership Expansion

Globant (NYSE:GLOB) is expanding its collaboration with FIFA by signing a new agreement to enhance the digital experience across FIFA’s ecosystem. The partnership includes developing digital platforms and a mobile app ahead of major tournaments.

See our latest analysis for Globant.

Globant’s partnership expansion with FIFA has drawn fresh attention, yet the share price has struggled to maintain momentum over the past year. Despite small recent gains, the year-to-date share price return sits at -69.56%, while the total shareholder return over twelve months is even weaker at -70.78%. In the short term, momentum appears to be building modestly off a low base. However, the broader trend highlights the risk perception that has dominated the stock’s recent journey.

If Globant’s focus on digital transformation has your interest, now’s a great time to broaden your search and discover See the full list for free.

With shares trading at a steep discount compared to analyst targets and signs of improving fundamentals, investors now face a timely question: Is Globant undervalued, or is the market already accounting for future recovery?

Most Popular Narrative: 25% Undervalued

With the narrative’s fair value at $86.48 and Globant's last close at $64.86, the stage is set for enthusiastic debate over whether the stock is truly overlooked or if market skepticism is warranted.

The rapid adoption of AI and generative AI across industries is dramatically increasing the complexity of enterprise technology environments. This is driving greater demand for specialist partners to design, implement, and maintain tailored AI solutions. Globant's differentiated Enterprise AI platform, AI pods subscription model, and recent multiyear partnership wins (for example, OpenAI and AWS) position the company to capture a greater share of this accelerating market. These factors could boost both revenue growth and long-term margins as more high-value, recurring AI engagements convert in the pipeline.

Read the complete narrative.

Curious what numbers could justify such a valuation gap? The most popular narrative banks on a technology supercycle, recurring revenues, and bold profit margin bets. Want to see which ambitious growth rates and future earnings underlie their fair value math? Click through to see the numbers they are counting on before you make your own call.

Result: Fair Value of $86.48 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, substantial macroeconomic headwinds and slower than expected adoption of new AI offerings could undermine Globant's near-term growth trajectory and investor confidence.

Find out about the key risks to this Globant narrative.

Another View: What Do the Numbers Say?

While fair value models suggest Globant is 25% undervalued, a look at its price-to-earnings ratio tells a different story. The company trades slightly above both the industry average (28.6x vs 28.3x) and its peer group (12.6x average), yet remains well below its fair ratio of 40.4x. This gap signals that investor sentiment is cautious, but could shift if results improve. Are the risks already priced in, or is there more to uncover here?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Globant Narrative

If the current narrative doesn’t quite fit your perspective or you’d rather draw your own conclusions from the numbers, it only takes a few minutes to craft a custom analysis. Do it your way

A great starting point for your Globant research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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