A Look at Globant (NYSE:GLOB) Valuation Following Launch of Digital Suppl.AI and GUT Network Expansion

Globant (NYSE:GLOB) is stepping up its push into enterprise AI by launching Digital Suppl.AI alongside YPF, aiming to transform supply chain operations with specialized AI agents. At the same time, the company is consolidating its marketing expertise under the GUT Network.

See our latest analysis for Globant.

Despite a wave of big announcements, including its Digital Suppl.AI partnership with YPF and a global GUT Network rollout, Globant’s 1-year total shareholder return is down over 70%. This reflects persistent market caution even as recent 1-month share price returns show a modest uptick. For patient investors with an eye for potential turnarounds, now might be an ideal time to discover fast growing stocks with high insider ownership.

The question for investors now is simple: with shares trading at a steep discount compared to analyst targets, is the recent weakness an opportunity to buy into Globant’s next phase, or is the market already factoring in muted growth?

Most Popular Narrative: 36.5% Undervalued

Globant's most followed valuation narrative implies significant upside from the last close price of $61.58, with fair value estimated at $97.05. The stage is set by analysts weighing innovation against sector headwinds to determine if future growth justifies Globant’s discounted price.

The rapid adoption of AI and generative AI across industries is dramatically increasing the complexity of enterprise technology environments, 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 (e.g., OpenAI, AWS) position the company to capture a greater share of this accelerating market. This may boost both revenue growth and long-term margins as more high-value, recurring AI engagements convert in the pipeline.

Read the complete narrative.

Want to know what ambitious growth forecasts drive this bullish price target? Hint: analysts expect a powerful earnings ramp and a jump in profitability. Discover which specific business trends are fueling these optimistic assumptions in the full story.

Result: Fair Value of $97.05 (UNDERVALUED)

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

However, persistent weak revenue growth and clients delaying digital investments could undermine the optimism surrounding Globant’s potential earnings recovery and margin expansion.

Find out about the key risks to this Globant narrative.

Build Your Own Globant Narrative

If you prefer a hands-on approach or see the story differently, dive into the data and craft your own perspective in minutes, then Do it your way.

A great starting point for your Globant research is our analysis highlighting 3 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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