Globant (NYSE:GLOB) Releases Quarterly Earnings Results, Misses Estimates By $0.02 EPS

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

Globant Stock Performance

Shares of GLOB stock traded down $1.79 on Friday, reaching $61.05. The stock had a trading volume of 2,663,560 shares, compared to its average volume of 1,365,791. The stock has a market cap 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. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.71 and a current ratio of 1.71. Globant has a 1 year low of $54.36 and a 1 year high of $235.08. The company has a 50 day simple moving average of $59.16 and a 200 day simple moving average of $80.45.

Analyst Ratings Changes

GLOB has been the topic of a number of research reports. Citigroup raised shares of Globant to a “hold” rating in a research note on Thursday, October 23rd. Scotiabank raised Globant from a “sector perform” rating to a “sector outperform” rating and set a $115.00 price objective on the stock in a research report on Monday, July 21st. Weiss Ratings reissued a “sell (d)” rating on shares of Globant in a research report on Thursday. Needham & Company LLC dropped their price target on Globant from $85.00 to $80.00 and set a “buy” rating on the stock in a research report on Friday. Finally, JPMorgan Chase & Co. decreased their price objective on Globant from $78.00 to $75.00 and set a “neutral” rating for the company in a report on Friday. Six investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Globant currently has an average rating of “Hold” and an average price target of $111.93.

Institutional Investors Weigh In On Globant

Several hedge funds and other institutional investors have recently modified their holdings of GLOB. State of Wyoming lifted its holdings in shares of Globant by 78.9% during the second quarter. State of Wyoming now owns 882 shares of the information technology services provider’s stock worth $80,000 after purchasing an additional 389 shares during the period. Osaic Holdings Inc. raised 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 worth $114,000 after acquiring an additional 443 shares during the period. Private Advisor Group LLC purchased a new position in shares of Globant during the 3rd quarter worth $237,000. Intech Investment Management LLC acquired a new stake in shares of Globant in the third quarter valued at $250,000. Finally, Tidal Investments LLC acquired a new position in shares of Globant in the second quarter worth $252,000. 91.60% of the stock is currently owned by hedge funds and other institutional investors.

Globant declared that its board has initiated a stock buyback plan on Wednesday, October 1st that authorizes the company to buyback $125.00 million in outstanding shares. This buyback authorization authorizes the information technology services provider to reacquire up to 5% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board believes its shares are undervalued.

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.