Globant (NYSE:GLOB) Posts Earnings Results

Globant (NYSE:GLOB) issued its quarterly earnings data on Friday, May 15th. The information technology services provider reported $1.50 EPS for the quarter, hitting the consensus estimate of $1.50, FiscalAI reports. The firm had revenue of $607.09 million for the quarter, compared to analyst estimates of $601.65 million. Globant had a net margin of 4.46% and a return on equity of 9.87%. The business’s revenue for the quarter was down .7% compared to the same quarter last year. During the same period in the prior year, the business posted $1.50 EPS.

Globant Trading Down 0.1%

NYSE:GLOB traded down $0.04 on Monday, reaching $37.45. The stock had a trading volume of 305,037 shares, compared to its average volume of 1,529,881. Globant has a 12-month low of $32.50 and a 12-month high of $96.99. The company has a market cap of $1.64 billion, a price-to-earnings ratio of 15.24, a P/E/G ratio of 1.37 and a beta of 1.02. The firm’s fifty day moving average is $41.89 and its two-hundred day moving average is $52.87. The company has a debt-to-equity ratio of 0.16, a current ratio of 1.82 and a quick ratio of 1.82.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on the company. Susquehanna reduced their price target on Globant from $90.00 to $78.00 and set a “positive” rating on the stock in a research report on Friday, May 15th. TD Cowen lowered their price objective on Globant from $74.00 to $72.00 and set a “buy” rating for the company in a research report on Monday, April 6th. Guggenheim decreased their price objective on shares of Globant from $80.00 to $65.00 and set a “buy” rating for the company in a research note on Monday, February 23rd. Truist Financial cut their price target on Globant from $54.00 to $44.00 and set a “hold” rating on the stock in a research report on Friday, May 15th. Finally, UBS Group cut their target price on shares of Globant from $75.00 to $50.00 and set a “neutral” rating on the stock in a report on Tuesday, May 5th. Eight analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $64.81.

Globant announced that its board has approved a share repurchase program on Monday, May 18th that authorizes the company to buyback $50.00 million in shares. This buyback authorization authorizes the information technology services provider to buy up to 2.9% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s management believes its stock is undervalued.

Institutional Trading of Globant

A number of hedge funds have recently added to or reduced their stakes in the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new position in shares of Globant in the 1st quarter valued at about $447,000. Goldman Sachs Group Inc. raised its holdings in Globant by 69.3% in the first quarter. Goldman Sachs Group Inc. now owns 74,237 shares of the information technology services provider’s stock valued at $8,739,000 after buying an additional 30,386 shares during the period. First Trust Advisors LP increased its position in shares of Globant by 61.9% in the second quarter. First Trust Advisors LP now owns 102,280 shares of the information technology services provider’s stock worth $9,291,000 after acquiring an additional 39,122 shares in the last quarter. Marshall Wace LLP lifted its holdings in shares of Globant by 823.2% during the 2nd quarter. Marshall Wace LLP now owns 105,894 shares of the information technology services provider’s stock valued at $9,619,000 after acquiring an additional 94,424 shares in the last quarter. Finally, Amundi boosted its position in Globant by 192.7% during the 2nd quarter. Amundi now owns 7,970 shares of the information technology services provider’s stock worth $727,000 after purchasing an additional 5,247 shares during the period. 91.60% of the stock is owned by institutional investors and hedge funds.

About Globant

Globant is a digitally native technology services company founded in 2003 in Buenos Aires, Argentina. Specializing in software development and digital transformation, Globant partners with enterprises to conceive, design and engineer software products and platforms. The company leverages agile methodologies and proprietary delivery frameworks to accelerate projects in areas such as cloud migration, user experience design, data analytics, artificial intelligence and blockchain-enabled solutions.

Globant’s service offerings span strategy consulting, custom software engineering, digital experience design and managed services.