Globant (NYSE:GLOB) Reaches New 1-Year Low - Here's Why

Key Points

• Globant's stock (NYSE:GLOB) reached a new 52-week low at $63.61, after trading as low as $64.28, reflecting a decline from its previous close of $67.26.
• Analysts have varied opinions on the stock, with Guggenheim maintaining a "buy" rating and a target price of $125.00, while Canaccord Genuity cut its target to $97.00 from $165.00.
• Globant reported earnings of $1.53 per share for its most recent quarter, slightly beating estimates, as revenue increased by 4.5% year-over-year.

Globant S.A. (NYSE:GLOB - Get Free Report)'s share price hit a new 52-week low on Tuesday . The stock traded as low as $64.28 and last traded at $63.61, with a volume of 275774 shares traded. The stock had previously closed at $67.26.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on GLOB. Needham & Company LLC dropped their price target on shares of Globant from $115.00 to $85.00 and set a "buy" rating on the stock in a research note on Friday, August 15th. Piper Sandler cut shares of Globant from an "overweight" rating to a "neutral" rating and lowered their target price for the company from $154.00 to $116.00 in a research note on Friday, May 16th. Canaccord Genuity Group restated a "hold" rating and set a $97.00 target price (down previously from $165.00) on shares of Globant in a research note on Thursday, June 26th. Guggenheim restated a "buy" rating and set a $125.00 target price on shares of Globant in a research note on Tuesday, June 10th. Finally, Scotiabank upgraded shares of Globant from a "sector perform" rating to a "sector outperform" rating and set a $115.00 target price on the stock in a research note on Monday, July 21st. Eight investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company's stock. According to MarketBeat, Globant has a consensus rating of "Moderate Buy" and a consensus price target of $139.47.

Globant Stock Performance

The business's fifty day moving average price is $79.60 and its two-hundred day moving average price is $103.68. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.71 and a current ratio of 1.71. The stock has a market capitalization of $2.77 billion, a P/E ratio of 25.56, a P/E/G ratio of 2.78 and a beta of 1.17.

Globant (NYSE:GLOB - Get Free Report) last issued its quarterly earnings results on Thursday, August 14th. The information technology services provider reported $1.53 EPS for the quarter, beating the consensus estimate of $1.52 by $0.01. The company had revenue of $614.18 million for the quarter, compared to the consensus estimate of $612.66 million. Globant had a net margin of 4.44% and a return on equity of 10.76%. The firm's revenue was up 4.5% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.51 EPS. Globant has set its Q3 2025 guidance at 1.530- EPS. FY 2025 guidance at 6.120- EPS. As a group, sell-side analysts forecast that Globant S.A. will post 5.73 earnings per share for the current year.

Institutional Investors Weigh In On Globant

Several large investors have recently added to or reduced their stakes in GLOB. Brooklyn Investment Group lifted its position in shares of Globant by 194.4% in the 1st quarter. Brooklyn Investment Group now owns 212 shares of the information technology services provider's stock worth $25,000 after purchasing an additional 140 shares during the period. Allworth Financial LP increased its stake in Globant by 214.1% during the 2nd quarter. Allworth Financial LP now owns 289 shares of the information technology services provider's stock valued at $26,000 after purchasing an additional 197 shares in the last quarter. Physician Wealth Advisors Inc. increased its holdings in shares of Globant by 140.9% in the first quarter. Physician Wealth Advisors Inc. now owns 265 shares of the information technology services provider's stock valued at $31,000 after purchasing an additional 155 shares during the period. Bessemer Group Inc. acquired a new stake in Globant during the 1st quarter valued at approximately $39,000. Finally, Farther Finance Advisors LLC lifted its position in Globant by 186.7% during the first quarter. Farther Finance Advisors LLC now owns 387 shares of the information technology services provider's stock valued at $45,000 after purchasing an additional 252 shares during the period. 91.60% of the stock is owned by hedge funds and other institutional investors.

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.