Globant (NYSE:GLOB) Shares Up 5.9% - Here's Why

Key Points

• Globant shares rose 5.9% to approximately $46.25, although trading volume was down 85% from the average daily level.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and an average price target of $45.75; several firms recently lowered their targets.
• Globant’s latest quarterly results showed $1.40 in EPS, below the $1.50 estimate, while revenue of $614.42 million slightly exceeded expectations. Insiders also sold 14,500 shares worth about $585,400 over the last quarter.

Globant S.A. (NYSE:GLOB - Get Free Report)'s stock price shot up 5.9% during trading on Friday. The stock traded as high as $45.99 and last traded at $46.2460. Approximately 229,069 shares traded hands during mid-day trading, a decline of 85% from the average daily volume of 1,542,505 shares. The stock had previously closed at $43.68.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the stock. Mizuho decreased their target price on shares of Globant from $59.00 to $51.00 and set an "outperform" rating on the stock in a research note on Tuesday, October 6th. Guggenheim cut their price objective on Globant from $55.00 to $50.00 and set a "buy" rating on the stock in a report on Friday, August 14th. Susquehanna reduced their price objective on Globant from $78.00 to $70.00 and set a "positive" rating on the stock in a research report on Friday, August 14th. Weiss Ratings cut Globant from a "sell (d+)" rating to a "sell (d)" rating in a report on Friday, August 14th. Finally, Canaccord Genuity Group set a $35.00 target price on Globant in a research report on Friday, August 14th. Five analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $45.75.

Globant Trading Up 6.1%

The company has a quick ratio of 1.84, a current ratio of 1.84 and a debt-to-equity ratio of 0.19. The company has a market cap of $2.03 billion, a P/E ratio of 18.11, a PEG ratio of 5.50 and a beta of 0.98. The firm's 50 day moving average is $38.53 and its two-hundred day moving average is $42.49.

Globant (NYSE:GLOB - Get Free Report) last announced its earnings results on Thursday, August 13th. The information technology services provider reported $1.40 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.50 by ($0.10). The company had revenue of $614.42 million for the quarter, compared to the consensus estimate of $612.86 million. Globant had a return on equity of 9.28% and a net margin of 4.63%. The firm's revenue for the quarter was up .0% on a year-over-year basis. During the same period in the prior year, the business earned $1.53 earnings per share. Globant has set its FY 2026 guidance at 5.750-6.150 EPS and its Q3 2026 guidance at 1.430-1.430 EPS. As a group, equities research analysts anticipate that Globant S.A. will post 4.57 EPS for the current year.

Insider Buying and Selling at Globant

In other Globant news, insider Wanda Weigert sold 6,000 shares of the stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $40.45, for a total transaction of $242,700.00. Following the completion of the sale, the insider directly owned 64,046 shares in the company, valued at approximately $2,590,660.70. This trade represents a 8.57% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CTO Diego Tartara sold 6,000 shares of Globant stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $40.45, for a total value of $242,700.00. Following the completion of the transaction, the chief technology officer directly owned 72,320 shares of the company's stock, valued at approximately $2,925,344. This trade represents a 7.66% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 14,500 shares of company stock valued at $585,400. 2.67% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Globant

Institutional investors have recently added to or reduced their stakes in the business. Nisa Investment Advisors LLC lifted its holdings in shares of Globant by 98.4% in the third quarter. Nisa Investment Advisors LLC now owns 1,371 shares of the information technology services provider's stock valued at $48,000 after purchasing an additional 680 shares in the last quarter. Essential Partners LLC bought a new stake in Globant during the first quarter worth $55,000. Allworth Financial LP purchased a new stake in Globant in the 2nd quarter valued at $55,000. EverSource Wealth Advisors LLC raised its position in Globant by 872.5% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,274 shares of the information technology services provider's stock valued at $59,000 after buying an additional 1,143 shares during the last quarter. Finally, Parallel Advisors LLC lifted its stake in Globant by 27.1% during the 1st quarter. Parallel Advisors LLC now owns 1,735 shares of the information technology services provider's stock valued at $80,000 after acquiring an additional 370 shares in the last quarter. 91.60% of the stock is owned by institutional investors and hedge funds.

Globant Company Profile

Globant SA is a digitally native technology services company that helps organizations develop, modernize and operate digital products and experiences. Its services include software engineering, cloud computing, data and artificial intelligence, enterprise application modernization, cybersecurity, user experience design, and digital transformation consulting.

The company serves clients across industries including financial services, media and entertainment, healthcare, retail, travel and hospitality, and consumer products.

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