NYSE:GLOB, a strong growth stock, setting up for a breakout.

Last update: Jun 19, 2024

In this article, we'll take a closer look at GLOBANT SA (NYSE:GLOB) as a potential candidate for growth investing. While it's important for investors to conduct their own research, GLOBANT SA has piqued our interest by appearing on our strong growth and breakout radar. Let's explore further.

Assessing Growth Metrics for NYSE:GLOB

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NYSE:GLOB has earned a 8 for growth:

The Earnings Per Share has grown by an nice 15.86% over the past year.
GLOB shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 26.96% yearly.
GLOB shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.54%.
The Revenue has been growing by 32.04% on average over the past years. This is a very strong growth!
GLOB is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.26% yearly.
The Revenue is expected to grow by 19.32% on average over the next years. This is quite good.

Health Analysis for NYSE:GLOB

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:GLOB has achieved a 5 out of 10:

An Altman-Z score of 5.48 indicates that GLOB is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.48, GLOB is in the better half of the industry, outperforming 78.31% of the companies in the same industry.
The Debt to FCF ratio of GLOB is 1.45, which is an excellent value as it means it would take GLOB, only 1.45 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.45, GLOB is doing good in the industry, outperforming 73.49% of the companies in the same industry.
GLOB has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of GLOB (0.04) is better than 77.11% of its industry peers.

What does the Profitability looks like for NYSE:GLOB

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:GLOB was assigned a score of 5 for profitability:

GLOB has a better Return On Assets (5.80%) than 69.88% of its industry peers.
The Return On Equity of GLOB (9.17%) is better than 66.27% of its industry peers.
The Return On Invested Capital of GLOB (9.16%) is better than 74.70% of its industry peers.
With a decent Profit Margin value of 7.56%, GLOB is doing good in the industry, outperforming 71.08% of the companies in the same industry.
GLOB's Operating Margin of 11.40% is fine compared to the rest of the industry. GLOB outperforms 73.49% of its industry peers.

How does the Setup look for NYSE:GLOB

Besides the Technical Rating, ChartMill also assign a Setup Rating to every stock. This setup score also ranges from 0 to 10 and determines to which extend the stock is consolidating. This is achieved by evaluating multiple short term technical indicators. NYSE:GLOB currently has a 7 as setup rating:

Although the technical rating is bad, GLOB does present a nice setup opportunity. We see reduced volatility while prices have been consolidating in the most recent period. There is a support zone below the current price at 154.16, a Stop Loss order could be placed below this zone.

More Strong Growth stocks can be found in our Strong Growth screener.

Our latest full fundamental report of GLOB contains the most current fundamental analsysis.

Check the latest full technical report of GLOB for a complete technical analysis.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.