GLOBANT SA (GLOB) Stock Fundamental Analysis
USA - NYSE:GLOB - LU0974299876 - Common Stock
61.98 USD
+1.54 (+2.55%)
Overall GLOB gets a fundamental rating of 4 out of 10. We evaluated GLOB against 85 industry peers in the IT Services industry. GLOB has an average financial health and profitability rating. A decent growth rate in combination with a cheap valuation! Better keep an eye on GLOB.
1. Profitability
1.1 Basic Checks
GLOB had positive earnings in the past year.
GLOB had a positive operating cash flow in the past year.
GLOB had positive earnings in each of the past 5 years.
GLOB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.23%, GLOB is in line with its industry, outperforming 60.00% of the companies in the same industry.
GLOB's Return On Equity of 5.18% is in line compared to the rest of the industry. GLOB outperforms 57.65% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.36%, GLOB is in the better half of the industry, outperforming 63.53% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GLOB is significantly below the industry average of 30.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 5.18% | ||
| ROIC | 7.36% |
ROA(3y)5.94%
ROA(5y)5.42%
ROE(3y)9.16%
ROE(5y)8.2%
ROIC(3y)9.18%
ROIC(5y)8.71%
1.3 Margins
With a decent Profit Margin value of 4.43%, GLOB is doing good in the industry, outperforming 62.35% of the companies in the same industry.
GLOB's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 10.51%, GLOB is in the better half of the industry, outperforming 71.76% of the companies in the same industry.
GLOB's Operating Margin has declined in the last couple of years.
GLOB has a Gross Margin (35.55%) which is comparable to the rest of the industry.
GLOB's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.51% | ||
| PM (TTM) | 4.43% | ||
| GM | 35.55% |
OM growth 3Y-5.24%
OM growth 5Y-4.77%
PM growth 3Y-2.53%
PM growth 5Y-3.48%
GM growth 3Y-2.16%
GM growth 5Y-1.51%
2. Health
2.1 Basic Checks
GLOB has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for GLOB has been increased compared to 1 year ago.
GLOB has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, GLOB has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.72 indicates that GLOB is not a great score, but indicates only limited risk for bankruptcy at the moment.
GLOB has a Altman-Z score of 2.72. This is comparable to the rest of the industry: GLOB outperforms 52.94% of its industry peers.
GLOB has a debt to FCF ratio of 2.18. This is a good value and a sign of high solvency as GLOB would need 2.18 years to pay back of all of its debts.
The Debt to FCF ratio of GLOB (2.18) is better than 67.06% of its industry peers.
GLOB has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
GLOB has a Debt to Equity ratio (0.23) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 2.18 | ||
| Altman-Z | 2.72 |
ROIC/WACC1.02
WACC7.22%
2.3 Liquidity
GLOB has a Current Ratio of 1.71. This is a normal value and indicates that GLOB is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.71, GLOB is in line with its industry, outperforming 52.94% of the companies in the same industry.
A Quick Ratio of 1.71 indicates that GLOB should not have too much problems paying its short term obligations.
GLOB has a Quick ratio (1.71) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.32% over the past year.
Measured over the past years, GLOB shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.90% on average per year.
Looking at the last year, GLOB shows a small growth in Revenue. The Revenue has grown by 5.56% in the last year.
The Revenue has been growing by 29.66% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)0.32%
EPS 3Y19.52%
EPS 5Y22.9%
EPS Q2Q%-6.13%
Revenue 1Y (TTM)5.56%
Revenue growth 3Y23.03%
Revenue growth 5Y29.66%
Sales Q2Q%0.4%
3.2 Future
Based on estimates for the next years, GLOB will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.49% on average per year.
Based on estimates for the next years, GLOB will show a small growth in Revenue. The Revenue will grow by 6.29% on average per year.
EPS Next Y-2.99%
EPS Next 2Y0.2%
EPS Next 3Y2.8%
EPS Next 5Y8.49%
Revenue Next Year1.38%
Revenue Next 2Y1.87%
Revenue Next 3Y3.52%
Revenue Next 5Y6.29%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.82 indicates a reasonable valuation of GLOB.
Compared to the rest of the industry, the Price/Earnings ratio of GLOB indicates a rather cheap valuation: GLOB is cheaper than 89.41% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.46. GLOB is valued rather cheaply when compared to this.
GLOB is valuated reasonably with a Price/Forward Earnings ratio of 9.62.
90.59% of the companies in the same industry are more expensive than GLOB, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.39, GLOB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.82 | ||
| Fwd PE | 9.62 |
4.2 Price Multiples
GLOB's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GLOB is cheaper than 85.88% of the companies in the same industry.
GLOB's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GLOB is cheaper than 87.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.1 | ||
| EV/EBITDA | 7.08 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.43
EPS Next 2Y0.2%
EPS Next 3Y2.8%
5. Dividend
5.1 Amount
No dividends for GLOB!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:GLOB (11/19/2025, 2:58:27 PM)
61.98
+1.54 (+2.55%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners103.53%
Inst Owner Change8.6%
Ins Owners2.2%
Ins Owner ChangeN/A
Market Cap2.73B
Revenue(TTM)2.48B
Net Income(TTM)109.86M
Analysts76.43
Price Target89.16 (43.85%)
Short Float %15.77%
Short Ratio4.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.06%
Min EPS beat(2)-7.05%
Max EPS beat(2)-1.07%
EPS beat(4)0
Avg EPS beat(4)-2.75%
Min EPS beat(4)-7.05%
Max EPS beat(4)-1.07%
EPS beat(8)0
Avg EPS beat(8)-2.02%
EPS beat(12)0
Avg EPS beat(12)-1.71%
EPS beat(16)3
Avg EPS beat(16)-0.89%
Revenue beat(2)0
Avg Revenue beat(2)-2.65%
Min Revenue beat(2)-3.59%
Max Revenue beat(2)-1.71%
Revenue beat(4)0
Avg Revenue beat(4)-2.38%
Min Revenue beat(4)-3.59%
Max Revenue beat(4)-1.71%
Revenue beat(8)0
Avg Revenue beat(8)-2.12%
Revenue beat(12)0
Avg Revenue beat(12)-1.99%
Revenue beat(16)2
Avg Revenue beat(16)-1.26%
PT rev (1m)-9.35%
PT rev (3m)-27.99%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)0.14%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)-0.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.51%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-0.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.82 | ||
| Fwd PE | 9.62 | ||
| P/S | 1.1 | ||
| P/FCF | 11.1 | ||
| P/OCF | 10.27 | ||
| P/B | 1.29 | ||
| P/tB | 24.68 | ||
| EV/EBITDA | 7.08 |
EPS(TTM)6.31
EY10.18%
EPS(NY)6.45
Fwd EY10.4%
FCF(TTM)5.58
FCFY9.01%
OCF(TTM)6.03
OCFY9.73%
SpS56.35
BVpS48.13
TBVpS2.51
PEG (NY)N/A
PEG (5Y)0.43
Graham Number82.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 5.18% | ||
| ROCE | 9.18% | ||
| ROIC | 7.36% | ||
| ROICexc | 7.87% | ||
| ROICexgc | 32.24% | ||
| OM | 10.51% | ||
| PM (TTM) | 4.43% | ||
| GM | 35.55% | ||
| FCFM | 9.91% |
ROA(3y)5.94%
ROA(5y)5.42%
ROE(3y)9.16%
ROE(5y)8.2%
ROIC(3y)9.18%
ROIC(5y)8.71%
ROICexc(3y)11.64%
ROICexc(5y)13.28%
ROICexgc(3y)53.79%
ROICexgc(5y)N/A
ROCE(3y)11.45%
ROCE(5y)10.86%
ROICexgc growth 3YN/A
ROICexgc growth 5Y3.21%
ROICexc growth 3Y-26.66%
ROICexc growth 5Y-11.95%
OM growth 3Y-5.24%
OM growth 5Y-4.77%
PM growth 3Y-2.53%
PM growth 5Y-3.48%
GM growth 3Y-2.16%
GM growth 5Y-1.51%
F-Score4
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 2.18 | ||
| Debt/EBITDA | 1.16 | ||
| Cap/Depr | 12.13% | ||
| Cap/Sales | 0.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 62.74% | ||
| Profit Quality | 223.92% | ||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 | ||
| Altman-Z | 2.72 |
F-Score4
WACC7.22%
ROIC/WACC1.02
Cap/Depr(3y)82.94%
Cap/Depr(5y)91.15%
Cap/Sales(3y)5.37%
Cap/Sales(5y)5.73%
Profit Quality(3y)90.34%
Profit Quality(5y)92.43%
High Growth Momentum
Growth
EPS 1Y (TTM)0.32%
EPS 3Y19.52%
EPS 5Y22.9%
EPS Q2Q%-6.13%
EPS Next Y-2.99%
EPS Next 2Y0.2%
EPS Next 3Y2.8%
EPS Next 5Y8.49%
Revenue 1Y (TTM)5.56%
Revenue growth 3Y23.03%
Revenue growth 5Y29.66%
Sales Q2Q%0.4%
Revenue Next Year1.38%
Revenue Next 2Y1.87%
Revenue Next 3Y3.52%
Revenue Next 5Y6.29%
EBIT growth 1Y4.28%
EBIT growth 3Y16.58%
EBIT growth 5Y23.47%
EBIT Next Year40.58%
EBIT Next 3Y14.73%
EBIT Next 5Y11.47%
FCF growth 1Y-29.53%
FCF growth 3Y10.04%
FCF growth 5Y23.15%
OCF growth 1Y-21.91%
OCF growth 3Y11.59%
OCF growth 5Y25.56%
GLOBANT SA / GLOB FAQ
What is the fundamental rating for GLOB stock?
ChartMill assigns a fundamental rating of 4 / 10 to GLOB.
What is the valuation status for GLOB stock?
ChartMill assigns a valuation rating of 7 / 10 to GLOBANT SA (GLOB). This can be considered as Undervalued.
How profitable is GLOBANT SA (GLOB) stock?
GLOBANT SA (GLOB) has a profitability rating of 4 / 10.
What are the PE and PB ratios of GLOBANT SA (GLOB) stock?
The Price/Earnings (PE) ratio for GLOBANT SA (GLOB) is 9.82 and the Price/Book (PB) ratio is 1.29.