An Overview of Globant's Earnings

Globant GLOB will release its quarterly earnings report on Thursday, 2025-05-15. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Globant to report an earnings per share (EPS) of $1.59.

The announcement from Globant is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Performance in Previous Earnings

Last quarter the company beat EPS by $0.01, which was followed by a 27.81% drop in the share price the next day.

Here's a look at Globant's past performance and the resulting price change:

Performance of Globant Shares

Shares of Globant were trading at $140.36 as of May 13. Over the last 52-week period, shares are down 22.99%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Opinions on Globant

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Globant.

A total of 11 analyst ratings have been received for Globant, with the consensus rating being Outperform. The average one-year price target stands at $192.36, suggesting a potential 37.05% upside.

Peer Ratings Overview

In this comparison, we explore the analyst ratings and average 1-year price targets of DXC Technology, ASGN and EPAM Systems, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for DXC Technology, with an average 1-year price target of $16.0, suggesting a potential 88.6% downside.
• Analysts currently favor an Buy trajectory for ASGN, with an average 1-year price target of $61.33, suggesting a potential 56.31% downside.
• Analysts currently favor an Outperform trajectory for EPAM Systems, with an average 1-year price target of $218.86, suggesting a potential 55.93% upside.

Summary of Peers Analysis

The peer analysis summary provides a snapshot of key metrics for DXC Technology, ASGN and EPAM Systems, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

Globant ranks highest in Revenue Growth and Gross Profit among its peers. It also has the highest Return on Equity.

Delving into Globant's Background

Globant is a next-generation IT services company that primarily assists clients with their digital transformation efforts by creating customized software for them. The company was founded in 2003 in Argentina but is currently headquartered in Luxembourg and primarily serves clients in the US and Latin America. Globant's client base is relatively concentrated in the media and entertainment and financial services industries.

Globant: A Financial Overview

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Over the 3 months period, Globant showcased positive performance, achieving a revenue growth rate of 10.64% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Globant's net margin is impressive, surpassing industry averages. With a net margin of 5.64%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 1.88%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Globant's ROA excels beyond industry benchmarks, reaching 1.19%. This signifies efficient management of assets and strong financial health.

Debt Management: Globant's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.21.

To track all earnings releases for Globant visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.