Globant’s Average Analyst Price Target Set at $98.67 with 6 Buys, 10 Holds, 1 Sell
Seventeen brokerages covering Globant issued an average “Hold” rating, comprising six Buy, ten Hold and one Sell recommendations, with a one-year mean price target of $98.67. JPMorgan lowered target to $75 and Canaccord trimmed to $70, while Wells Fargo upgraded shares to Hold and Weiss Ratings held a Sell view.
1. Analyst Ratings Distribution
Seventeen brokerages currently cover Globant, assigning one sell recommendation, ten hold recommendations and six buy recommendations. The consensus one-year price target across these firms stands at $98.67, reflecting a variance of approximately 40% above today’s consensus target. Recently, JPMorgan Chase & Co. lowered its target from $78.00 to $75.00 and maintained a neutral stance, while Canaccord Genuity Group trimmed its target from $80.00 to $70.00 with a hold recommendation. UBS Group has reaffirmed its neutral rating with a $70.00 target, and Weiss Ratings continues to see the shares as a sell (d+).
2. Quarterly Results and Guidance
In its latest quarter, Globant reported revenue of $617.14 million, marginally exceeding analysts’ expectations of $615.32 million, while earnings per share of $1.53 fell just shy of the $1.55 consensus. Net margin for the period stood at 4.01% and return on equity at 10.39%. Revenue growth year-over-year was a modest 0.4%, down from $1.63 per share a year earlier. For fiscal 2025, management projects full-year EPS of 6.12 and fourth-quarter EPS of 1.53, compared with the 5.73 consensus forecast for the current year.
3. Board-Approved Share Repurchase
On October 1st, Globant’s board authorized a $125 million share buyback program, representing up to 5% of outstanding shares. The repurchase plan underscores management’s belief that the stock is undervalued and provides potential support for shareholder returns. To date, no shares have been reported repurchased under this authorization, leaving the full program available for deployment in the open market.
4. Institutional Ownership Trends
Institutional investors hold 91.6% of Globant’s float. Notable moves include Invesco Ltd., which increased its stake by 199.1% in Q2 to 2.83 million shares (approximately $256.8 million), and ARGA Investment Management LP, which boosted holdings by 14,073.7% in Q3 to 2.06 million shares (around $118.1 million). Westfield Capital Management added 34.1% more shares in Q2, bringing its position to 1.10 million shares (nearly $100.0 million), while Schroder Investment Management and AllianceBernstein each lifted stakes by 20.1% and 6,875.8%, respectively.