Globant SA (GLOB) Stock AnalysisGLOBStock AnalysisGlobant SA

Globant S.A. is a digitally native technology services company. The Company’s principal operating subsidiary is based in Buenos Aires, Argentina. During the year ended December 31, 2015, 83.7% of its revenues were generated by clients in North America, 11.0% in Latin America and Asia, and 5.3% in Europe. It builds digital journeys, which consists of different software products, including mobile apps, Web apps, sensors and other software and hardware appliances that work orchestrated by a backend that uses big data and fast data to create a understanding of each consumer and how to act upon each scenario. The Company delivers digital journeys with a comprehensive approach that includes Stay Relevant, which helps its customers stay fit for the future of their industries; Discover, which think and conceive specific digital journeys for each customer; Build, which creates each digital journey leveraging the work of its Studios, its services over platforms and its agile pods methodologies. It operates in the Technology sector (COMPUTER PROCESSING AND DATA PREPARATION AND PROCE industry).

Globant SA is currently a hold. The stock is priced at $40.52, which is above the recent analyst target of $37 from Citi, indicating potential downside. However, the forward P/E ratio of 6.49 suggests that the stock may be undervalued relative to its earnings potential. The RSI is at 64.07, indicating that the stock is nearing overbought territory, which could lead to a pullback. The main risk is the recent disappointing earnings report, which showed a flat revenue growth year-over-year, leading to an 8.7% drop in stock price, reflecting market concerns about future growth.

9 analysts cover GLOB: 5 rate it Buy, 3 Hold and 1 Sell. The average price target is 76.36.