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olivLaw · US equity research

Globant S.A. GLOB

Services-Computer Processing & Data Preparation · SIC 7374 · Vertical: Services-Computer Processing & Data Preparation (SIC 7374)

48.04USD+4.96% · 1 dayClose 04 Nov 2026

Globant is a global technology services provider that supports clients' digital transformation and AI initiatives, from software engineering to design and marketing services. The company reported revenue of 2.5 billion USD in fiscal 2025, up 1.6% from 2024, against a backdrop of demand for AI services that is still taking shape.

The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).

At the close of 04 Nov 2026, Globant S.A. (GLOB) stock was 48.04 USD (+4.96% on the day), with market capitalisation 2.1 bn USD, P/E 21.0 on diluted EPS of 2.29 USD over the last 12 months, beta 1.28, 52-week range 27.73–71.21 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
2.1 bn USD
shares as of 31 Dec 2025
P/E (TTM)
21.0
Diluted EPS TTM 2.29 · TTM to 31 Dec 2025
E/P (TTM)
4.77%
TTM to 31 Dec 2025
Dividend yield
unavailable
Beta (2y)
1.28
Volatility (1y) 60%
52-week range
27.7371.21

Price history

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Technical reading

RSI (14)
69.0
strong (55–70)
Bollinger (20, 2)
34.33 – 49.83
in the upper half of the band · %B 0.88 · band width 36.8%
SMA 50 / 200
39.12 / 41.84
mixed trend
MACD (12, 26, 9)
2.58 / 2.08
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month+34.4%−1.1%+35.5 pp—
3 months+25.2%−0.5%+25.6 pp—
6 months+18.1%+4.4%+13.7 pp—
Year to date−26.5%+12.3%−38.8 pp—
1 year−18.4%+13.5%−31.9 pp−19.2%
3 years−74.1%+76.4%−150.5 pp−18.1%
5 years−86.0%+63.7%−149.6 pp—
Max drawdown (1y)
−61.1%
05 Dec 2025 → 25 Jun 2026
Max drawdown (5y)
−92.2%
09 Nov 2021 → 25 Jun 2026
Compound annual growth (5y)
−32.5%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

ESEF annual reports carry no quarters: the results are annual (below).

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 0 percentile of its own 10-quarter history (min 28.5, median 56.5, max 158.8; quarters with earnings only).

Fiscal years

Fiscal year20182019202020212022202320242025
Revenue522.3 m659.3 m814.1 m1.3 bn1.8 bn2.1 bn2.4 bn2.5 bn
Revenue YoY+26.3%+26.2%+23.5%+59.3%+37.3%+17.7%+15.3%+1.6%
Net income51.7 m54.0 m54.2 m96.1 m148.9 m158.5 m165.7 m102.9 m
Net income YoY+69.2%+4.5%+0.4%+77.2%+55.0%+6.5%+4.5%−37.9%
Diluted EPS1.411.431.372.283.473.643.722.29
Diluted EPS YoY+67.9%+1.4%−4.2%+66.4%+52.2%+4.9%+2.2%−38.4%
net %9.9%8.2%6.7%7.4%8.4%7.6%6.9%4.2%
Free cash flow48.0 m59.4 m70.6 m136.2 m150.5 m273.4 m221.0 m282.0 m

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
243.7 m USD
Financial debt
347.0 m USD
Net debt
103.3 m USD
Equity
2.2 bn USD
Total assets
3.3 bn USD
Debt / equity
0.16x
Current ratio
1.64x
ROE
4.9%
ROA
3.2%
FCF margin
11.5%

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
2.1 bn
2024
2.4 bn
2025
2.5 bn

SEC (XBRL)· 27 Feb 2026verified

Cost of revenue
2023
1.3 bn
2024
1.6 bn
2025
1.6 bn

SEC (XBRL)· 27 Feb 2026verified

Gross profit
2023
755.8 m
2024
863.4 m
2025
859.3 m

SEC (XBRL)· 27 Feb 2026verified

Operating income
2023
199.0 m
2024
225.4 m
2025
171.7 m

SEC (XBRL)· 27 Feb 2026verified

Interest expense
2023
23.8 m
2024
32.2 m
2025
40.6 m

SEC (XBRL)· 27 Feb 2026verified

Pre-tax income
2023
198.0 m
2024
210.4 m
2025
139.1 m

SEC (XBRL)· 27 Feb 2026verified

Income tax
2023
39.5 m
2024
41.4 m
2025
35.2 m

SEC (XBRL)· 27 Feb 2026verified

Net income
2023
158.5 m
2024
165.7 m
2025
102.9 m

SEC (XBRL)· 27 Feb 2026verified

Diluted EPS
2023
3.64
2024
3.72
2025
2.29

SEC (XBRL)· 27 Feb 2026verified

Weighted average diluted shares
2023
43.6 m
2024
44.6 m
2025
45.0 m

SEC (XBRL)· 27 Feb 2026verified

Balance sheet · USD

Cash
2023
307.2 m
2024
142.1 m
2025
243.7 m

SEC (XBRL)· 27 Feb 2026verified

Current assets
2023
924.5 m
2024
838.5 m
2025
953.8 m

SEC (XBRL)· 27 Feb 2026verified

Property, plant & equipment, net
2023
162.7 m
2024
154.8 m
2025
137.3 m

SEC (XBRL)· 27 Feb 2026verified

Goodwill
2023
1.1 bn
2024
1.5 bn
2025
1.6 bn

SEC (XBRL)· 27 Feb 2026verified

Intangibles (excl. goodwill)
2023
285.7 m
2024
378.0 m
2025
346.0 m

SEC (XBRL)· 27 Feb 2026verified

Total assets
2023
2.7 bn
2024
3.1 bn
2025
3.3 bn

SEC (XBRL)· 27 Feb 2026verified

Long-term debt
2023
2.2 m
2024
290.9 m
2025
347.0 m

SEC (XBRL)· 27 Feb 2026verified

Current liabilities
2023
665.3 m
2024
507.2 m
2025
580.3 m

SEC (XBRL)· 27 Feb 2026verified

Total liabilities
2023
931.2 m
2024
1.1 bn
2025
1.2 bn

SEC (XBRL)· 27 Feb 2026verified

Equity
2023
1.8 bn
2024
2.0 bn
2025
2.2 bn

SEC (XBRL)· 27 Feb 2026verified

Shares outstanding at year end
2023
43.1 m
2024
44.0 m
2025
43.8 m

SEC (XBRL)· 27 Feb 2026verified

Cash flow · USD

Operating cash flow
2023
318.5 m
2024
248.7 m
2025
301.2 m

SEC (XBRL)· 27 Feb 2026verified

Capex
2023
45.1 m
2024
27.7 m
2025
19.2 m

SEC (XBRL)· 27 Feb 2026verified

Free cash flow
2023
273.4 m ≈
2024
221.0 m ≈
2025
282.0 m ≈

SEC (XBRL)· 27 Feb 2026derived

Investing cash flow
2023
-350.4 m
2024
-403.9 m
2025
-134.5 m

SEC (XBRL)· 27 Feb 2026verified

Financing cash flow
2023
44.5 m
2024
-5.8 m
2025
-64.6 m

SEC (XBRL)· 27 Feb 2026verified

Share repurchases
2023
11.5 m
2024
10.7 m
2025
56.1 m

SEC (XBRL)· 27 Feb 2026verified

Computed indicators

Growth

Revenue growth (YoY)
1.6%
computed by olivLawFY 2025
Revenue CAGR 3Y
11.3%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
24.7%
computed by olivLawFY 2020 → FY 2025
EBIT growth (YoY)
-23.8%
computed by olivLawFY 2025
Net income growth (YoY)
-37.9%
computed by olivLawFY 2025
Net income CAGR 3Y
-11.6%
computed by olivLawFY 2022 → FY 2025
Net income CAGR 5Y
13.7%
computed by olivLawFY 2020 → FY 2025
EPS growth (YoY)
-38.4%
computed by olivLawFY 2025
EPS CAGR 3Y
-12.9%
computed by olivLawFY 2022 → FY 2025
EPS CAGR 5Y
10.8%
computed by olivLawFY 2020 → FY 2025
FCF growth (YoY)
27.6%
computed by olivLawFY 2025

Profitability

Gross margin
35.0%
computed by olivLawFY 2025
EBITDA margin
unavailable
input data missing
EBIT margin
7.0%
computed by olivLawFY 2025
Net margin
4.2%
computed by olivLawFY 2025
FCF margin
11.5%
computed by olivLawFY 2025

Returns

ROE
5.1%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROA
3.2%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROIC
5.8%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROCE
6.3%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Payout ratio (EPS)
unavailable
input data missing
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
103.3 m USD
computed by olivLawbalance sheet at 31 Dec 2025
Net debt / EBITDA
unavailable
input data missing
Debt / equity
0.2x
computed by olivLawbalance sheet at 31 Dec 2025
Interest coverage
4.2x
computed by olivLawFY 2025

Liquidity

Current ratio
1.6x
computed by olivLawbalance sheet at 31 Dec 2025
Cash ratio
0.4x
computed by olivLawbalance sheet at 31 Dec 2025

Cash

Operating cash flow
301.2 m USD
computed by olivLawFY 2025
Capital expenditure
19.2 m USD
computed by olivLawFY 2025
Free cash flow
282.0 m USD
computed by olivLawFY 2025
FCF conversion
274.0%
computed by olivLawFY 2025
Cash conversion
unavailable
input data missing

Efficiency

Days sales outstanding
unavailable
input data missing
Days payables outstanding
unavailable
input data missing

Market and valuation

Market capitalisation
2.1 bn USD
computed by olivLawbalance sheet at 31 Dec 2025
Enterprise value
2.2 bn USD
computed by olivLawbalance sheet at 31 Dec 2025
Market cap / net income TTM
20.5x
computed by olivLawFY 2025
P/E (TTM)
21.0x
computed by olivLawFY 2025
Earnings yield
4.8%
computed by olivLawFY 2025
P/B
1.0x
computed by olivLawbalance sheet at 31 Dec 2025
P/S
0.9x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/EBITDA
unavailable
input data missing
EV/EBIT
12.9x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/Sales
0.9x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
P/FCF
7.5x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
FCF yield
13.4%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero
Shareholder yield (distributions)
2.7%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025

4 indicators that do not apply to the sector.

Valuation

olivLaw classification

Neutral profile

Score: 51 / 100

A scoring methodology on indicators and valuation, not investment advice.

Closing price

48.04 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 2.1 bn USD

Key indicators

Market capitalisation
2.1 bn USD
computed by olivLawbalance sheet at 31 Dec 2025
P/E (TTM)
21.0x
computed by olivLawFY 2025
P/B
1.0x
computed by olivLawbalance sheet at 31 Dec 2025
EV/EBITDA
unavailable
input data missing
ROE
5.1%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Net margin
4.2%
computed by olivLawFY 2025
Revenue growth (YoY)
1.6%
computed by olivLawFY 2025
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero

Coverage and freshness

27/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 31 Dec 2025
Latest balance sheet date: 31 Dec 2025
Share count (cover of the latest filing), as of: 31 Dec 2025
Source: SEC (XBRL)published 27 Feb 2026
verified 302

Score by group

  • Balance sheet50
  • Valuation75
  • Quality32
  • Growth41
  • Returns78

Estimated value range

Low
68.87
USD per share
Mid
112.63
USD per share
High
221.35
USD per share
Price: 48.04 USD
The price is below the range
Potential to the central value: 134.4% (value / price − 1)
Margin of safety: 57.3% (1 − price / value)
Agreement between methods: low · 2 methods used · 2 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 21.71 – 255.36 USD.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)116.04 – 187.34 (Mid 143.00)
    WACC 8.6% · starting FCFF 312.3 m USD · terminal value share of EV 76%
    The WACC × g sensitivity gives the method's bounds; these are not probabilities.
    Reverse DCF: no growth between −30% and +40% justifies the price
  • Peers: EV/Sales21.71 – 255.36 (Mid 82.26)
    13 companies used · median multiple 1.5x · quartiles 0.4x – 4.6x
    ADP, CARS, CLVT, DXC, EVTC, GMHS, IBEX, PLTK, SOPH, SSTK, VRSK, WDAY, YEXT
  • Peers: EV/EBITDAunavailable · input data missing
Multiple comparisons use the SIC vertical: Services-Computer Processing & Data Preparation (SIC 7374)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Neutral profile · Score 51/100

FactorValueScoreWeight used
Gross margin · Quality35.0%0 (on a fixed band)11%
EBIT margin · Quality7.0%58 (vs peers)9%
FCF margin · Quality11.5%46 (on a fixed band)9%
Revenue CAGR 3Y · Growth11.3%45 (on a fixed band)18%
Revenue growth (YoY) · Growth1.6%32 (vs peers)9%
Net debt / EBITDA · Balance sheetunavailableunavailable—
Current ratio · Balance sheet1.6x50 (on a fixed band)7%
EV/Sales · Valuation0.9x56 (vs peers)18%
FCF yield · Valuation13.4%100 (on a fixed band)14%
Shareholder yield (distributions) · Returns2.7%78 (on a fixed band)5%

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet· partial50/100 · 1/2 factors with a value
  • Growth41/100 · 2/2 factors with a value
  • Quality32/100 · 3/3 factors with a value
  • Returns78/100 · 1/1 factors with a value
  • Valuation75/100 · 2/2 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

Globant S.A. (GLOB). Latest full fiscal year: 2025; data up to 2025-12-31.

Figures computed from the financial statements: revenue 2.5 bn USD in 2025; YoY growth 1.6%; net margin 4.2%; ROE 5.1%.

The estimated value range is 68.87–221.35 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 112.63 USD, the price of 48.04 USD leaves a potential of 134.4% (value / price − 1) and a margin of safety of 57.3% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

olivLaw score 51/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: balance. Not investment advice.

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • FCF yield: 13.4%
  • Shareholder yield (distributions): 2.7%
  • The price is below the estimated value range

What contradicts it

  • Gross margin: 35.0%
  • The valuation methods diverge

Not assessed (insufficient data or a ratio without meaning): Net debt / EBITDA.

Versus the vertical median

Services-Computer Processing & Data Preparation (SIC 7374) · same industry (4-digit SIC) · compared with 39 companies

Multiples and returns vs the median

P/E
21.0x
vertical median 22.1x
below median (−5.2%)
EV/EBITDA
—
vertical median 7.2x
P/S
0.9x
vertical median 0.9x
below median (−7.9%)
P/B
1.0x
vertical median 1.0x
at median
ROE
5.1%
vertical median 11.8%
below median (−57.1%)
Net margin
4.2%
vertical median 5.9%
below median (−28.9%)
EBIT margin
7.0%
vertical median 3.2%
above median (+120.9%)
Revenue YoY
1.6%
vertical median 6.7%
below median (−75.9%)
Net debt/EBITDA
—
vertical median -0.3x
Dividend yield
—
vertical median 2.2%

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
ADPAutomatic Data Processing, Inc.119.8 bn27.777.0%20.1%+6.7%+19% / +32%
WDAYWorkday, Inc.44.4 bn40.916.0%12.3%+13.1%−6% / −25%
VRSKVerisk Analytics, Inc.25.9 bn30.1—29.3%+6.6%−12% / −18%
ATHMAutohome Inc.10.4 bn53.56.3%443.2%+11.1%−5% / −18%
DXCDxc Technology Company2.3 bn21.93.7%0.9%−1.8%+13% / −36%
GLOBGlobant S.A.2.1 bn21.05.1%4.2%+1.6%−18% / −74%
EVTCEVERTEC, Inc.2.1 bn22.914.4%9.0%+10.2%+20% / −6%
INODInnodata Inc1.5 bn32.837.7%14.7%+47.6%−25% / +541%
CLVTClarivate PLC1.4 bn—-8.2%-15.1%−4.0%−44% / −73%
LZLegalZoom.com, Inc.1.1 bn56.012.1%2.6%+10.9%−26% / −40%
PLTKPlaytika Holding Corp.808.6 m——-9.9%+8.1%−48% / −76%
YEXTYext, Inc.775.0 m40.627.8%5.9%+6.1%−7% / +18%
NRDSNerdWallet, Inc.754.4 m13.318.2%7.6%+21.7%−21% / +1%
NXTTNext Technology Holding Inc.736.5 m—-59.4%-2,356.0%+545.3%−99% / −100%
CARSCars.com Inc.682.5 m22.47.4%4.7%+0.6%+10% / −32%
IBEXIBEX Limited593.6 m14.330.4%7.2%+15.4%+27% / +152%
SOPHSOPHiA GENETICS SA477.3 m—-110.0%-102.2%+18.6%+42% / +73%
GRVYGravity Co., Ltd.475.7 m0.016.5%17.0%−31.0%+19% / −6%
SOHUSohu.com Limited355.1 m1.035.8%67.4%−2.4%−12% / +70%
MOVECorvex, Inc.176.9 m—-9.6%-623.5%−57.3%−17% / −93%
SSTKShutterstock, Inc.161.1 m—-43.4%-22.9%+5.8%−79% / −90%
TRAKRepositrak, Inc.132.7 m18.714.9%32.5%+3.0%−46% / −29%
GMHSGamehaus Holdings Inc.51.4 m8.511.8%4.1%−11.3%−35% / −93%
DDIDoubleDown Interactive Co., Ltd.34.1 m0.311.4%28.5%+5.5%+48% / +72%
SJScienjoy Holding Corporation23.5 m—-66.6%-47.3%−4.9%+28% / −68%

1- and 3-year price returns: for GLOB from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

The engine has no published run for this company yet.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
1 years
31.10
Total return -35% · Per year -35%
54.82
Total return 14% · Per year 14%
82.35
Total return 71% · Per year 71%
3 years
34.46
Total return -28% · Per year -10%
67.92
Total return 41% · Per year 12%
111.39
Total return 132% · Per year 32%
5 years
38.17
Total return -21% · Per year -4%
84.14
Total return 75% · Per year 12%
150.68
Total return 214% · Per year 26%
What moves the 3-year price the most
  • Exit P/E± 16.98
  • Net margin± 11.89
  • Annual revenue growth± 9.16
  • Annual dilution± 1.00

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

Possibly outdated: the newest document it read is from 27 Feb 2026; since then the company filed 6-K (29 Oct 2026), 6-K (20 Aug 2026), 6-K (13 Aug 2026), 6-K (14 May 2026), 6-K (28 Apr 2026), 6-K (27 Mar 2026).

In brief

Globant is a global technology services provider that supports clients' digital transformation and AI initiatives, from software engineering to design and marketing services. The company reported revenue of 2.5 billion USD in fiscal 2025, up 1.6% from 2024, against a backdrop of demand for AI services that is still taking shape 1.

SWOT

Strengths

  • A global footprint across many countries, long relationships with large clients, and a client base that contributes a high share of revenue 1.
  • A long-term investment in AI, with proprietary platforms and partnerships with major cloud providers 1.
  • A distinct organisational culture and recognition from external analysts for innovation and services 1.

Weaknesses

  • Recent growth has been slower than anticipated, and the filing warns the slowdown could continue 1.
  • Gross margin has declined in recent years, reflecting rising salary costs and pricing pressure 1.
  • Reliance on time-and-materials contracts makes revenue sensitive to staff utilisation 1.

Opportunities

  • Demand for agentic AI solutions and subscription delivery models could generate new revenue if it materialises 1.
  • Expansion into emerging regions and specific industries could open new revenue sources 1.
  • Strategic acquisitions, such as those in AI and data, could extend capabilities and client reach 1.

Threats

  • Client IT spending cuts driven by macroeconomic conditions could weigh on demand 1.
  • AI regulation and reputational risks tied to AI use could raise compliance costs 1.
  • Intense competition and pricing pressure could erode market share and margins 1.

Risks

  • Uncertain demand for AIhigh

    Demand for AI products and services is hard to predict, and investments may not deliver the expected results 1.

  • Workforce managementhigh

    High attrition and competition for talent could reduce utilisation and productivity, affecting project delivery 1.

  • Dependence on large clientsmedium

    Loss or reduction of business with the largest clients could affect revenue given the concentration in a few accounts 1.

  • Macroeconomic and geopolitical exposuremedium

    Economic conditions, inflation, currency movements and trade tariffs could affect results in the countries where the company operates 1.

  • Cost of the optimisation planlow

    The business optimisation plan launched in 2025 carries restructuring costs and the risk of employee claims, which could raise expenses 1.

Investment thesis

What would need to be true (bull case)

  • If demand for AI services and agentic suites grows, the company could benefit from its existing client base and broad global presence 1.
  • A high share of revenue from existing clients could provide stability if long-term relationships hold 1.
  • If the AI Pods model scales, it could improve revenue predictability and speed AI adoption for clients 1.

What would break the thesis

  • If growth stays slow and client IT budgets keep shrinking, revenue could stagnate as it has in recent years 1.
  • If gross margin keeps declining under rising salary costs, profitability could be pressured 1.
  • If AI regulation becomes more restrictive, compliance costs could rise and limit the company's offerings 1.

What to watch

  • Revenue trend and demand for AI servicesQ1 2027
  • Attrition rate and staff utilisation2027
  • Enforcement of the EU AI Act and its impact on offerings2027

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

Possibly outdated: the newest document it read is from 27 Feb 2026; since then the company filed 6-K (29 Oct 2026), 6-K (20 Aug 2026), 6-K (13 Aug 2026), 6-K (14 May 2026), 6-K (28 Apr 2026), 6-K (27 Mar 2026).

The business

Globant was founded in 2003 in Argentina and is listed on the NYSE under the ticker GLOB, with a presence in 31 countries 1. The company delivers services mainly under time-and-materials contracts, with a smaller share under fixed-price contracts and sales of technology solutions and licences 1. In 2025 it introduced the subscription-based AI Pods delivery model, powered by its Globant Enterprise AI platform 1.

Segments

Core Studios

The three Core Studios (Digital, GUT and Enterprise) group cross-functional expertise: software and data engineering, marketing and advertising through the GUT network, and business process transformation on enterprise platforms such as SAP, Salesforce and AWS 1.

AI Industry Studios and AI platforms

The industry studios combine AI with sector expertise across eight verticals, and the platform offering includes the agentic suites GeneXus, CODA and Navigate, plus the StarMeUp and DaXia platforms 1.

Digital transformation services

Clients are medium to large companies; the main verticals are banks, financial services and insurance, followed by media and entertainment, and consumer, retail and manufacturing 1.

Market context

The market for digital transformation and AI IT services is competitive and changing quickly, and client demand for traditional projects has been affected by IT spending cuts and the evolution of products with AI capabilities 1. The company operates in North America, Latin America, Europe and new markets, with revenue shares of 54.3% in North America and 20.1% in Latin America in fiscal 2025 1.

Trends

  • Demand for AI servicestailwind

    The company has invested in AI for over a decade and launched AI Pods and agentic suites, which could support growth if demand for AI materialises 1.

  • Uncertainty around AI modelsheadwind

    The market for AI products is evolving rapidly and is hard to predict, and investments in AI products could prove insufficient or demand could fail to materialise 1.

  • AI regulation in the EUmixed

    The EU AI Act imposes transparency and risk assessment obligations with fines of up to 7% of global turnover, and most obligations become enforceable from August 2026, which could raise compliance costs 1.

  • Pressure on talent and wagesheadwind

    Competition for IT professionals has increased and the attrition rate reached 13.6% in fiscal 2025, up from 9.5% in 2024, which could weigh on utilisation and productivity 1.

Competitive position

Globant competes with other technology and IT services providers, and the filing notes that intensifying competition, pricing pressure or loss of market share could affect revenue 1. The source does not explicitly name US-listed competitors, so none are listed here.

  • IT and technology services providers

    The filing refers generally to technology and IT services competitors without naming them, so no US-listed peers are specified 1.

  • Advertising and digital marketing agencies

    Through the GUT network the company also competes in advertising and marketing; the source does not name competitors in this segment 1.

  • Enterprise AI platform providers

    The company mentions competing with offerings from established players in AI products without naming them 1.

  • Cloud and software partners

    Relationships with cloud providers are partnerships rather than direct competition, and the source names no comparable players 1.

News & filings

In the press

Sources

  1. [1] Form 20-F, fiscal year ended 2025-12-31 · SEC / Globant S.A. · 27 Feb 2026

Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.