Globant (NYSE:GLOB) Shares Gap Down Following Weak Earnings

Globant S.A. (NYSE:GLOB) shares gapped down before the market opened on Friday following a weaker than expected earnings announcement. The stock had previously closed at $210.17, but opened at $187.23. Globant shares last traded at $161.38, with a volume of 1,054,051 shares trading hands.

The information technology services provider reported $1.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.75 by ($0.39). The firm had revenue of $642.48 million for the quarter, compared to analyst estimates of $644.42 million. Globant had a return on equity of 11.65% and a net margin of 7.20%.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on the stock. Susquehanna started coverage on shares of Globant in a research note on Tuesday, December 17th. They issued a “positive” rating and a $255.00 price objective for the company. Jefferies Financial Group raised their price target on shares of Globant from $240.00 to $255.00 and gave the stock a “buy” rating in a report on Tuesday, January 21st. Canaccord Genuity Group restated a “hold” rating and issued a $205.00 price target on shares of Globant in a report on Monday, November 18th. Piper Sandler reduced their price target on shares of Globant from $237.00 to $230.00 and set an “overweight” rating for the company in a report on Friday. Finally, JPMorgan Chase & Co. reduced their price objective on shares of Globant from $248.00 to $242.00 and set an “overweight” rating for the company in a report on Friday. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and thirteen have given a buy rating to the company. According to MarketBeat, Globant currently has a consensus rating of “Moderate Buy” and an average price target of $227.06.

Institutional Trading of Globant

Several hedge funds and other institutional investors have recently modified their holdings of GLOB. Creative Planning raised its position in shares of Globant by 20.5% in the third quarter. Creative Planning now owns 2,062 shares of the information technology services provider’s stock valued at $409,000 after purchasing an additional 351 shares during the period. Raymond James & Associates increased its holdings in Globant by 27.4% during the 3rd quarter. Raymond James & Associates now owns 79,234 shares of the information technology services provider’s stock worth $15,699,000 after acquiring an additional 17,035 shares during the period. Signaturefd LLC increased its holdings in Globant by 46.0% during the 3rd quarter. Signaturefd LLC now owns 292 shares of the information technology services provider’s stock worth $58,000 after acquiring an additional 92 shares during the period. International Assets Investment Management LLC bought a new position in shares of Globant in the 3rd quarter worth $36,510,000. Finally, Parcion Private Wealth LLC bought a new position in shares of Globant in the 3rd quarter worth $214,000. Institutional investors own 91.60% of the company’s stock.

Globant Trading Down 27.7 %

The stock’s fifty day moving average price is $215.37 and its 200 day moving average price is $210.82. The stock has a market cap of $6.55 billion, a P/E ratio of 39.69, a price-to-earnings-growth ratio of 2.46 and a beta of 1.39.

About Globant

Globant SA, together with its subsidiaries, provides technology services worldwide. It provides digital solutions comprising blockchain, cloud technologies, cybersecurity, data and artificial intelligence, digital experience and performance, code, Internet of Things, metaverse, and engineering and testing; and enterprise technology solutions and services, such as Agile organization, Cultural Hacking, process optimization services, as well as AWS, Google Cloud, Microsoft, Oracle, SalesForce, SAP, and ServiceNow technology solutions.