Latest Ratios: P/E Ratio 13.8x · EV/EBITDA 4.8x · ROE 4.9%. (2010–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.4B | $2.9B | $9.6B | $10.4B | $7.2B | $13.2B | $8.6B | $4.0B | $2.1B | $1.7B | $1.2B |
| Enterprise Value | $1.6B | $3.2B | $9.8B | $10.3B | $7.1B | $12.9B | $8.5B | $4.0B | $2.0B | $1.6B | $1.1B |
| P/E Ratio → | 13.82 | 28.55 | 57.64 | 65.38 | 48.46 | 137.76 | 158.84 | 74.16 | 39.94 | 54.02 | 32.07 |
| P/S Ratio | 0.56 | 1.20 | 3.96 | 4.95 | 4.05 | 10.19 | 10.62 | 6.06 | 3.96 | 4.06 | 3.66 |
| P/B Ratio | 0.66 | 1.36 | 4.70 | 5.78 | 4.63 | 10.10 | 9.82 | 9.11 | 6.11 | 6.35 | 5.64 |
| P/FCF | 5.23 | 11.26 | 43.26 | 54.11 | 70.59 | 130.41 | 186.23 | 83.73 | 53.92 | 112.27 | 158.61 |
| P/OCF | 4.87 | 10.49 | 38.44 | 32.57 | 36.48 | 73.84 | 86.54 | 50.12 | 30.75 | 39.01 | 37.52 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.29 | 4.07 | 4.94 | 3.96 | 9.97 | 10.41 | 6.14 | 3.81 | 3.94 | 3.50 |
| EV / EBITDA | 4.81 | 9.55 | 25.32 | 30.53 | 22.42 | 57.56 | 64.02 | 33.83 | 22.80 | 29.92 | 18.39 |
| EV / EBIT | 9.30 | 22.80 | 38.65 | 47.43 | 34.09 | 95.58 | 99.27 | 54.56 | 29.22 | 41.36 | 22.17 |
| EV / FCF | — | 12.14 | 44.48 | 53.96 | 69.08 | 127.64 | 182.66 | 84.78 | 51.97 | 109.16 | 151.85 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 35.0% | 35.0% | 35.7% | 36.1% | 37.6% | 38.2% | 37.4% | 38.5% | 39.0% | 36.5% | 40.9% |
| Operating Margin | 7.0% | 7.0% | 9.3% | 9.5% | 11.6% | 11.1% | 10.3% | 12.2% | 12.8% | 9.3% | 15.7% |
| Net Profit Margin | 4.2% | 4.2% | 6.9% | 7.6% | 8.4% | 7.4% | 6.7% | 8.2% | 9.9% | 7.5% | 11.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 4.9% | 4.9% | 8.7% | 9.5% | 10.4% | 8.8% | 8.2% | 13.9% | 17.1% | 13.2% | 19.9% |
| ROA | 3.2% | 3.2% | 5.6% | 6.4% | 7.3% | 6.1% | 5.5% | 9.6% | 12.8% | 9.6% | 14.5% |
| ROIC | 5.5% | 5.5% | 8.3% | 9.4% | 12.8% | 12.4% | 10.5% | 16.1% | 20.8% | 15.3% | 26.8% |
| ROCE | 6.4% | 6.4% | 9.6% | 10.4% | 12.7% | 11.2% | 10.3% | 18.2% | 21.1% | 14.9% | 24.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.22 | 0.22 | 0.20 | 0.15 | 0.09 | 0.11 | 0.13 | 0.26 | 0.01 | 0.02 | 0.00 |
| Debt / EBITDA | 1.43 | 1.43 | 1.06 | 0.82 | 0.44 | 0.65 | 0.86 | 0.94 | 0.04 | 0.11 | 0.00 |
| Net Debt / Equity | — | 0.11 | 0.13 | -0.02 | -0.10 | -0.21 | -0.19 | 0.11 | -0.22 | -0.18 | -0.24 |
| Net Debt / EBITDA | 0.69 | 0.69 | 0.69 | -0.09 | -0.49 | -1.25 | -1.25 | 0.42 | -0.86 | -0.85 | -0.82 |
| Debt / FCF | — | 0.88 | 1.21 | -0.15 | -1.50 | -2.77 | -3.56 | 1.05 | -1.96 | -3.11 | -6.76 |
| Interest Coverage | — | — | 8.87 | 9.18 | 14.74 | 12.91 | 8.19 | 11.14 | 44.22 | 28.72 | 35.67 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.64 | 1.64 | 1.54 | 1.39 | 2.00 | 2.12 | 2.60 | 1.89 | 2.29 | 2.03 | 2.42 |
| Quick Ratio | 1.64 | 1.64 | 1.54 | 1.39 | 2.00 | 2.12 | 2.60 | 1.89 | 2.34 | 2.05 | 2.51 |
| Cash Ratio | 0.43 | 0.43 | 0.29 | 0.49 | 0.80 | 1.20 | 1.45 | 0.59 | 0.94 | 0.80 | 1.10 |
| Asset Turnover | — | 0.74 | 0.76 | 0.77 | 0.81 | 0.69 | 0.63 | 0.96 | 1.18 | 1.14 | 1.13 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 85.89 | 98.45 | 96.96 | 100.16 | 96.78 | 98.13 | 94.14 | 85.01 | 81.53 | 76.87 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 7.2% | 3.5% | 1.7% | 1.5% | 2.1% | 0.7% | 0.6% | 1.3% | 2.5% | 1.9% | 3.1% |
| FCF Yield | 19.1% | 8.9% | 2.3% | 1.8% | 1.4% | 0.8% | 0.5% | 1.2% | 1.9% | 0.9% | 0.6% |
| Buyback Yield | 4.1% | 1.9% | 0.1% | 0.1% | 0.1% | 0.1% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 4.1% | 1.9% | 0.1% | 0.1% | 0.1% | 0.1% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Shares Outstanding | — | $45M | $45M | $44M | $43M | $42M | $40M | $38M | $37M | $36M | $35M |
Discretionary IT spending contraction
As reported in financial statements, Globant's P/E ratio of 13.11 and P/S of 0.53 suggest that the market has significantly discounted the firm's valuation, likely pricing in a prolonged period of stagnant growth compared to historical double-digit expansion and broader industry peers like Infosys.
The current forward P/E of 4.81 appears to imply a pessimistic outlook on near-term earnings recovery, potentially mispricing the firm's ability to pivot toward higher-margin AI-driven services. Investors should monitor whether these depressed multiples represent a value opportunity or a structural re-rating of the company's long-term growth potential.
Based on Globant's reported figures, ROIC has trended downward to 1.7% in 2026Q1 from a peak of 2.5% in 2024Q3, indicating that the firm is struggling to generate meaningful returns on its invested capital as it continues to integrate recent acquisitions into its studio model.
The persistent decline in ROIC suggests that the company's aggressive M&A strategy may be diluting overall capital efficiency rather than enhancing it. This trend warrants further investigation into whether the firm can improve its asset turnover or if the current cost of integration is permanently impairing its ability to compound returns.
According to recent SEC filings, Globant's DSO has remained elevated, reaching 93 days in 2026Q1, which highlights a persistent challenge in converting billable hours into cash compared to more efficient peers who maintain tighter control over their accounts receivable and client payment terms.
The inability to compress the cash conversion cycle suggests that the firm may be granting extended payment terms to secure large-scale contracts, which places additional strain on its operating cash flow. This inefficiency appears to be a structural drag on liquidity that limits the company's operational flexibility during periods of revenue volatility.
As indicated by peer comparison data, Globant's 1.7% ROIC significantly lags behind industry leaders like Infosys at 34.4% and EPAM at 15.5%, suggesting that the firm's current operational model is less efficient at converting its specialized service offerings into bottom-line profitability than its larger, more established competitors.
While Globant's studio-based model offers unique agility, the wide gap in profitability metrics suggests that the firm has yet to achieve the economies of scale necessary to compete with the margins of legacy IT services providers. Investors should monitor whether this gap is a temporary result of aggressive reinvestment or a permanent structural disadvantage.
Based on the provided financial data, the P/E ratio is frequently misapplied to Globant, as it fails to account for the significant non-cash stock-based compensation and acquisition-related amortization that distort reported net income and obscure the firm's true underlying cash-generating capacity.
Analysts should prioritize EV/EBITDA or P/FCF metrics to better assess the firm's operational performance, as these ratios provide a clearer view of cash flow before the impact of accounting adjustments. Relying solely on P/E may lead to an inaccurate assessment of the company's valuation in a high-M&A environment.
Includes 30+ ratios · 16 years · Updated daily
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Quick answers to the most common questions about buying GLOB stock.
Globant S.A.'s current P/E ratio is 13.8x. The historical average is 63.2x.
Globant S.A.'s current EV/EBITDA is 4.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 30.7x.
Globant S.A.'s return on equity (ROE) is 4.9%. The historical average is 15.0%.
Based on historical data, Globant S.A. is trading at a P/E of 13.8x. Compare with industry peers and growth rates for a complete picture.
Globant S.A. has 35.0% gross margin and 7.0% operating margin.
Globant S.A.'s Debt/EBITDA ratio is 1.4x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.