MeritValue

Globant S.A.

GLOBdata completeness 100%11 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'depreciationAmortization'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'realEstateImpairment'; no data for concept 'dividendsPaid'

The thesis, from the filings

Globant S.A. earns about 9% on invested capital, barely covering its ~9% cost of capital, but has diluted owners by 5% over 5 years — worth asking whether the growth reaches owners. The estimate methods put fair value between $34.66 and $359.11 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$1.3B1$1.78B2$2.1B3$2.42B3$2.45B3
Net income$96.1M4$148.9M5$158.5M6$165.7M6$102.9M6
Operating cash flow$179M7$197.5M8$318.5M9$248.7M9$301.2M9
Capital expenditure$42.8M10$47.1M11$45.1M12$27.7M12$19.2M12
Free cash flow (derived)$136.2M7$150.5M8$273.4M9$221M9$282M9
Total debt$12.2M13$3.7M14$159.1M14$292.5M14$366.7M14
Cash & equivalents$427.8M15$292.5M16$307.2M16$142.1M16$243.7M16
Diluted shares41.9M42.3M43.1M44.0M43.8M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$477.6
your share of equity
Profit it earned you last year
$23.48
Free cash flow it threw off
$64.32
Debt you’d be carrying
$83.65

10 shares is a claim on $477.6 of net worth that earned you $23.48 and generated $64.32 of cash last year, against $83.65 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
9% avg · 5y
FY21 11%FY22 12%FY23 10%FY24 8%FY25 5%

It earned about 9% on invested capital against a ~9% cost of capital — roughly what it costs to fund the business, so the numbers show no clear edge.

seeing a moat in the numbers →
Management signal · capital allocation
+5% shares · 5y

Share count is up 5% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 2896% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0

The 3 estimate methods that apply put fair value between $34.66 and $359.11 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$359.11
assumptions (10)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth20.0%
  • fcfBase$273.4M
DCF · Growth Exit 5Y
$195.76
assumptions (10)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth20.0%
  • fcfBase$273.4M
Earnings Power Value
$34.66
assumptions (8)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$148.9M
  • growthAssumed0.0%
Graham Number
$49.61
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years20.0%
Discount rate (WACC)9.08%
Terminal growth2.5%
At your growth, a share is worth $195.76
The three cases
Bear0.0%$84.37
Base20.0%$195.76
Bull20.0%$195.76

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 20.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 20-F · period ending 2021-12-31 · accession 0001628280-24-008037 (Revenue)
  2. 20-F · period ending 2022-12-31 · accession 0001628280-25-009110 (Revenue)
  3. 20-F · period ending 2023-12-31 · accession 0001628280-26-012910 (Revenue)
  4. 20-F · period ending 2021-12-31 · accession 0001628280-24-008037 (ProfitLossAttributableToOwnersOfParent)
  5. 20-F · period ending 2022-12-31 · accession 0001628280-25-009110 (ProfitLossAttributableToOwnersOfParent)
  6. 20-F · period ending 2023-12-31 · accession 0001628280-26-012910 (ProfitLossAttributableToOwnersOfParent)
  7. 20-F · period ending 2021-12-31 · accession 0001628280-24-008037 (CashFlowsFromUsedInOperatingActivities)
  8. 20-F · period ending 2022-12-31 · accession 0001628280-25-009110 (CashFlowsFromUsedInOperatingActivities)
  9. 20-F · period ending 2023-12-31 · accession 0001628280-26-012910 (CashFlowsFromUsedInOperatingActivities)
  10. 20-F · period ending 2021-12-31 · accession 0001628280-24-008037 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  11. 20-F · period ending 2022-12-31 · accession 0001628280-25-009110 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  12. 20-F · period ending 2023-12-31 · accession 0001628280-26-012910 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  13. 20-F · period ending 2021-12-31 · accession 0001628280-25-009110 (Borrowings)
  14. 20-F · period ending 2022-12-31 · accession 0001628280-26-012910 (Borrowings)
  15. 20-F · period ending 2021-12-31 · accession 0001628280-25-009110 (CashAndCashEquivalents)
  16. 20-F · period ending 2022-12-31 · accession 0001628280-26-012910 (CashAndCashEquivalents)