Critical Review: Globant (NYSE:GLOB) vs. E2open Parent (NYSE:ETWO)

Globant (NYSE:GLOBGet Free Report) and E2open Parent (NYSE:ETWOGet Free Report) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, dividends, valuation, earnings and risk.

Profitability

This table compares Globant and E2open Parent’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Globant 7.20% 11.65% 7.88%
E2open Parent -74.63% 4.38% 2.12%

Institutional & Insider Ownership

91.6% of Globant shares are owned by institutional investors. 2.7% of Globant shares are owned by company insiders. Comparatively, 4.7% of E2open Parent shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for Globant and E2open Parent, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Globant 1 4 13 0 2.67
E2open Parent 1 3 0 0 1.75

Globant currently has a consensus target price of $230.28, suggesting a potential upside of 6.82%. E2open Parent has a consensus target price of $3.28, suggesting a potential upside of 16.55%. Given E2open Parent’s higher probable upside, analysts clearly believe E2open Parent is more favorable than Globant.

Volatility & Risk

Globant has a beta of 1.39, indicating that its share price is 39% more volatile than the S&P 500. Comparatively, E2open Parent has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.

Earnings & Valuation

This table compares Globant and E2open Parent”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Globant $2.10 billion 4.43 $158.54 million $3.83 56.29
E2open Parent $634.55 million 1.52 -$1.07 billion ($1.49) -1.89

Globant has higher revenue and earnings than E2open Parent. E2open Parent is trading at a lower price-to-earnings ratio than Globant, indicating that it is currently the more affordable of the two stocks.

Summary

Globant beats E2open Parent on 12 of the 14 factors compared between the two stocks.

About Globant

(Get Free Report)

Globant S.A., 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. Further, the company provides e-commerce, conversational interfaces, design, digital marketing, and digital product delivery services. Additionally, it operates Augoor, an AI-powered platform; MagnifAI, an AI-powered solution for software quality assurance; StarMeUp, a science-based AI platform; WaaSabi, a finance platform; Walmeric, a lead-to-revenue management platform; GeneXus, a suit of AI development tools; Navigate for process optimization powerhouse; BeHealthy, a white-label platform; and FluentLab, an AI conversational and engagement solution. The company offers its services to various industries, including media and entertainment, professional services, technology and telecommunications, travel and hospitality, banks, financial services and insurance, consumer, retail and manufacturing, health care, and others. The company was formerly known as IT Outsourcing S.L. and changed its name to Globant S.A. in December 2012. Globant S.A. was founded in 2003 and is based in Luxembourg, Luxembourg.

About E2open Parent

(Get Free Report)

E2open Parent Holdings, Inc. provides cloud-based and end-to-end supply chain management and orchestration SaaS platform in the Americas, Europe, and the Asia Pacific. Its SaaS platform includes various key strategic and operational areas, including omni-channel, demand sensing, supply planning, global trade management, transportation and logistics and manufacturing and supply management. The company's software combines networks, data, and applications to provide a deeply embedded and mission-critical platform that allows its clients to optimize their channel and supply chains. It serves consumer goods, food and beverage, manufacturing, retail, industrial and automotive, aerospace and defense, technology and transportation, and other industries. The company was incorporated in 2020 and is headquartered in Austin, Texas.

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