GLOBNEUTRAL

FCF Yield

16.3%

Higher than 96% of Technology sector peers

Updated 22h ago

Sector Performance

96th percentile

GLOB

16.3%

Sector Median

3.2%

Sector Avg

3.3%

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Deep Analysis

Current FCF yield of 16.3% means Globant generates $16.30 in free cash flow for every $100 of its stock price, indicating a strong cash return relative to its market value.

This level far exceeds the technology sector median of 3.2%, placing the company in the 96th percentile among peers. While the metric has been increasing over the last eight quarters, the most recent quarter-over-quarter change was a decline of 3.0%, from 16.8% to 16.3%; year-over-year data is not available. The combination of a very high absolute yield and a long-term upward trend (despite a small quarterly pullback) suggests low valuation risk and ample cash generation, but the recent dip warrants monitoring. This strong FCF yield supports a more bullish stance, yet it contradicts the overall NEUTRAL verdict, which likely reflects offsetting factors such as growth concerns or market positioning.

Frequently Asked Questions

What does the FCF Yield tell investors about GLOB?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

How does GLOB's FCF Yield compare to its sector?

GLOB's FCF Yield of 16.3% compares to a Technology sector median of 3.2%, placing it in the 96th percentile.

Who are GLOB's closest peers by FCF Yield?

The closest Technology peers by FCF Yield include: DDOG (1.4%), SMTC (1.2%), SHOP (1.0%), MRVL (0.9%), AMD (0.9%).

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

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GLOB

16.3%

Sector Median

3.2%

Sector Avg

3.3%

How GLOB's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.