GLOB (Globant) Interest Coverage: 5.56 (As of Mar. 2026) — 63% Below Median


GLOB Globant SA GLOB
81 GF Score
Price $28.20
GF Value $210.04
Valuation Significantly Undervalued
! 6 Warning Signs
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What is Globant Interest Coverage?

Globant GLOB -3.16% 81 Interest Coverage is 5.56 as of Mar. 2026, which is 63% below its 10-year median of 14.84. GuruFocus rates GLOB with a GF Score™ of 81/100 and a GF Value™ of $210.04 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 1,705 Software companies, Globant ranks worse than 73.72% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Globant's Operating Income for the three months ended in Mar. 2026 was $52 Mil. Globant's Interest Expense for the three months ended in Mar. 2026 was $-9 Mil. Globant's interest coverage for the quarter that ended in Mar. 2026 was 5.56. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Globant's Interest Coverage or its related term are showing as below:

GLOB' s Interest Coverage Range Over the Past 10 Years
Min: 6.18   Med: 14.84   Max: 104.24
Current: 6.23


GLOB's Interest Coverage is ranked worse than
73.72% of 1705 companies
in the Software industry
Industry Median: 24.67 vs GLOB: 6.23

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Globant  (NYSE:GLOB) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Globant Interest Coverage Related Terms


Globant Interest Coverage Historical Data

* Premium members only.

The historical data trend for Globant's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Globant Interest Coverage Chart

Globant Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.50 15.18 10.85 8.11 6.18

Globant Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.35 5.30 6.31 8.56 5.56

GLOB vs CNXC, DXC, CLVT: Interest Coverage Comparison

For the Information Technology Services subindustry, Globant's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Globant Interest Coverage vs Software Industry

For the Software industry and Technology sector, Globant's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Globant's Interest Coverage falls into.


GLOB
81GF Score
Globant SA GLOB
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Globant Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Globant's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Globant's Interest Expense was $-37 Mil. Its Operating Income was $231 Mil. And its Long-Term Debt & Capital Lease Obligation was $425 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*231.293/-37.446
=6.18

Globant's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Globant's Interest Expense was $-9 Mil. Its Operating Income was $52 Mil. And its Long-Term Debt & Capital Lease Obligation was $415 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*52.466/-9.432
=5.56

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 5.56 mean?
Globant (GLOB) has a Interest Coverage of 5.56 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Globant and its competitors. This is 63% below median its historical median of 14.84. Over the past decade, Globant's Interest Coverage has ranged from 6.18 to 104.24. According to the industry distribution chart, Globant ranks #1257 out of 1705 companies in the Software industry, placing it in the top 73.7%.
Is Globant's Interest Coverage too high?
Globant's current Interest Coverage of 5.56 is 63% below median its 10-year median of 14.84. Over the past 10 years, this metric has ranged from a low of 6.18 to a high of 104.24. The Software industry median Interest Coverage is 24.67. Globant's value of 5.56 is 77.5% below this industry median. Based on the distribution chart, Globant ranks #1257 out of 1705 companies in the Software industry, which is below the industry midpoint. Overall, Globant has a GF Score™ of 81/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Globant's Interest Coverage compare to CNXC and DXC?
According to the Software industry distribution chart, Globant ranks #1257 out of 1705 companies for Interest Coverage. This places Globant in the lower half of its industry. The industry median Interest Coverage is 24.67. Globant's value of 5.56 is 77.5% below this benchmark. Historically, Globant's own Interest Coverage has ranged from 6.18 to 104.24 over the past decade. While the company's 10-year median is 14.84 vs. the industry median of 24.67, Globant has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Software company?
The median Interest Coverage among Software companies is 24.67, based on 1,705 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Globant's current Interest Coverage of 5.56 is 77.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Globant and its competitors. For the Software industry, the median Interest Coverage is 24.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Globant's current Interest Coverage is 5.56, which is 63% below median its own 10-year median of 14.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Globant stock overvalued right now?
Based on GuruFocus' analysis, Globant (GLOB) is currently considered Significantly Undervalued. The stock's GF Value™ is $210.04, compared to a current price of $28.20 — trading 86.6% below its estimated fair value. The current Interest Coverage is 5.56, which is 63% below median its 10-year median of 14.84 and 77.5% below the Software industry median of 24.67. Globant's overall GF Score™ is 81/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Globant (GLOB), the current Interest Coverage is 5.56 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Globant (GLOB) Overvalued in 2026?

Based on GuruFocus' analysis, Globant stock appears to be undervalued. The current stock price of $28.20 is trading 86.6% below its estimated GF Value™ of $210.04. GuruFocus considers Globant to be Significantly Undervalued.

Key valuation signals for GLOB:

  • Interest Coverage: 5.56 (63% below median its 10-year median of 14.84)
  • GF Value™: $210.04 vs. price of $28.20 (86.6% below fair value)
  • GF Score™: 81/100 with 6 warning signs
  • Industry Position: 77.5% below the Software median (#1257 of 1705)

No single metric tells the full story. See the GLOB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Globant Business Description

Address 37A, Avenue J.F. Kennedy, Luxembourg, LUX, L-1855
Globant is a next-generation IT services company that primarily assists clients with their digital transformation efforts by creating customized software for them. The company was founded in 2003 in Argentina but is currently headquartered in Luxembourg and primarily serves clients in the US and Latin America. Globant's client base is relatively concentrated in the media and entertainment and financial services industries.
81GF Score

Get the complete analysis for GLOB

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$28.20
Price
$210.04
GF Value