Global-E Online Ltd. (GLBE): A Bull Case Theory

We came across a bullish thesis on Global-E Online Ltd. on Compounding Your Wealth’s Substack by Sergey. In this article, we will summarize the bulls’ thesis on GLBE. Global-E Online Ltd.’s share was trading at $31.06 as of August 13th. GLBE’s forward P/E was 84.03 according to Yahoo Finance.

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Global-E (GLBE) delivered a strong Q2 2025 performance, with revenue of $214.9 million, up 27.9% YoY and 13.2% QoQ, surpassing estimates by 3.4%, and gross merchandise value (GMV) reaching $1.454 billion, a 34.4% YoY increase. This marked the company’s first quarter of sustainable GAAP profitability, with net income of $10.5 million versus a $22.4 million loss in the prior year, and EPS of $0.06, 50% above expectations.

Service fees contributed $102.9 million and fulfillment services $112.0 million, reflecting steady take rates and strong merchant adoption. Regionally, the U.S. drove growth with $117.5 million in revenue (+34.1% YoY), while the EU expanded 44.7%, and other regions, including Israel, saw significant gains; the UK experienced a 6.6% decline due to Marks & Spencer halting cross-border sales after a cyberattack, though recovery is expected in Q4.

Operational efficiency improved with S&M expenses down to 19.7% of revenue, R&D at 12.2%, and G&A at 4.1%, while free cash flow reached $63.5 million, supported by $516 million in cash and equivalents. Multi-local fulfillment is on track for 15% of GMV, and BorderFree.com’s contribution grew to 4%. Strategic partnerships were strengthened through a renewed three-year DHL agreement and enhanced Shopify integrations, including an exclusive 12-month Shop Pay offering.

Management highlighted continued merchant expansion, new product adoption, and robust pipeline activity, projecting Q3 GMV growth of ~30% and revenue growth of 24%, with full-year 2025 guidance raised slightly to $921.5–$971.5 million. Despite trade policy uncertainties and UK headwinds, Global-E’s diversified model, growing international footprint, and operational execution position it for sustained profitability and meaningful shareholder value creation.

Previously, we covered a bullish thesis on Global-E Online Ltd. (GLBE) by Steve Wagner in May 2025, which highlighted strong Q1 revenue growth, GMV expansion, scalable EBITDA, and strategic Shopify partnerships. The company’s stock price has depreciated approximately 6.1% since our coverage due to macro and regional headwinds. The thesis still stands as GLBE sustains growth. Sergey shares a similar thesis but emphasizes Q2 results, GAAP profitability, and strengthened partnerships.

Global-E Online Ltd. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge fund portfolios held GLBE at the end of the first quarter which was 31 in the previous quarter. While we acknowledge the risk and potential of GLBE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than GLBE and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.