Multiple Catalysts Drove Brandes Small Cap Value Fund to Pick Globant (GLOB)

Brandes Investment Partners, an asset management company, released its third-quarter 2025 investor letter for itsBrandes Small Cap Value Fund”. A copy of the letter can be downloaded here. The fund returned 11.16% (Class I Shares) in the quarter compared to its benchmark, the Russell 2000 Index’s 12.39% gain, and the Russell 2000 Value Index’s12.60% return. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Brandes Small Cap Value Fund highlighted stocks such as Globant S.A. (NYSE:GLOB). Globant S.A. (NYSE:GLOB) is a Luxembourg-based technology services company. The one-month return of Globant S.A. (NYSE:GLOB) was 11.28%, and its shares lost 68.83% of their value over the last 52 weeks. On December 09, 2025, Globant S.A. (NYSE:GLOB) stock closed at $68.74 per share, with a market capitalization of $3.028 billion.

Brandes Small Cap Value Fund stated the following regarding Globant S.A. (NYSE:GLOB) in its third quarter 2025 investor letter:

“The small-cap investment committee bought Prestige Consumer Healthcare, information technology (IT) services company Globant S.A. (NYSE:GLOB), and packaging business Sonoco Products Company.

Globant is a multinational IT services company specializing in high-value digital engineering services, including customer experience, artificial intelligence (AI), cloud, and development operations. Unlike many larger IT services firms that maintain broad exposure to slower-growing segments, Globant operates as a digital pure play, generating nearly all its revenue from advanced, high margin services. The company’s business model is mostly project-based, with limited recurring revenue.

Founded in 2003 and publicly listed since 2014, Globant has delivered organic growth exceeding 20% annually post IPO. Its client base is geographically diverse; the U.S., Latin America, and Europe serve as its main markets, while Asia and the Middle East represent growing segments. Through its “Studio” model, Globant is known for blending design and technology to produce user-centric digital experiences. Notable clients include Disney, Google, LinkedIn, Electronic Arts, Formula 1, and Coca-Cola…” (Click here to read the full text)

Why Is Globant SA (GLOB) Plunging In 2025?

Globant S.A. (NYSE:GLOB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge fund portfolios held Globant S.A. (NYSE:GLOB) at the end of the third quarter, which was 26 in the previous quarter. Globant S.A. (NYSE:GLOB) generated revenues of $617.1 million in Q3 2025, up 0.4% year over year and 0.5% sequentially. While we acknowledge the risk and potential of Globant S.A. (NYSE:GLOB) 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 Globant S.A. (NYSE:GLOB) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Globant S.A. (NYSE:GLOB) and shared Harding Loevner Global Equity Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

Disclosure: None. This article is originally published at Insider Monkey.