Endava vs Globant Which Is a Better Investment?

Endava and Globant are both global IT services companies that have been experiencing significant growth in recent years. Endava, based in London, focuses on providing digital transformation services to clients in various industries. On the other hand, Globant, headquarted in Buenos Aires, specializes in providing software development and IT consulting services. Both companies have seen their stocks rise in value as demand for digital solutions continues to increase. Investors may be intrigued by the potential for growth in the technology sector as they consider investing in Endava vs Globant stocks.

Endava or Globant?

When comparing Endava and Globant, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Endava and Globant.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Endava has a dividend yield of -%, while Globant has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Endava reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Globant reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Endava P/E ratio at 199.74 and Globant's P/E ratio at 56.09. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Endava P/B ratio is 2.23 while Globant's P/B ratio is 5.07.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Endava has seen a 5-year revenue growth of 2.17%, while Globant's is 2.37%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Endava's ROE at 1.12% and Globant's ROE at 9.56%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $29.78 for Endava and $217.62 for Globant. Over the past year, Endava's prices ranged from $23.28 to $81.06, with a yearly change of 248.20%. Globant's prices fluctuated between $151.68 and $251.50, with a yearly change of 65.81%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.