Globant SA (GLOB) shares plummeted 11.22% in pre-market trading on Friday, following a price target reduction by an analyst at Piper Sandler.

Analyst Arvind Ramnani lowered the firm's price target on Globant from $237 to $230, while maintaining an Overweight rating on the stock. Despite the Overweight rating suggesting potential for further upside, the price target cut weighed heavily on investor sentiment, leading to a significant sell-off for the technology company's shares in the pre-market session.

While Ramnani's move doesn't necessarily indicate a change in the long-term outlook for Globant, the near-term valuation adjustment appears to have prompted investors to take profits or reassess their positions, resulting in the sharp intraday decline.