EPAM Systems (NYSE:EPAM) Rating Lowered to “Hold” at Zacks Research

EPAM Systems (NYSE:EPAM) was downgraded by research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Wednesday,Zacks.com reports.

Several other equities research analysts have also recently commented on EPAM. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of EPAM Systems in a report on Monday, December 29th. Wells Fargo & Company raised their price objective on shares of EPAM Systems from $185.00 to $247.00 and gave the stock an “overweight” rating in a research report on Wednesday, January 14th. Truist Financial assumed coverage on shares of EPAM Systems in a report on Tuesday, January 6th. They issued a “hold” rating and a $220.00 target price on the stock. Mizuho raised their price target on shares of EPAM Systems from $225.00 to $228.00 and gave the stock an “outperform” rating in a report on Tuesday, November 11th. Finally, Citigroup upped their price objective on EPAM Systems from $170.00 to $225.00 and gave the company a “neutral” rating in a report on Thursday. Ten investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $214.20.

EPAM Systems Trading Down 4.4%

Shares of EPAM opened at $208.69 on Wednesday. The firm’s fifty day moving average is $206.77 and its two-hundred day moving average is $177.37. The stock has a market cap of $11.53 billion, a PE ratio of 31.86, a price-to-earnings-growth ratio of 2.62 and a beta of 1.73. The company has a quick ratio of 3.02, a current ratio of 3.02 and a debt-to-equity ratio of 0.01. EPAM Systems has a 52-week low of $138.15 and a 52-week high of $269.00.

EPAM Systems (NYSE:EPAM) last posted its quarterly earnings results on Thursday, November 6th. The information technology services provider reported $3.08 earnings per share for the quarter, topping the consensus estimate of $3.02 by $0.06. EPAM Systems had a net margin of 7.01% and a return on equity of 13.16%. The firm had revenue of $1.39 billion for the quarter, compared to the consensus estimate of $1.39 billion. During the same period last year, the firm posted $3.12 earnings per share. The company’s revenue for the quarter was up 19.4% on a year-over-year basis. EPAM Systems has set its FY 2025 guidance at 11.360-11.440 EPS and its Q4 2025 guidance at 3.100-3.18 EPS. Research analysts forecast that EPAM Systems will post 8.9 earnings per share for the current fiscal year.

EPAM Systems declared that its board has approved a stock buyback program on Tuesday, October 21st that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the information technology services provider to repurchase up to 12.4% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In related news, VP Gary C. Abrahams sold 600 shares of the firm’s stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of $179.29, for a total value of $107,574.00. Following the sale, the vice president owned 2,720 shares of the company’s stock, valued at $487,668.80. This trade represents a 18.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, SVP Viktar Dvorkin sold 2,500 shares of the business’s stock in a transaction that occurred on Thursday, November 13th. The stock was sold at an average price of $181.80, for a total transaction of $454,500.00. Following the transaction, the senior vice president owned 38,124 shares of the company’s stock, valued at $6,930,943.20. This trade represents a 6.15% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 8,100 shares of company stock worth $1,597,074 in the last quarter. 4.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On EPAM Systems

Institutional investors and hedge funds have recently modified their holdings of the company. Norges Bank acquired a new stake in EPAM Systems in the second quarter valued at $137,671,000. Ameriprise Financial Inc. increased its holdings in shares of EPAM Systems by 28.9% in the 3rd quarter. Ameriprise Financial Inc. now owns 2,662,843 shares of the information technology services provider’s stock valued at $401,532,000 after acquiring an additional 596,760 shares during the last quarter. Barclays PLC raised its position in shares of EPAM Systems by 504.1% during the 3rd quarter. Barclays PLC now owns 698,613 shares of the information technology services provider’s stock worth $105,344,000 after acquiring an additional 582,966 shares in the last quarter. Invesco Ltd. raised its position in shares of EPAM Systems by 14.9% during the 2nd quarter. Invesco Ltd. now owns 4,102,790 shares of the information technology services provider’s stock worth $725,455,000 after acquiring an additional 533,292 shares in the last quarter. Finally, ARGA Investment Management LP purchased a new stake in EPAM Systems during the second quarter worth approximately $84,456,000. Institutional investors and hedge funds own 91.58% of the company’s stock.

EPAM Systems Company Profile

EPAM Systems, Inc is a global provider of digital platform engineering and software development services. The company partners with clients across industries—such as financial services, healthcare, retail, and technology—to design, develop, and maintain complex software applications and digital experiences. EPAM’s offerings include custom software development, application management, infrastructure management, quality assurance, and testing services, enabling organizations to accelerate digital transformation and enhance operational efficiency.

In addition to its core engineering capabilities, EPAM delivers a range of specialized services, including product design and consulting, data and analytics, cloud computing, DevOps, and cybersecurity.