EPAM Systems (NYSE:EPAM) Cut to Hold at Zacks Research

Zacks Research cut shares of EPAM Systems (NYSE:EPAM) from a strong-buy rating to a hold rating in a research report sent to investors on Wednesday morning,Zacks.com reports.

A number of other analysts have also weighed in on the stock. Mizuho raised their target price on shares of EPAM Systems from $225.00 to $228.00 and gave the company an “outperform” rating in a research report on Tuesday, November 11th. Citigroup raised their price objective on EPAM Systems from $170.00 to $225.00 and gave the company a “neutral” rating in a report on Thursday. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of EPAM Systems in a report on Monday, December 29th. JPMorgan Chase & Co. lifted their price target on EPAM Systems from $201.00 to $215.00 and gave the company an “overweight” rating in a research note on Friday, November 7th. Finally, Truist Financial started coverage on EPAM Systems in a report on Tuesday, January 6th. They set a “hold” rating and a $220.00 price target on the stock. Ten research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $214.20.

EPAM Systems Price Performance

EPAM Systems stock opened at $208.29 on Wednesday. The company has a debt-to-equity ratio of 0.01, a quick ratio of 3.02 and a current ratio of 3.02. EPAM Systems has a 52 week low of $138.15 and a 52 week high of $269.00. The stock has a market capitalization of $11.51 billion, a P/E ratio of 31.80, a price-to-earnings-growth ratio of 2.51 and a beta of 1.73. The stock has a fifty day moving average of $207.32 and a 200-day moving average of $177.65.

EPAM Systems (NYSE:EPAM) last released its quarterly earnings data on Thursday, November 6th. The information technology services provider reported $3.08 earnings per share for the quarter, beating the consensus estimate of $3.02 by $0.06. The business had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.39 billion. EPAM Systems had a return on equity of 13.16% and a net margin of 7.01%.EPAM Systems’s revenue was up 19.4% compared to the same quarter last year. During the same period last year, the firm posted $3.12 earnings per share. 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. On average, sell-side analysts expect that EPAM Systems will post 8.9 earnings per share for the current fiscal year.

EPAM Systems announced that its Board of Directors has approved a stock buyback plan on Tuesday, October 21st that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the information technology services provider to purchase up to 12.4% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other news, SVP Boris Shnayder sold 5,000 shares of the stock in a transaction on Wednesday, December 10th. The shares were sold at an average price of $207.00, for a total transaction of $1,035,000.00. Following the completion of the sale, the senior vice president directly owned 15,645 shares in the company, valued at $3,238,515. This represents a 24.22% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, SVP Viktar Dvorkin sold 2,500 shares of the business’s stock in a transaction on Thursday, November 13th. The shares were sold at an average price of $181.80, for a total transaction of $454,500.00. Following the completion of the transaction, the senior vice president owned 38,124 shares in the company, valued at approximately $6,930,943.20. The trade was a 6.15% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 8,100 shares of company stock worth $1,597,074. 4.30% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. increased its holdings in EPAM Systems by 0.4% in the third quarter. Vanguard Group Inc. now owns 7,014,935 shares of the information technology services provider’s stock worth $1,057,782,000 after purchasing an additional 29,763 shares in the last quarter. Invesco Ltd. increased its stake in shares of EPAM Systems by 14.9% in the 2nd quarter. Invesco Ltd. now owns 4,102,790 shares of the information technology services provider’s stock valued at $725,455,000 after acquiring an additional 533,292 shares in the last quarter. Ameriprise Financial Inc. lifted its position in shares of EPAM Systems by 28.9% during 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 period. Geode Capital Management LLC boosted its stake in EPAM Systems by 1.1% during the second quarter. Geode Capital Management LLC now owns 1,418,287 shares of the information technology services provider’s stock worth $250,752,000 after acquiring an additional 15,936 shares in the last quarter. Finally, Baillie Gifford & Co. grew its holdings in EPAM Systems by 20.7% in the third quarter. Baillie Gifford & Co. now owns 1,293,857 shares of the information technology services provider’s stock worth $195,101,000 after purchasing an additional 221,544 shares during the period. 91.58% of the stock is owned by institutional investors.

About EPAM Systems

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.