Zacks Research Increases Earnings Estimates for EPAM Systems

EPAM Systems, Inc. (NYSE:EPAM) – Zacks Research lifted their Q1 2027 earnings per share estimates for EPAM Systems in a report released on Monday, August 31st. Zacks Research analyst Team now expects that the information technology services provider will post earnings of $2.39 per share for the quarter, up from their previous estimate of $2.38. The consensus estimate for EPAM Systems’ current full-year earnings is $10.47 per share. Zacks Research also issued estimates for EPAM Systems’ Q2 2027 earnings at $2.72 EPS, Q3 2027 earnings at $2.92 EPS, Q4 2027 earnings at $2.99 EPS, FY2027 earnings at $11.03 EPS, Q1 2028 earnings at $2.83 EPS, Q2 2028 earnings at $2.97 EPS and FY2028 earnings at $11.90 EPS.

EPAM has been the topic of several other reports. Wells Fargo & Company decreased their price target on shares of EPAM Systems from $151.00 to $125.00 and set an “overweight” rating on the stock in a research note on Friday, July 10th. TD Cowen dropped their price objective on shares of EPAM Systems from $131.00 to $120.00 and set a “buy” rating for the company in a research note on Friday, August 7th. Citigroup cut their price objective on shares of EPAM Systems from $112.00 to $100.00 and set a “neutral” rating for the company in a report on Monday, July 27th. The Goldman Sachs Group lowered shares of EPAM Systems from a “buy” rating to a “neutral” rating and decreased their target price for the stock from $215.00 to $110.00 in a research note on Friday, May 8th. Finally, Weiss Ratings restated a “sell (d+)” rating on shares of EPAM Systems in a report on Tuesday, August 4th. Six equities research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, EPAM Systems has a consensus rating of “Hold” and an average price target of $116.47.

EPAM Systems Price Performance

EPAM Systems stock opened at $116.52 on Wednesday. The company has a fifty day simple moving average of $96.31 and a 200-day simple moving average of $111.83. The firm has a market capitalization of $6.01 billion, a price-to-earnings ratio of 15.79, a PEG ratio of 1.21 and a beta of 1.38. The company has a quick ratio of 2.75, a current ratio of 2.75 and a debt-to-equity ratio of 0.01. EPAM Systems has a 52-week low of $73.06 and a 52-week high of $222.53.

EPAM Systems (NYSE:EPAM) last announced its quarterly earnings data on Thursday, August 6th. The information technology services provider reported $3.38 earnings per share for the quarter, beating analysts’ consensus estimates of $3.16 by $0.22. EPAM Systems had a return on equity of 15.84% and a net margin of 7.15%.The company had revenue of $1.41 billion for the quarter, compared to analyst estimates of $1.41 billion. During the same quarter last year, the firm posted $2.77 EPS. The firm’s revenue for the quarter was up 4.6% on a year-over-year basis. EPAM Systems has set its FY 2026 guidance at 13.080-13.240 EPS and its Q3 2026 guidance at 3.380-3.460 EPS.

Institutional Investors Weigh In On EPAM Systems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Van Berkom & Associates Inc. grew its holdings in shares of EPAM Systems by 14.6% during the 4th quarter. Van Berkom & Associates Inc. now owns 423,510 shares of the information technology services provider’s stock worth $86,769,000 after purchasing an additional 54,075 shares during the period. Arrowstreet Capital Limited Partnership raised its holdings in EPAM Systems by 7.8% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 348,586 shares of the information technology services provider’s stock valued at $47,199,000 after buying an additional 25,152 shares during the period. Bank Hapoalim BM acquired a new position in EPAM Systems in the second quarter valued at about $1,491,000. Bank of America Corp DE lifted its position in EPAM Systems by 15.9% in the first quarter. Bank of America Corp DE now owns 624,699 shares of the information technology services provider’s stock valued at $84,584,000 after buying an additional 85,480 shares during the last quarter. Finally, Lazard Asset Management LLC boosted its stake in EPAM Systems by 82.2% during the first quarter. Lazard Asset Management LLC now owns 39,326 shares of the information technology services provider’s stock worth $5,325,000 after buying an additional 17,737 shares during the period. Hedge funds and other institutional investors own 91.58% of the company’s stock.

EPAM Systems News Summary

Here are the key news stories impacting EPAM Systems this week:

• Positive Sentiment: Zacks Research raised multiple EPS estimates. The firm increased its forecasts for Q1–Q4 2027, FY2027, Q1–Q2 2028 and FY2028. Its FY2027 estimate rose to $11.03 from $10.96, while FY2028 increased to $11.90 from $11.82. The revisions suggest analysts see improving earnings momentum and provide a modest positive catalyst for EPAM. EPAM Systems analyst estimates
• Positive Sentiment: Activist investor Engine Capital is pushing for buybacks or a strategic sale. Engine has reportedly urged EPAM to use its strong balance sheet for share repurchases, potentially including a buyback of approximately $750 million, or explore a sale process. Buybacks could reduce the share count and support per-share value, while sale discussions introduce potential takeover speculation. Activist Engine Capital pushes EPAM for buybacks or sales process
• Positive Sentiment: EPAM joined the Wiz Partner Alliance to advance cloud-security remediation. The partnership could strengthen EPAM’s cybersecurity and cloud offerings and help position the company for demand in higher-growth, AI-adjacent technology services. EPAM joins Wiz Partner Alliance
• Neutral Sentiment: EPAM’s valuation remains relatively low, with the stock trading near 15.8 times trailing earnings and substantially below its 52-week high. That may attract value investors, but the discount also reflects uncertainty over growth and the company’s transition to AI-focused services.
• Negative Sentiment: AI is creating near-term revenue pressure. An investment analysis notes that AI is cannibalizing some legacy services and that topline growth remains limited. Although AI-native revenue reportedly exceeds 11% of EPAM’s business and margins and adjusted EPS are improving, investors may remain concerned about slower traditional-service demand. EPAM Systems AI and valuation analysis

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.