Zacks Research Increases Earnings Estimates for EPAM Systems

EPAM Systems, Inc. (NYSE:EPAM) – Research analysts at Zacks Research boosted their Q1 2027 EPS estimates for EPAM Systems in a note issued to investors on Monday, August 31st. Zacks Research analyst Team now forecasts that the information technology services provider will post earnings per share of $2.39 for the quarter, up from their previous forecast 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 Systems (NYSE:EPAM) last posted its quarterly earnings results on Thursday, August 6th. The information technology services provider reported $3.38 EPS for the quarter, beating the consensus estimate of $3.16 by $0.22. The company had revenue of $1.41 billion for the quarter, compared to analyst estimates of $1.41 billion. EPAM Systems had a net margin of 7.15% and a return on equity of 15.84%. The firm’s revenue was up 4.6% on a year-over-year basis. During the same period in the prior year, the company earned $2.77 earnings per share. 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.

EPAM has been the subject of several other reports. William Blair cut EPAM Systems from an “outperform” rating to a “market perform” rating in a research report on Thursday, August 6th. Jefferies Financial Group lowered shares of EPAM Systems from a “buy” rating to a “hold” rating and cut their target price for the company from $130.00 to $110.00 in a report on Friday, May 29th. Needham & Company LLC decreased their target price on shares of EPAM Systems from $135.00 to $120.00 and set a “buy” rating for the company in a research note on Thursday, August 6th. JPMorgan Chase & Co. downgraded shares of EPAM Systems from an “overweight” rating to a “neutral” rating and set a $120.00 price target on the stock. in a report on Wednesday, August 26th. Finally, Susquehanna dropped their price target on shares of EPAM Systems from $167.00 to $146.00 and set a “positive” rating on the stock in a research report on Friday, August 7th. Six research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, EPAM Systems currently has a consensus rating of “Hold” and an average price target of $116.47.

EPAM Systems Stock Performance

Shares of EPAM stock opened at $116.52 on Wednesday. EPAM Systems has a 52-week low of $73.06 and a 52-week high of $222.53. The company has a quick ratio of 2.75, a current ratio of 2.75 and a debt-to-equity ratio of 0.01. The stock has a market cap of $6.01 billion, a PE ratio of 15.79, a price-to-earnings-growth ratio of 1.21 and a beta of 1.38. The business has a 50-day simple moving average of $96.31 and a 200-day simple moving average of $111.83.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Sunbelt Securities Inc. increased its holdings in EPAM Systems by 4,233.3% in the 4th quarter. Sunbelt Securities Inc. now owns 130 shares of the information technology services provider’s stock worth $27,000 after acquiring an additional 127 shares in the last quarter. CYBER HORNET ETFs LLC purchased a new position in EPAM Systems during the second quarter valued at $27,000. MUFG Securities EMEA plc acquired a new stake in shares of EPAM Systems in the second quarter valued at about $30,000. 1248 Management LLC purchased a new stake in shares of EPAM Systems during the fourth quarter worth about $32,000. Finally, Rothschild Investment LLC raised its position in shares of EPAM Systems by 51.4% during the 4th quarter. Rothschild Investment LLC now owns 159 shares of the information technology services provider’s stock worth $33,000 after purchasing an additional 54 shares during the last quarter. Hedge funds and other institutional investors own 91.58% of the company’s stock.

Trending Headlines about EPAM Systems

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.