EPAM Stock Analysis: EPAM Systems | NYSE
Information Technology Services | NYSE, USA | Market Cap: 5.583m USD | 12M Return: -29.1% | US29414B1044 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 120M
EPS Trend: 58.2%
Qual. Beats: 2
Rev. Trend: 90.4%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
EPAM Systems, Inc. (NYSE: EPAM) is a global provider of digital platform engineering and software development services, operating in the IT Consulting & Other Services sub-industry of the Information Technology sector. Founded in 1993 and headquartered in Newtown, Pennsylvania, the company has been publicly traded since its February 2012 IPO and currently sits in the mid-cap range.
The companys service portfolio covers the full software lifecycle, including requirements analysis, platform selection, cross-platform migration, implementation, and integration, alongside cloud services, data and AI, customer experience design, marketing, and cybersecurity offerings. EPAM also delivers integrated engineering and smart automation solutions, as well as product development work spanning research, prototyping, full lifecycle testing, deployment, managed services, and modernization of legacy platforms.
EPAM has established a collaboration with Wiz to translate cloud risk intelligence into AI-powered, engineering-led remediation across multi-cloud environments. Its client base spans financial services; consumer goods, retail, and travel; software and hi-tech; business information and media; life sciences and healthcare; and a range of emerging verticals.
- engineering services revenue accelerates across enterprise clients
- Eastern European delivery hubs expose margins to geopolitical disruption
- Enterprise IT spending cuts pressure utilization and pricing
| Net Income: 401.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA 1.85 > 1.0 |
| NWC/Revenue: 25.13% < 20% (prev 32.01%; Δ -6.88% < -1%) |
| CFO/TA 0.12 > 3% & CFO 538.8m > Net Income 401.7m |
| Net Debt (-509.9m) to EBITDA (684.8m): -0.74 < 3 |
| Current Ratio: 2.75 > 1.5 & < 3 |
| Outstanding Shares: last quarter (52.3m) vs 12m ago -8.13% < -2% |
| Gross Margin: 28.29% > 18% (prev 30.03%; Δ -1.73% > 0.5%) |
| Asset Turnover: 121.0% > 50% (prev 107.6%; Δ 13.34% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBIT TTM and Interest Expense TTM) |
| A: 0.31 (Total Current Assets 2.22b - Total Current Liabilities 804.4m) / Total Assets 4.57b |
| B: 0.45 (Retained Earnings 2.04b / Total Assets 4.57b) |
| C: 0.12 (EBIT TTM 548.6m / Avg Total Assets 4.64b) |
| D: 3.34 (Book Value of Equity 3.52b / Total Liabilities 1.05b) |
| Altman-Z'' = 7.77 = AAA |
| DSRI: 0.99 (Receivables 1.27b/1.16b, Revenue 5.62b/5.07b) |
| GMI: 1.06 (GM 30.03% / 28.29%) |
| AQI: 1.04 (AQ_t 0.44 / AQ_t-1 0.43) |
| SGI: 1.11 (Revenue 5.62b / 5.07b) |
| TATA: -0.03 (NI 401.7m - CFO 538.8m) / TA 4.57b) |
| Beneish M = -2.88 (Cap -4..+1) = A |
As of October 03, 2026, the stock is trading at USD 108.29 with a total of 1,101,334 shares traded. Over the past week, the price has changed by +0.06%, over one month by -7.60%, over three months by +22.68% and over the past year by -29.12%.
Current recommended Stop Loss: 101.80 (which is 6% or 1.2 ATR below the current price).
EPAM Systems has received a consensus analysts rating of 3.95. Therefore, it is recommended to buy EPAM.
- StrongBuy: 7
- Buy: 7
- Hold: 6
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 122.8 | 13.4% |
P/E Trailing = 14.6852
P/E Forward = 8.2919
P/S = 0.994
P/B = 1.6136
P/EG = 0.5882
Revenue TTM = 5.62b USD
EBIT TTM = 548.6m USD
EBITDA TTM = 684.8m USD
Long Term Debt = 25.0m USD (from longTermDebt, last quarter)
Short Term Debt = 39.3m USD (from shortTermDebt, last quarter)
Debt = 279.5m USD (from shortLongTermDebtTotal, last quarter) + Leases 127.2m
Net Debt = -509.9m USD (calculated: Debt 279.5m - CCE 789.4m)
Enterprise Value = 5.07b USD (5.58b + Debt 279.5m - CCE 789.4m)
Interest Coverage Ratio = unknown (Ebit TTM 548.6m / Interest Expense TTM 0.0)
EV/FCF = 10.51x (Enterprise Value 5.07b / FCF TTM 482.6m)
FCF Yield = 9.51% (FCF TTM 482.6m / Enterprise Value 5.07b)
FCF Margin = 8.59% (FCF TTM 482.6m / Revenue TTM 5.62b)
Net Margin = 7.15% (Net Income TTM 401.7m / Revenue TTM 5.62b)
Gross Margin = 28.29% ((Revenue TTM 5.62b - Cost of Revenue TTM 4.03b) / Revenue TTM)
Gross Margin QoQ = 30.36% (prev 25.46%)
Tobins Q-Ratio = 1.11 (Enterprise Value 5.07b / Total Assets 4.57b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 279.5m)
Taxrate = 26.79% (147.0m / 548.6m)
NOPAT = 401.7m (EBIT 548.6m * (1 - 26.79%))
Current Ratio = 2.75 (Total Current Assets 2.22b / Total Current Liabilities 804.4m)
Debt / Equity = 0.08 (Debt 279.5m / totalStockholderEquity, last quarter 3.52b)
Debt / EBITDA = -0.74 (Net Debt -509.9m / EBITDA 684.8m)
Debt / FCF = -1.06 (Net Debt -509.9m / FCF TTM 482.6m)
Total Stockholder Equity = 3.59b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.65% (Net Income 401.7m / Total Assets 4.57b)
RoE = 11.19% (Net Income TTM 401.7m / Total Stockholder Equity 3.59b)
RoCE = 15.18% (EBIT 548.6m / Capital Employed (Equity 3.59b + L.T.Debt 25.0m))
RoIC = 11.38% (NOPAT 401.7m / Invested Capital 3.53b)
WACC = 8.95% (E(5.58b)/V(5.86b) * Re(9.40%) + D(279.5m)/V(5.86b) * Rd(0.0%) * (1-Tc(0.27)))
Discount Rate = 9.40% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -94.82 | Cagr: -5.19%
[DCF] Terminal Value 76.04% ; FCFF base≈453.5m ; Y1≈519.8m ; Y5≈765.1m
[DCF] Fair Price = 211.7 (EV 10.4b - Net Debt -509.9m = Equity 10.9b / Shares 51.6m; r=8.95% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 58.20 | EPS CAGR: 2.80% | SUE: 3.94 | # QB: 2
Revenue Correlation: 90.43 | Revenue CAGR: 7.91% | SUE: 0.81 | # QB: 0
EPS current Quarter (2026-09-30): EPS=3.40 | Chg30d=-1.10% | Revisions=-63% | Analysts=17
EPS current Year (2026-12-31): EPS=13.15 | Chg30d=+0.00% | Revisions=+85% | GrowthEPS=+14.4% | GrowthRev=+3.7%
EPS next Year (2027-12-31): EPS=14.06 | Chg30d=+0.02% | Revisions=-19% | GrowthEPS=+6.9% | GrowthRev=+3.5%
[Analyst] Revisions Ratio: +2% (up=26, down=25)