EPAM Systems (NYSE:EPAM) Price Target Cut to $175.00 by Analysts at Morgan Stanley

Key Points

• Morgan Stanley has reduced its price target for EPAM Systems from $210.00 to $175.00 while maintaining an "equal weight" rating on the stock, suggesting a potential upside of 6.71% from its previous close.
• Despite the downgrade from Morgan Stanley, several other analysts have upgraded their ratings on EPAM, with TD Cowen setting a new price target of $205.00 and Barclays increasing theirs to $215.00.
• EPAM Systems reported a quarterly earnings per share of $2.77, exceeding expectations and showing a revenue increase of 18% compared to the previous year, with FY 2025 guidance set between 10.960-11.120 EPS.

EPAM Systems (NYSE:EPAM - Get Free Report) had its target price dropped by research analysts at Morgan Stanley from $210.00 to $175.00 in a research note issued to investors on Tuesday, MarketBeat Ratings reports. The brokerage presently has an "equal weight" rating on the information technology services provider's stock. Morgan Stanley's price objective suggests a potential upside of 11.99% from the company's previous close.

Other equities analysts have also issued research reports about the stock. Deutsche Bank Aktiengesellschaft began coverage on shares of EPAM Systems in a research report on Thursday, July 17th. They issued a "hold" rating and a $171.00 target price for the company. Barclays raised their price objective on shares of EPAM Systems from $200.00 to $215.00 and gave the company an "overweight" rating in a research report on Monday, May 12th. Cowen upgraded shares of EPAM Systems from a "hold" rating to a "buy" rating in a research report on Monday, August 18th. TD Cowen upgraded shares of EPAM Systems from a "hold" rating to a "buy" rating and set a $205.00 price objective for the company in a research report on Monday, August 18th. Finally, Wall Street Zen upgraded shares of EPAM Systems from a "hold" rating to a "buy" rating in a research report on Saturday, August 2nd. Thirteen analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat, EPAM Systems has a consensus rating of "Moderate Buy" and an average price target of $224.06.

EPAM Systems Price Performance

EPAM traded down $1.59 on Tuesday, reaching $156.26. The company had a trading volume of 546,345 shares, compared to its average volume of 811,644. The company has a fifty day moving average of $165.89 and a 200-day moving average of $169.86. The company has a market capitalization of $8.70 billion, a P/E ratio of 22.29, a PEG ratio of 2.29 and a beta of 1.66. The company has a current ratio of 3.17, a quick ratio of 3.17 and a debt-to-equity ratio of 0.01. EPAM Systems has a one year low of $138.15 and a one year high of $269.00.

EPAM Systems (NYSE:EPAM - Get Free Report) last announced its earnings results on Thursday, August 7th. The information technology services provider reported $2.77 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.61 by $0.16. The firm had revenue of $1.35 billion during the quarter, compared to analyst estimates of $1.33 billion. EPAM Systems had a net margin of 7.91% and a return on equity of 14.00%. EPAM Systems's revenue was up 18.0% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $2.45 EPS. EPAM Systems has set its FY 2025 guidance at 10.960-11.120 EPS. Q3 2025 guidance at 2.980-3.060 EPS. As a group, equities research analysts anticipate that EPAM Systems will post 8.9 earnings per share for the current year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. IFP Advisors Inc boosted its holdings in shares of EPAM Systems by 8.8% in the second quarter. IFP Advisors Inc now owns 854 shares of the information technology services provider's stock worth $152,000 after buying an additional 69 shares during the period. Main Management ETF Advisors LLC boosted its holdings in shares of EPAM Systems by 1.7% in the second quarter. Main Management ETF Advisors LLC now owns 4,398 shares of the information technology services provider's stock worth $778,000 after buying an additional 72 shares during the period. IFM Investors Pty Ltd boosted its holdings in shares of EPAM Systems by 0.7% in the first quarter. IFM Investors Pty Ltd now owns 11,326 shares of the information technology services provider's stock worth $1,912,000 after buying an additional 76 shares during the period. Wallace Advisory Group LLC boosted its holdings in shares of EPAM Systems by 3.1% in the second quarter. Wallace Advisory Group LLC now owns 2,522 shares of the information technology services provider's stock worth $426,000 after buying an additional 76 shares during the period. Finally, DekaBank Deutsche Girozentrale boosted its holdings in shares of EPAM Systems by 0.7% in the second quarter. DekaBank Deutsche Girozentrale now owns 10,549 shares of the information technology services provider's stock worth $1,866,000 after buying an additional 76 shares during the period. 91.58% of the stock is currently owned by institutional investors and hedge funds.

EPAM Systems Company Profile

EPAM Systems, Inc provides digital platform engineering and software development services worldwide. The company offers engineering services, including requirements analysis and platform selection, customization, cross-platform migration, implementation, and integration; infrastructure management services, such as software development, testing, performance tuning, deployment, maintenance, and support services.