EPAM Systems (NYSE:EPAM) Shares Gap Down - What's Next?

Key Points

• EPAM Systems shares gapped down at the open, falling from a prior close of $86.38 to an open of $82.06 before recovering slightly to last trade around $85.54.
• Wall Street sentiment remains mixed, with analysts setting new price targets and the stock carrying a consensus rating of “Hold” and an average target price of $134.36.
• Despite the stock weakness, EPAM’s latest earnings beat expectations, with Q1 EPS of $2.86 topping estimates and revenue rising 7.6% year over year to $1.40 billion.

EPAM Systems, Inc. (NYSE:EPAM - Get Free Report)'s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $86.38, but opened at $82.06. EPAM Systems shares last traded at $85.5350, with a volume of 336,037 shares.

Analysts Set New Price Targets

A number of research analysts recently issued reports on EPAM shares. Wedbush initiated coverage on shares of EPAM Systems in a report on Monday, June 15th. They issued a "neutral" rating and a $99.00 price objective for the company. Wells Fargo & Company reduced their target price on shares of EPAM Systems from $151.00 to $125.00 and set an "overweight" rating on the stock in a report on Friday. Deutsche Bank Aktiengesellschaft restated a "hold" rating and issued a $85.00 price target on shares of EPAM Systems in a research report on Friday. Guggenheim cut their price target on shares of EPAM Systems from $225.00 to $200.00 and set a "buy" rating on the stock in a report on Monday, May 4th. Finally, Truist Financial cut their price target on shares of EPAM Systems from $146.00 to $112.00 and set a "hold" rating on the stock in a report on Friday, May 8th. Seven research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $134.36.

EPAM Systems Stock Down 0.4%

The stock has a 50-day moving average price of $92.84 and a 200-day moving average price of $138.70. The company has a debt-to-equity ratio of 0.05, a current ratio of 2.67 and a quick ratio of 2.67. The company has a market capitalization of $4.49 billion, a P/E ratio of 12.35, a P/E/G ratio of 0.77 and a beta of 1.43.

EPAM Systems (NYSE:EPAM - Get Free Report) last released its earnings results on Wednesday, May 6th. The information technology services provider reported $2.86 earnings per share for the quarter, beating analysts' consensus estimates of $2.75 by $0.11. EPAM Systems had a net margin of 6.96% and a return on equity of 14.71%. The business had revenue of $1.40 billion during the quarter, compared to the consensus estimate of $1.39 billion. During the same quarter in the prior year, the firm posted $2.41 EPS. The company's revenue for the quarter was up 7.6% compared to the same quarter last year. On average, research analysts predict that EPAM Systems, Inc. will post 10.42 EPS for the current fiscal year.

Hedge Funds Weigh In On EPAM Systems

A number of hedge funds have recently bought and sold shares of EPAM. Boston Partners bought a new stake in EPAM Systems during the fourth quarter valued at $349,428,000. Capital World Investors lifted its stake in shares of EPAM Systems by 59.4% in the 4th quarter. Capital World Investors now owns 3,679,590 shares of the information technology services provider's stock valued at $753,874,000 after purchasing an additional 1,371,557 shares during the period. Norges Bank acquired a new position in shares of EPAM Systems in the 4th quarter valued at about $147,870,000. Price T Rowe Associates Inc. MD boosted its position in shares of EPAM Systems by 849.3% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 784,101 shares of the information technology services provider's stock valued at $160,649,000 after purchasing an additional 701,500 shares in the last quarter. Finally, Ameriprise Financial Inc. grew its stake in EPAM Systems by 28.9% during the third quarter. Ameriprise Financial Inc. now owns 2,662,843 shares of the information technology services provider's stock worth $401,532,000 after purchasing an additional 596,760 shares during the period. Institutional investors own 91.58% of the company's stock.

EPAM Systems Company Profile

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.

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