Analysts Set Expectations for EPAM Systems FY2026 Earnings

Key Points

• Zacks Research raised EPAM’s FY2026 EPS forecast to $10.44 from $10.30, broadly in line with the $10.48 consensus estimate. However, its lower forecasts for later periods suggest potentially weaker earnings momentum beyond FY2026.
• EPAM beat quarterly expectations with $3.38 EPS versus the $3.16 consensus, while revenue rose 4.6% year over year to $1.41 billion. The company guided FY2026 EPS to $13.08–$13.24 and Q3 EPS to $3.38–$3.46.
• Analyst sentiment remains mixed: six analysts rate the stock Buy, 10 rate it Hold and one rates it Sell, producing an average rating of Hold and a $116.47 price target. Activist investor Engine Capital is also urging EPAM to authorize buybacks or consider a sale.

EPAM Systems, Inc. (NYSE:EPAM - Free Report) - Research analysts at Zacks Research raised their FY2026 earnings estimates for shares of EPAM Systems in a research report issued on Thursday, August 27th. Zacks Research analyst Team now anticipates that the information technology services provider will post earnings of $10.44 per share for the year, up from their previous forecast of $10.30. The consensus estimate for EPAM Systems' current full-year earnings is $10.48 per share. Zacks Research also issued estimates for EPAM Systems' Q4 2026 earnings at $2.81 EPS, Q1 2027 earnings at $2.38 EPS, Q4 2027 earnings at $2.97 EPS, FY2027 earnings at $10.96 EPS, Q1 2028 earnings at $2.81 EPS, Q2 2028 earnings at $2.94 EPS and FY2028 earnings at $11.82 EPS.

EPAM Systems (NYSE:EPAM - Get Free Report) last issued its earnings results on Thursday, August 6th. The information technology services provider reported $3.38 EPS for the quarter, topping the consensus estimate of $3.16 by $0.22. EPAM Systems had a return on equity of 15.84% and a net margin of 7.15%.The business had revenue of $1.41 billion during the quarter, compared to analysts' expectations of $1.41 billion. During the same quarter last year, the firm posted $2.77 earnings per share. EPAM Systems's revenue was up 4.6% compared to the same quarter last year. 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.

A number of other brokerages also recently weighed in on EPAM. William Blair downgraded EPAM Systems from an "outperform" rating to a "market perform" rating in a report on Thursday, August 6th. Needham & Company LLC lowered their price objective on shares of EPAM Systems from $135.00 to $120.00 and set a "buy" rating on the stock in a research report on Thursday, August 6th. TD Cowen cut their target price on shares of EPAM Systems from $131.00 to $120.00 and set a "buy" rating for the company in a research report on Friday, August 7th. JPMorgan Chase & Co. downgraded shares of EPAM Systems from an "overweight" rating to a "neutral" rating and set a $120.00 target price for the company. in a research report on Wednesday, August 26th. Finally, Guggenheim decreased their target price on shares of EPAM Systems from $165.00 to $140.00 and set a "buy" rating for the company in a research note on Monday, August 10th. Six research analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, EPAM Systems has an average rating of "Hold" and an average price target of $116.47.

EPAM Systems Stock Up 2.7%

Shares of EPAM Systems stock opened at $117.90 on Tuesday. EPAM Systems has a 1 year low of $73.06 and a 1 year high of $222.53. The company has a market cap of $6.08 billion, a P/E ratio of 15.98, a P/E/G ratio of 1.18 and a beta of 1.39. The company has a current ratio of 2.75, a quick ratio of 2.75 and a debt-to-equity ratio of 0.01. The stock has a 50-day moving average price of $95.51 and a 200 day moving average price of $112.27.

Hedge Funds Weigh In On EPAM Systems

A number of hedge funds have recently added to or reduced their stakes in the company. Brighton Jones LLC acquired a new position in shares of EPAM Systems during the 4th quarter worth $218,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in shares of EPAM Systems by 68.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,539 shares of the information technology services provider's stock valued at $1,611,000 after purchasing an additional 3,880 shares in the last quarter. Goldman Sachs Group Inc. lifted its stake in shares of EPAM Systems by 53.8% in the 1st quarter. Goldman Sachs Group Inc. now owns 335,150 shares of the information technology services provider's stock valued at $56,587,000 after purchasing an additional 117,170 shares during the last quarter. United Services Automobile Association acquired a new stake in shares of EPAM Systems in the 1st quarter valued at $229,000. Finally, Empowered Funds LLC boosted its holdings in EPAM Systems by 134.1% in the first quarter. Empowered Funds LLC now owns 2,254 shares of the information technology services provider's stock worth $381,000 after purchasing an additional 1,291 shares in the last quarter. Institutional investors and hedge funds own 91.58% of the company's stock.

EPAM Systems News Roundup

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

• Positive Sentiment: Activist investor Engine Capital is pushing EPAM to authorize share repurchases or begin a sales process. Buybacks could support earnings per share and the stock, while a potential sale could create a takeover premium. EPAM Systems gains as activist Engine Capital pushes for buybacks, sales process
• Positive Sentiment: EPAM joined the Wiz Partner Alliance to expand cloud-security remediation services. The partnership may strengthen EPAM’s cybersecurity capabilities and create additional demand for its consulting and technology services. EPAM Joins Wiz Partner Alliance to Advance Cloud Security Remediation
• Neutral Sentiment: Zacks Research slightly raised its FY2026 EPS forecast to $10.44 from $10.30, close to the broader consensus estimate of $10.48. This modest upgrade offers limited fundamental support.
• Negative Sentiment: Zacks reduced estimates for several later periods, including Q4 2026 EPS to $2.81 from $2.91, FY2027 EPS to $10.96 from $11.17, and FY2028 EPS to $11.82 from $12.21. It also lowered forecasts for Q1 2027, Q4 2027, Q1 2028 and Q2 2028, signaling weaker anticipated earnings momentum. Zacks Research Predicts Weaker Earnings for EPAM Systems

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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