Stock Price & Analysis

Based on the recent data and market analysis, here's a comprehensive assessment of EPAM stock:

Technical Analysis

The stock is showing significant weakness, currently trading at $208.33 in regular market hours. Key technical indicators suggest:

• RSI-14 at 24.41 indicates oversold conditions
• MACD is bearish with -0.85 and divergence of -5.28
• Stock is trading below both 5-day ($243.81) and 10-day ($253.60) moving averages, indicating strong downward momentum

Recent Price Action and Catalysts

• The stock has experienced a sharp decline, falling 21.97% following disappointing Q4 results and 2025 guidance
• Currently trading significantly below its 52-week high of $317.50
• Trading volume has increased, suggesting strong selling pressure

Analyst Sentiment

Recent analyst actions show mixed but generally positive views:

• Morgan Stanley raised price target to $256 (from $230)
• Barclays maintains Buy rating with $290 target
• J.P. Morgan maintains Buy rating with $274 target

Fundamental Factors

Key metrics show:

• Market cap currently at $11.85B
• P/E ratio of 26.63
• Negative insider sentiment with recent selling activity, including SVP Viktar Dvorkin's sale of 6,758 shares

Recommendation

SELL. The current technical setup shows significant weakness with multiple bearish signals:

1. Breaking below key support levels
2. Negative momentum indicators
3. High volume selling
4. Disappointing guidance affecting market sentiment

While analyst ratings remain generally positive, the technical breakdown and increased selling pressure suggest waiting for stabilization before considering entry positions.

Based on the provided data and recent analyst reports, here is the 2025 price prediction for EPAM stock in 3 sentences:

EPAM stock is expected to reach $256 by mid-2025 according to Morgan Stanley's latest price target revision, supported by improving industry growth signs and reasonably balanced risk/reward outlook for the next 12-18 months. The company's strategic positioning in AI and data-driven transformation services, combined with Goldman Sachs' positive outlook on applications-focused IT names, suggests potential for modest organic growth acceleration in 2025. However, current technical indicators showing RSI at 24.41 and MACD divergence signal near-term weakness, suggesting the stock may first test support around $220 (Fibonacci S1 level) before potentially rallying toward the $256 target.

The S1 support level for EPAM Stock is $213.94 ,The R1 resistant level for EPAM Stock is $261.81.

As of the end of day on 2025-02-27, the price of EPAM Stock was $210.2.

The target price for EPAM Stock according to analyst rating is 272.67, with the highest price target at 295.00 and the lowest at 235.00. Analysts have a Strong Buy rating on EPAM Stock overall.

The market cap of EPAM is $12.1B.

Based on the provided data and recent market activity, EPAM appears to be reasonably valued with some concerns. The stock has declined 21.97% following its Q4 and full-year 2024 earnings report and disappointing 2025 guidance. Current P/E ratio of 42.12x and EV/EBITDA of 24.50x show moderate premium valuation compared to historical levels. Revenue declined slightly from $4.82B in 2022 to $4.69B in 2023, while net income remained relatively flat at $417M. Gross margin contracted from 29.97% to 28.62%, indicating some operational pressure.

Analyst Sentiment Recent analyst actions show mixed views but generally positive:

• Morgan Stanley raised target to $256 with Equal Weight rating
• JP Morgan maintains Buy rating with $274 target
• Barclays maintains Buy rating with $290 target

Technical Analysis The stock is currently trading around $208, significantly below its 52-week high of $317.50. While showing some stabilization after recent declines, technical indicators suggest continued near-term pressure.

Key Concerns

• Declining margins
• Weak guidance for 2025
• Recent significant stock price decline
• Insider selling activity, including SVP's sale of 6,758 shares

The stock appears fairly valued at current levels given the growth challenges and margin pressure, though strong analyst support and solid balance sheet provide some comfort. The current valuation multiples reflect the market's reduced expectations while maintaining premium to account for EPAM's market position and expertise in digital transformation services.

EPAM Systems, Inc. is a provider of digital engineering, cloud, and artificial intelligence-enabled transformation services. The Company’s software product and platform development services including product research, customer experience design and prototyping, program management, component design and integration, full lifecycle software testing, product deployment and end-user customization, performance tuning, product support and maintenance, managed services, as well as cross-platform migration and modernizing legacy platforms. The Company operates through three segments: North America, Europe, and Russia. It offers complex software product development services to address the constant need for innovation and agility among software and technology companies. The Company partner with global pharmaceutical, medical and scientific technology, biotechnology companies and retail pharmacies to deliver sophisticated scientific informatics and enterprise technology solutions.

Based on the provided data and recent market developments, here's a comprehensive analysis for EPAM's stock price prediction for 2030:

Current Market Position and Recent Performance EPAM is currently trading at $208.165 [Relevant market data], showing significant decline from its previous highs. The stock has faced recent pressure, dropping 21.97% following its fourth-quarter earnings report and disappointing 2025 guidance.

Growth Drivers and Market Position

• Strong market position in digital transformation and AI services
• Diversified revenue streams across multiple sectors:
  • Travel & Consumer: 22.64%
  • Financial Services: 21.28%
  • Business Information & Media: 16.79%
  • Software & Hi-Tech: 16.44%
  • Other segments: 22.85%

Price Target 2030 Prediction: $520

This prediction is based on:

1. Historical growth trajectory and market position in digital transformation
2. Current valuation metrics showing P/E of 46.24 and EV/EBITDA of 25.03, indicating room for expansion
3. Strong financial fundamentals with healthy gross margin of 29.97% and ROE of 15.28%

The target represents a 150% increase from current levels, driven by:

• Continued digital transformation demand
• AI integration capabilities
• Strong presence in emerging markets

EPAM has a total of 53150 employees.