- Epam Systems projects an adjusted EPS between $2.21 and $2.29 for the second quarter of 2024.
- The company’s revenue estimate for the same period is between $1.14 billion and $1.15 billion.
- In the first quarter of 2024, the adjusted EPS was $2.46 compared to $2.47 in the previous year.
- The revenue for the first quarter was $1.17 billion, marking a 3.8% decrease year over year.
- For the full fiscal year, Epam envisions revenues to range between $4.575 billion to $4.675 billion.
- Expected GAAP diluted EPS for the full year is now projected to range from $7.34 to $7.64.
- Non-GAAP diluted EPS is expected to fall between $10.00 and $10.30 for the full year.
- GAAP income from operations for the full year is expected to be 10.0% to 10.5% of revenues.
- Non-GAAP income from operations for the same period is predicted to constitute 15.0% to 15.5% of revenues.
- For the second quarter, the GAAP diluted EPS is expected to be between $1.52 and $1.60.
- Non-GAAP diluted EPS for the second quarter is forecasted to be between $2.21 and $2.29.
- Second quarter revenues are projected to be between $1.135 billion to $1.145 billion, indicating a decline of 2.6% year over year at the midpoint of the range.
- The current ratings for Epam are as follows: twelve buys, eight holds, and two sells.
Epam Systems on Smartkarma
Analyst coverage of EPAM Systems on Smartkarma reveals a positive outlook from Baptista Research. In the report titled “EPAM Systems: Will The Strong Demand Generation From 2023 Continue In 2024 & Beyond? – Major Drivers“, the analysts highlight the challenges faced by EPAM in 2023 due to geopolitical factors, such as the Russian invasion of Ukraine. Despite these disruptions, EPAM managed to navigate the volatile demand environment effectively by focusing on delivery quality and optimizing cost efficiency. Baptista Research evaluates various factors influencing the company’s future price and conducts an independent valuation using a Discounted Cash Flow methodology.
Another report by Baptista Research, “EPAM Systems Inc.: Leading Cloud Solutions With Pioneering AWS Partnership! – Major Drivers“, showcases EPAM’s strong performance in the previous quarter, with an exit from the Russian market affecting revenue growth. The report indicates a decline in financial services, primarily in banking, partially offset by growth in asset management. This analysis underscores EPAM’s resilience and strategic partnerships, positioning the company as a key player in cloud solutions with its pioneering AWS partnership.
A look at Epam Systems Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
EPAM Systems, Inc. is a company that specializes in providing various software development and outsourcing services. According to the Smartkarma Smart Scores, the company has been rated on different factors that indicate its long-term outlook. The company scored a 2 in Value, a 1 in Dividend, a strong 4 in Growth, an impressive 5 in Resilience, and a 3 in Momentum. This suggests that while the company may not be considered undervalued based on its current value score, it shows strong potential for growth and resilience in the market.
With a high score of 5 in Resilience, EPAM Systems seems well-equipped to withstand economic uncertainties and challenges. Additionally, a Growth score of 4 indicates positive expectations for the company’s expansion and development in the future. While the Dividend score of 1 may not appeal to income-seeking investors, the overall outlook for EPAM Systems appears promising due to its favorable scores in Growth and Resilience. Investors may find the company attractive for its potential for growth and ability to adapt to market conditions.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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