EPAM Systems
Market Cap
US$11.5b
Last Updated
2019/11/21 00:20 UTC
Data Sources
Company Financials +
Executive Summary
EPAM Systems, Inc. provides software product development and digital platform engineering services primarily in North America, Europe, Armenia, Belarus, Kazakhstan, Russia, Ukraine, Asia, and Australia.
Snowflake
Excellent balance sheet with solid track record.
Similar Companies
Share Price & News
How has EPAM Systems's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EPAM has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.3%
EPAM
1.4%
US IT
0.5%
US Market
1 Year Return
72.8%
EPAM
34.0%
US IT
16.1%
US Market
Return vs Industry: EPAM exceeded the US IT industry which returned 34% over the past year.
Return vs Market: EPAM exceeded the US Market which returned 16.1% over the past year.
Shareholder returns
| EPAM | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.3% | 1.4% | 0.5% |
| 30 Day | 22.5% | 6.9% | 3.9% |
| 90 Day | 10.6% | 2.1% | 6.6% |
| 1 Year | 72.8%72.8% | 35.3%34.0% | 18.7%16.1% |
| 3 Year | 208.4%208.4% | 97.6%89.2% | 47.2%37.7% |
| 5 Year | 312.5%312.5% | 133.4%112.7% | 61.5%43.7% |
Price Volatility Vs. Market
How volatile is EPAM Systems's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Senior VP & Chief People Officer Is The Senior VP & Chief People Officer of EPAM Systems, Inc. (NYSE:EPAM) And They Just Sold 31% Of Their Shares1 week ago | Simply Wall St
A Look At The Intrinsic Value Of EPAM Systems, Inc. (NYSE:EPAM)2 weeks ago | Simply Wall St
Can You Imagine How Chuffed EPAM Systems's (NYSE:EPAM) Shareholders Feel About Its 275% Share Price Gain?Valuation
Is EPAM Systems undervalued compared to its fair value and its price relative to the market?
46.02x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: EPAM ($208.27) is trading above our estimate of fair value ($185.21)
Significantly Below Fair Value: EPAM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: EPAM is poor value based on its PE Ratio (46x) compared to the IT industry average (31x).
PE vs Market: EPAM is poor value based on its PE Ratio (46x) compared to the US market (18x).
Price to Earnings Growth Ratio
PEG Ratio: EPAM is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: EPAM is overvalued based on its PB Ratio (7.7x) compared to the US IT industry average (4x).
Next Steps
Future Growth
How is EPAM Systems forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
19.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EPAM's forecast earnings growth (19.9% per year) is above the savings rate (2.7%).
Earnings vs Market: EPAM's earnings (19.9% per year) are forecast to grow faster than the US market (14.3% per year).
High Growth Earnings: EPAM's earnings are forecast to grow, but not significantly.
Revenue vs Market: EPAM's revenue (17.6% per year) is forecast to grow faster than the US market (7.3% per year).
High Growth Revenue: EPAM's revenue (17.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EPAM's Return on Equity is forecast to be low in 3 years time (16.6%).
Next Steps
Past Performance
How has EPAM Systems performed over the past 5 years?
27.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EPAM has high quality earnings.
Growing Profit Margin: EPAM's current net profit margins (11.4%) are higher than last year (8.6%).
Past Earnings Growth Analysis
Earnings Trend: EPAM's earnings have grown significantly by 27.7% per year over the past 5 years.
Accelerating Growth: EPAM's earnings growth over the past year (65%) exceeds its 5-year average (27.7% per year).
Earnings vs Industry: EPAM earnings growth over the past year (65%) exceeded the IT industry 17%.
Return on Equity
High ROE: EPAM's Return on Equity (16.5%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is EPAM Systems's financial position?
Financial Position Analysis
Short Term Liabilities: EPAM's short term assets ($1.4B) exceeds its short term liabilities ($311.5M)
Long Term Liabilities: EPAM's short term assets ($1.4B) exceeds its long term liabilities (236.6M)
Debt to Equity History and Analysis
Debt Level: EPAM's debt to equity ratio (1.7%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if EPAM's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: EPAM's debt is well covered by operating cash flow (1144%).
Interest Coverage: EPAM earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: EPAM has a low level of unsold assets or inventory.
Debt Coverage by Assets: EPAM's debt is covered by short term assets (assets are 54.6x debt).
Next Steps
Dividend
What is EPAM Systems's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate EPAM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate EPAM's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if EPAM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if EPAM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of EPAM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of EPAM Systems's salary, the management and board of directors tenure and is there insider trading?
3.1yrs
Average management tenure
CEO
Arkadiy Dobkin (59yo)
16.9yrs
Tenure
US$3,786,788
Compensation
Mr. Arkadiy Dobkin co-founded EPAM Systems, Inc., a subsidiary of B2BITS Corp. in 1993 and has been Chairman, Chief Executive Officer and President since December 2002. Mr. Dobkin began his career in Russi ...
CEO Compensation Analysis
Compensation vs Market: Arkadiy's total compensation ($USD3.79M) is below average for companies of similar size in the US market ($USD11.01M).
Compensation vs Earnings: Arkadiy's compensation has increased by more than 20% in the past year.
Management Age and Tenure
3.1yrs
Average Tenure
51yo
Average Age
Experienced Management: EPAM's management team is considered experienced (3.1 years average tenure).
Board Age and Tenure
6.8yrs
Average Tenure
57yo
Average Age
Experienced Board: EPAM's board of directors are considered experienced (6.8 years average tenure).
Insider Trading
Insider Buying: EPAM insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Shares | 14,465 |
| Max Price | US$208.35 |
| Entity | Individual |
| Role | Senior Key Executive Executive VP & Co-Head of Global Business |
| Shares | 3,180 |
| Max Price | US$205.29 |
| Entity | Individual |
| Role | Head of Human Resources Senior VP & Chief People Officer |
| Shares | 3,640 |
| Max Price | US$197.67 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Employee Director |
| Shares | 3,372 |
| Max Price | US$175.20 |
| Entity | Individual |
| Role | Chief Accounting Officer VP, Corporate Controller & Chief Accounting Officer |
| Shares | 361 |
| Max Price | US$177.16 |
| Entity | Individual |
| Shares | 1,908 |
| Max Price | US$173.00 |
| Entity | Individual |
| Shares | 7,801 |
| Max Price | US$171.23 |
| Entity | Individual |
| Role | Chief Executive Officer Co-Founder |
| Shares | 25,000 |
| Max Price | US$170.18 |
| Entity | Individual |
| Role | Lead Director Lead Independent Non-Employee Director |
| Shares | 2,000 |
| Max Price | US$159.64 |
| Entity | Individual |
| Role | Chief Financial Officer Senior VP |
| Shares | 800 |
| Max Price | US$158.70 |
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.1%.
Management Team
Balazs Fejes (44yo)
Executive VP & Co-Head of Global Business
- Tenure: 7.3yrs
- Compensation: US$1.78m
Arkadiy Dobkin (59yo)
Co-Founder
- Tenure: 16.9yrs
- Compensation: US$3.79m
Jason Peterson (56yo)
Senior VP
- Tenure: 2.5yrs
- Compensation: US$1.42m
Yuriy Goliyad
Head of Global Operations & Senior VP
- Tenure: 3.9yrs
Viktar Dvorkin (46yo)
Senior VP & Head of Global Delivery
- Tenure: 0yrs
- Compensation: US$1.37m
Ed Rockwell (51yo)
Senior VP
- Tenure: 0yrs
Larry Solomon (54yo)
Senior VP & Chief People Officer
- Tenure: 3.1yrs
- Compensation: US$1.36m
Gary Abrahams (51yo)
VP, Corporate Controller & Chief Accounting Officer
- Tenure: 2.6yrs
Philip Storm
Senior VP & Chief Compliance Officer
- Tenure: 2.2yrs
David Straube
Head of Investor Relations
- Tenure: 0yrs
Board Members
Mike Mayoras (57yo)
Independent Non-Employee Director
- Tenure: 6.8yrs
- Compensation: US$188.83k
Karl Robb (57yo)
Non-Employee Director
- Tenure: 15.7yrs
- Compensation: US$259.33k
Arkadiy Dobkin (59yo)
Co-Founder
- Tenure: 16.9yrs
- Compensation: US$3.79m
Ron Vargo (64yo)
Lead Independent Non-Employee Director
- Tenure: 4.6yrs
- Compensation: US$216.33k
Bob Segert (51yo)
Independent Non-Employee Director
- Tenure: 7.8yrs
- Compensation: US$188.46k
Helen Shan (52yo)
Non-Employee Director
- Tenure: 1.2yrs
- Compensation: US$117.85k
Jill Smart (59yo)
Independent Non-Employee Director
- Tenure: 3.3yrs
- Compensation: US$180.33k
Company Information
EPAM Systems, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: EPAM Systems, Inc.
- Ticker: EPAM
- Exchange: NYSE
- Founded: 1993
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: US$11.452b
- Shares outstanding: 54.98m
- Website: https://www.epam.com
Number of Employees
Location
- EPAM Systems, Inc.
- 41 University Drive
- Suite 202
- Newtown
- Pennsylvania
- 18940
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| EPAM | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Feb 2012 |
| E3M | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Feb 2012 |
Biography
EPAM Systems, Inc. provides software product development and digital platform engineering services primarily in North America, Europe, Armenia, Belarus, Kazakhstan, Russia, Ukraine, Asia, and Australia. Th ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/21 00:20 |
| End of Day Share Price | 2019/11/20 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.