A Look at EPAM Systems’s Valuation Following AI/Run Transform Playbook Launch and New Share Buyback Program

EPAM Systems (EPAM) rolled out its AI/Run. Transform Playbook, a new service designed to speed up enterprise adoption of AI across consulting and engineering. The company also revealed a sizable share buyback program.

See our latest analysis for EPAM Systems.

EPAM’s new AI/Run. Transform Playbook and its sizable share buyback program have caught the market’s attention, but investors have been looking for momentum after a tough stretch. Despite a solid 8% share price return over the past 90 days, EPAM’s year-to-date share price is still down 29%. A one-year total shareholder return of -15% highlights lingering challenges. Overall, the stock is working to rebuild momentum as management leans into innovation and shareholder returns.

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But with shares still well below analyst targets, should investors view EPAM as undervalued at current levels, or is the market already factoring in future growth from its strategic moves?

Most Popular Narrative: 20% Undervalued

Compared to EPAM Systems’ last close at $161.71, the most-followed narrative calculates a materially higher fair value price. This gap frames the debate around EPAM’s upside as the company shifts deeper into AI-led initiatives and aims to lift its financial profile.

EPAM's strategic investments in AI-native services, proprietary platforms (such as DIAL and AI/RUN), and upskilling of over 80% of its workforce have positioned it as a transformation partner for clients moving beyond pilot AI programs to large-scale deployments. This supports sustainable revenue growth and the potential for improved net margins as EPAM moves up the value chain.

Read the complete narrative.

Want to see what powers this bold valuation? Analysts are betting on EPAM’s next-level AI push, radical revenue targets, and new heights for profitability. What key assumptions fuel their high-conviction price? One surprising projection could redefine expectations. See what’s behind the number everyone is talking about.

Result: Fair Value of $202.06 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent talent shortages and rapid automation advances could threaten EPAM’s recovery. These factors may challenge both margins and the sustainability of its transformation momentum.

Find out about the key risks to this EPAM Systems narrative.

Build Your Own EPAM Systems Narrative

If you want to challenge these views or dive deeper into the numbers, you can generate a full EPAM story of your own in just a few minutes, including your own insights and analysis. Do it your way

A great starting point for your EPAM Systems research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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