Massachusetts Financial Services Co. has reduced its stake in EPAM Systems, Inc. (NYSE: EPAM) by 8.9% during the second quarter of 2023. As disclosed in the company’s latest filing with the Securities and Exchange Commission, Massachusetts Financial Services now holds 1,483,780 shares after selling 144,524 shares. This adjustment brings the firm’s total ownership to approximately 2.62% of EPAM Systems, valued at around $262,362,000.
Several other institutional investors have made similar adjustments to their positions in EPAM Systems. IFP Advisors Inc increased its holdings by 8.8%, now owning 854 shares valued at $152,000. IFM Investors Pty Ltd raised its stake by 0.7% in the first quarter, resulting in 11,326 shares worth $1,912,000. Meanwhile, Wallace Advisory Group LLC expanded its position by 3.1%, owning 2,522 shares valued at $426,000. DekaBank Deutsche Girozentrale also increased its stake by 0.7% during the second quarter, now holding 10,549 shares worth $1,866,000. Lastly, Banco Bilbao Vizcaya Argentaria S.A. grew its stake by 3.2% in the first quarter, owning 2,592 shares valued at $434,000.
The overall institutional ownership in EPAM Systems stands at 91.58%, indicating strong confidence among large investors.
Current Stock Performance and Buyback Initiatives
As of Monday, EPAM stock opened at $179.00. The company’s market capitalization is approximately $9.89 billion, with a P/E ratio of 25.54 and a beta of 1.67. EPAM Systems has experienced a fifty-two week low of $138.15 and a high of $269.00.
In a significant move, EPAM Systems announced on October 21, 2023, that its board has authorized a share repurchase program worth $1.00 billion. This program will allow the company to buy back up to 12.4% of its outstanding shares through open market purchases, suggesting that the company’s leadership views its shares as undervalued.
Recent Insider Transactions
In related news, Senior Vice President Sergey Yezhkov sold 1,511 shares of EPAM Systems on October 21, 2023, at an average price of $150.27, totaling approximately $227,058. Following this transaction, Yezhkov now directly owns 146 shares, valued at around $21,939. This sale represents a significant reduction of 91.19% in his holdings.
Another transaction involved Senior Vice President Viktar Dvorkin, who sold 2,500 shares on November 13, 2023, at an average price of $181.80, amounting to $454,500. Dvorkin currently holds 38,124 shares, valued at approximately $6,930,943, reflecting a 6.15% decrease in his position. Insider ownership currently stands at 4.30% of the total stock.
Analyst Ratings and Market Outlook
Brokerage firms have recently provided updated ratings on EPAM Systems. TD Cowen upgraded the stock from a “hold” to a “buy” rating with a price target of $205.00 on August 18, 2023. Mizuho adjusted its price objective from $225.00 to $228.00, maintaining an “outperform” rating. In another positive note, JPMorgan Chase & Co. increased its target price from $201.00 to $215.00, also issuing an “overweight” rating.
Overall, one analyst has rated EPAM Systems as a Strong Buy, while twelve have issued a Buy rating, four have assigned a Hold rating, and one has given it a Sell rating. According to data from MarketBeat.com, the consensus rating for EPAM Systems is “Moderate Buy” with an average price target of $213.81.
EPAM Systems, Inc. continues to be a key player in the digital platform engineering and software development sectors, offering a range of services globally, including engineering services and infrastructure management. The company’s strategic decisions and market performance will be closely watched as it navigates the competitive landscape.
