EPAM Systems, Inc. (NYSE:EPAM) shareholders are probably feeling a little disappointed, since its shares fell 8.4% to US$104 in the week after its latest first-quarter results. EPAM Systems reported US$1.4b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$1.52 beat expectations, being 7.2% higher than what the analysts expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
NYSE:EPAM Earnings and Revenue Growth May 9th 2026
Following the latest results, EPAM Systems’ 19 analysts are now forecasting revenues of US$5.76b in 2026. This would be a modest 3.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to climb 13% to US$8.25. Before this earnings report, the analysts had been forecasting revenues of US$5.78b and earnings per share (EPS) of US$8.14 in 2026. The consensus analysts don’t seem to have seen anything in these results that would have changed their view on the business, given there’s been no major change to their estimates.
Check out our latest analysis for EPAM Systems
The consensus price target fell 20% to US$150, suggesting that the analysts might have been a bit enthusiastic in their previous valuation – or they were expecting the company to provide stronger guidance in the quarterly results. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values EPAM Systems at US$235 per share, while the most bearish prices it at US$112. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Of course, another way to look at these forecasts is to place them into context against the industry itself. It’s pretty clear that there is an expectation that EPAM Systems’ revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 4.9% growth on an annualised basis. This is compared to a historical growth rate of 9.0% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 14% per year. So it’s pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than EPAM Systems.
The Bottom Line
The most obvious conclusion is that there’s been no major change in the business’ prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year’s earnings. We have forecasts for EPAM Systems going out to 2028, and you can see them free on our platform here.
You can also see our analysis of EPAM Systems’ Board and CEO remuneration and experience, and whether company insiders have been buying stock.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.