EPAM Systems Soars 5.53% on Leadership Transition, Strong Q1 Earnings

Epam Systems(EPAM) rose 0.16% today, marking its second consecutive day of gains, with a total increase of 5.53% over the past two days. The share price reached its highest level since March 2025, with an intraday gain of 1.62%.

The strategy of buying EPAM shares after they reached a recent high and holding for 1 week resulted in a 9.16% annual return over the past 5 years. This is compared to the benchmark's annual return of 13.81%, reflecting the strategy's slightly lower but stable performance. The maximum drawdown of -17.95% during the period highlights the risk of holding a stock during market downturns. Overall, the strategy showed resilience with a majority of months positive, making it suitable for a conservative investment approach. However, the lower return compared to the benchmark suggests it may not be the most aggressive strategy for maximizing returns over such a period.

EPAM Systems has announced a significant leadership transition effective September 1, 2025. Arkadiy Dobkin, the principal founder, chairman, CEO, and president, will step down from his executive roles to become the executive chairman. Balazs Fejes will take over as the new CEO and president. Dobkin will continue to focus on strategic initiatives, global brand promotion, and maintaining key stakeholder relationships. This transition is aimed at positioning the company for sustained leadership in the IT services industry and long-term growth.

Analysts have recently adjusted their price targets for EPAM Systems, reflecting positive sentiment. On May 12, 2025, Barclays analyst Ramsey El-Assal increased his price target for EPAM Systems from $200.00 to $215.00 USD. Mizuho also raised its price target for the company to $224 from $218, while maintaining an Outperform rating. These adjustments indicate growing confidence in the company's future performance.

EPAM Systems reported robust first-quarter 2025 financial results, with revenue reaching $1.302 billion, marking an 11.7% year-over-year increase. The company has also projected double-digit revenue growth, driven by both organic and inorganic sources. This strong financial performance further supports the positive outlook for the company's stock price.