Motley Fool  May 17  Comment 
Looking to make a timely, high-growth investment? Consider these three stocks.
Motley Fool  May 4  Comment 
A revenue-outlook increase at the global software-engineering company points to long-term confidence.
Motley Fool  Apr 8  Comment 
Here's why Visa, EPAM Systems, and CVS Health could all be bargains hiding in plain sight.
Motley Fool  Feb 16  Comment 
The global software-engineering company gave favorable guidance despite some mixed results to finish 2016.
Banking Business Review  Jan 31  Comment 
Fidor has signed a partnership agreement with EPAM Systems to provide innovative global digital banking solutions.


EPAM Systems (NYSE:EPAM) makes money by providing IT services. The company's clients include technology companies and independent software vendors who use EPAM's software engineering services. EPAM operates industry specific verticals which can provide more specified support and services to its customers. They operate delivery centers in Central and Eastern Europe where technical talent is relatively inexpensive.[1]

Business Overview

For the first nine months of September 2011, the full year revenues were $239M. This resulted in a net income of $32M. For the same period in 2010, EPAM reported revenues of $151M and a net income of $17M. [2]

New Updates

The company's initial public offering of stock on the NYSE occurred on February 7, 2012. The company offered 6M shares each for $12. This was well below the $16-$18initial price range. The deal raised a total of $72M. The lead mangers of the deal were Citi, UBS, and Barclays.[3]

Trends & Forces

Dependence on Relative Wages

EPAM's business model rests on its ability to benefit from the relatively low wages for talent in Central and Eastern Europe compared with those of its clients. This strategy requires that the talent is unable or unwilling to move to EPAM's clients' locations. It further needs the wages where its clients are located to remain relatively high while the labor force in competitor countries like India or China remain either not trained enough or too expensive. As a result, shifts in labor trends will have a significant impact on EPAM. [4]

  1. EPAM S-1/A 2012 PROSPECTUS SUMMARY "Summary" pg. 1-3
  3. Renaissance Capital - IPO Home "EPAM Systems prices downsized IPO at $12, below the range" 8 Feb 2012
  4. EPAM S-1/A 2012 PROSPECTUS SUMMARY "Risk Factors" pg. 10-13
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki