EPAM Systems, Inc. (NYSE:EPAM) is one of the best information technology services stocks to buy now.
On February 23, TheFly reported that Mizuho Securities trimmed the price target on EPAM Systems, Inc. (NYSE:EPAM) from $228 to $199, while keeping an Outperform rating.
Mizuho remains positive on EPAM despite the price target reduction, with the current price target implying an upside of almost 42% as of March 3. The firm lowered the target after the company’s 2026 organic growth guidance fell short of investor expectations. The firm believes that the softer outlook is mainly driven by a sequential revenue drop from Neoris’ largest customer in the first quarter.
Over the past month, EPAM shares have plunged over 23%, and Mizuho sees this selloff as a buying opportunity, pointing to EPAM’s underlying business momentum.
In another rating update, TD Cowen also cut EPAM’s price target from $243 to $220, while maintaining a Buy rating. Apart from similar views to Mizuho’s on 2026 guidance, the firm sees improving pricing trends, AI-driven demand strength, margin expansion, and balance-sheet strength as key aspects of the stock’s positive outlook.
Out of 20 analysts covering EPAM, 70% rate it a Buy, while 30% rate it a Hold. The average price target of $195 indicates an upside potential of almost 40%.
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EPAM Systems, Inc. (NYSE:EPAM) offers digital platform engineering and software development services. The company’s engineering services include requirement analysis and platform selection, customization, cross-platform migration, and implementation, among others.
While we acknowledge the potential of EPAM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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