Aug. 26 at 8:48 PM
JPMorgan downgraded EPAM Systems from Overweight to Neutral and set a
$120 price target, citing the company’s ongoing North American commercial restructuring. The bank expects the transition to take time to generate returns and weigh on near-term revenue growth and margins as EPAM expands beyond its core engineering services.
The downgrade follows EPAM’s Q2 2026 results, after the company lowered its full-year revenue growth outlook to 3.2%-4.2% and forecast only modest top-line growth for Q3. William Blair also cut its rating to Market Perform, while Guggenheim lowered its price target to
$140 from
$165 but maintained a Buy rating.
A newly announced partnership with cloud-security firm Wiz, now part of Google Cloud, provides a strategic positive but has done little to offset analyst-driven selling. EPAM’s weakness has largely been company-specific amid continued pressure in North America and a challenging IT services environment.
$EPAM $JPM