EPAM Systems Estimated Fair Value of US$345 Revealed by Free Cash Flow to Equity Analysis

December 19, 2022

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Epam Systems Intrinsic Stock Value – Recently, a two-stage free cash flow to equity analysis was used to determine the estimated fair value of EPAM ($NYSE:EPAM) Systems. The cash flows were determined by taking into account the company’s competitive advantages and growth potential, as well as its current financial position.

The second stage of the analysis focused on estimating the terminal value of EPAM Systems by taking into account its future growth prospects. This indicates that investors who purchase EPAM Systems’ shares at their current price are likely to benefit from potential upside in the future as the stock price increases to match its estimated fair value.

Stock Price

On Friday, EPAM SYSTEMS stock opened at $334.3 and closed at $333.3, down by 0.8% from prior closing price of 336.1. The news has so far been met with mostly positive media coverage and investors seem to be optimistic about the company’s prospects. This includes everything from software development to digital marketing and analytics. This is based on the company’s financial data, including its cash flow, revenue, and balance sheet. Analysts have noted that the company’s fair value could be even higher depending on the ability of its management to continue driving growth in the future.

For now, investors seem to be optimistic about the future of EPAM SYSTEMS. The stock opened on Friday at just over US$334 and closed at just under US$333, down by 0.8% from the prior close. This suggests that investors are confident that the company is still undervalued and could see further gains in the future. So far, the news has been met with mostly positive media coverage, and investors appear to remain optimistic about the company’s prospects. Live Quote…

About the Company

  • Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Key Ratios Snapshot

    Some of the financial key ratios for Epam Systems are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    29.5% 24.2% 12.1%
    FCF Margin ROE ROA
    9.5% 13.2% 9.5%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items


  • VI Analysis – Epam Systems Intrinsic Stock Value

    EPAM Systems is a company whose fundamentals reflect its long term potential. According to VI Line, the fair value of EPAM Systems’ share is around $527.3, while it is currently traded at $333.3, making it undervalued by 37%. This implies that there is a great opportunity to invest in EPAM Systems at a discounted price. The company’s financials place it at a strong position to succeed in the long-term. EPAM Systems has a healthy balance sheet with a solid cash balance and no long-term debt. It also has an impressive return on investments and return on equity. The company has an impressive revenue growth rate which could lead to higher earnings in the future. Its core strengths include strong customer relationships, innovative product offerings and the ability to scale quickly. Furthermore, the company is well-positioned to take advantage of the changing market conditions with its market-leading technology solutions. Overall, EPAM Systems is an attractive investment option due to its discounted stock price, solid fundamentals and impressive growth potential. The company’s strong financials and operations make it a great long-term investment opportunity. Investors should consider taking advantage of this discount and investing in EPAM Systems at current prices. More…

  • Risk Rating Analysis
  • Star Chart Analysis
  • Valuation Analysis
  • VI Peers

    The company has over 25,000 employees and clients in over 90 countries. EPAM Systems Inc. has been ranked as one of the world’s largest and fastest-growing outsourcing companies by several magazines. The company’s main competitors are Tranway Technologies Ltd, Mahaveer Infoway Ltd, and Indata SA.

    – Tranway Technologies Ltd ($BSE:542923)

    Tranway Technologies is a leading provider of transportation solutions. The company’s products and services are used by transportation professionals in a variety of industries, including aviation, maritime, and land transportation. Tranway’s products and services are designed to improve the efficiency and safety of transportation operations. The company’s products and services are used by transportation professionals in a variety of industries, including aviation, maritime, and land transportation.

    – Mahaveer Infoway Ltd ($BSE:539383)

    Mahaveer Infoway Ltd is a company that provides information technology services. It has a market cap of 35.64M as of 2022 and a return on equity of 5.35%. The company offers services such as software development, web development, and e-commerce solutions. It also provides IT consulting and support services. The company has its headquarters in Bangalore, India.

    Summary

    Investing in EPAM Systems could be a great opportunity for potential investors. The company has been estimated to be worth US$345, and the analysis shows that it has a strong free cash flow to equity. This indicates that the company is financially stable, and that it has potential for growth.

    Additionally, the media coverage of the company has been mostly positive, showing that it has a good reputation. When looking at investing in EPAM Systems, potential investors should consider the company’s history and current financial standing. It is important to research the company’s financial performance and track record to ensure that it is viable. Additionally, investors should consider the different types of investments available, such as stocks, bonds, and mutual funds. When making a decision about investing in EPAM Systems, it is important to look at the risks associated with the investment. There is always a chance that the company’s performance could decline, or that its stock price could drop suddenly. Additionally, there is always the possibility of market volatility, which could lead to losses. For this reason, it is important to research the company thoroughly before investing. Finally, investors should consider their own financial situation when making an investment decision. They should have a financial plan in place that can help them manage their investments and protect their wealth. Additionally, investors should make sure that they are comfortable with the amount of risk they are taking on with any given investment. Overall, investing in EPAM Systems could be a great opportunity for potential investors who are willing to do their research and understand the risks associated with the investment. With its strong free cash flow to equity and positive media coverage, the company could be a smart choice for those who are looking to expand their portfolios.

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