AXQ Capital takes $4.05M stake in EPAM as institutions circle
What's the deal? AXQ Capital LPDealroom has a profile for this one. Try Dealroom → bought a new $4.05 million position in EPAM Systems in the second quarter, purchasing 51,076 shares of the IT services provider, according to a 13F filing with the Securities and Exchange Commission.
Who else is buying? Several institutions adjusted their EPAM holdings in the quarter. Moore Capital Management LPDealroom has a profile for this one. Try Dealroom → opened a new $3.22 million stake, Alyeska Investment GroupDealroom has a profile for this one. Try Dealroom → added a $1.67 million position, and Quantitative Investment ManagementDealroom has a profile for this one. Try Dealroom → grew its holding by 267.9% to $1.19 million. Institutional investors and hedge funds own 91.58% of the company.
What does EPAM do? The company provides IT services and technology consulting. In its most recent quarter, it reported earnings of $3.38 per share, beating the $3.16 consensus, on revenue of $1.41 billion — up 4.6% year over year and broadly in line with forecasts.
Why now? Analysts are nudging estimates higher. Zacks ResearchDealroom has a profile for this one. Try Dealroom → raised its FY2027 earnings forecast to $11.03 per share and its FY2028 estimate to $11.90. The stock trades at a price-to-earnings ratio of 16.28 with a debt-to-equity ratio of 0.01, drawing value-focused attention.
What could go wrong? AI adoption threatens EPAM's legacy consulting business. AI-native work now exceeds 11% of revenue and is growing, but flat top-line growth could cap upside if demand for traditional technology consulting weakens.
The signal: Institutional accumulation and rising estimates point to renewed interest in a stock that some investors see as cheap. One thesis argues activist investor Engine CapitalDealroom has a profile for this one. Try Dealroom → could push EPAM toward roughly $750 million in share buybacks — a move that would lift per-share earnings at depressed valuations.
Read more: americanbankingnews.com
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