Seeking Alpha
02 Sept 2026, 07:48 UTC · 8w ago
EPAM Systems: AI Is Eating The Old Business, But 8.7x Earnings Is Too Cheap
Impact · against what's priced in
EPAM is a potential value play where the market is discounting AI cannibalization of legacy revenue, but the potential for a $750M buyback and improving margins provide a catalyst. The low 8.7x multiple suggests the market is overly pessimistic about the transition to AI-native services.
- EPAM+0.40
No priced-in read yet
- In context
While AI is cannibalizing legacy services, the push for a $750M buyback and the fact that AI-native revenue now exceeds 11% of the total suggests a floor to the valuation at 8.7x forward earnings.
Read from the article alone
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