EPAM rises after Jefferies upgrades stock on AI optimism

EPAM Systems

16/07/2024 12:01

** Shares of software firm EPAM Systems  EPAM.N  rise 2.4%
to $204.47 premarket 
    ** Jefferies upgrades stock to "Buy" from "Hold" based on
"medium-term opportunity from a recovery in spend", long-term AI
opportunity 
    ** Brokerage hikes PT to $237 from $202
    ** Jefferies flags that IT-service discretionary spending is
likely to remain challenged in the near term 
    ** "Our sense is that spending likely remains weak through
the remainder of the year, and then begins to improve in 2025,
returning to roughly normalized levels in 2026" - Brokerage
    ** 12 of 24 brokerages rate the stock "buy" or higher, 10
"hold" and 2 "sell"; their median PT is $210 - LSEG data
    ** Up to last close, stock had fallen ~33% YTD

 (Reporting by Zaheer Kachwala in Bengaluru)
 ((Zaheer.Kachwala@thomsonreuters.com))