Value
9.2/10data confidence 100%| Component | Sub-score |
|---|---|
| P/E | 8.2 |
| P/S | 9.7 |
| EV/EBITDA | 8.2 |
| Fwd P/E | 9.7 |
| PEG | 10.0 |
| Analyst target | 9.0 |
- ▸Forward P/E: 6.9x
- ▸PEG: 0.50
- ▸Attractively valued
EPAM · Why this verdict
Why EPAM Systems (EPAM) is rated SELL
Updated
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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VerdictSELL
Overall score5.5/10
ConfidenceMEDIUM
MacroNEUTRAL
Per-dimension breakdown
Quality
5.5/10data confidence 100%| Component | Sub-score |
|---|---|
| ROE | 3.6 |
| ROA | 5.4 |
| Gross margin | 1.8 |
| Op margin | 3.8 |
| Net margin | 3.5 |
| Current ratio | 9.0 |
| FCF quality | 10.0 |
| Moat | 4.2 |
| Piotroski F | 7.8 |
- ▸Excellent cash conversion: 179% FCF/NI
- ▸No competitive moat
- ▸Strong Piotroski F-Score: 7/9
Growth
5.1/10data confidence 67%| Component | Sub-score |
|---|---|
| Rev growth | 4.4 |
| EPS growth | 5.8 |
Momentum
3.3/10data confidence 100%| Component | Sub-score |
|---|---|
| RSI | 4.5 |
| MACD | 10.0 |
| OBV | 1.0 |
| MA position | 1.0 |
| Volume | 0.0 |
- ▸Volume distribution (falling OBV)
- ▸Below 200-MA, MA slope -5.3%/30d — confirmed downtrend
Sentiment
7.1/10data confidence 100%| Component | Sub-score |
|---|---|
| Analyst rating | 7.4 |
| Price target | 9.5 |
| erm sentiment | 3.8 |
- ▸Analyst upside: 50%
Insider
5.0/10data confidence 50%| Component | Sub-score |
|---|---|
| materiality | 5.0 |
| holder change | 5.1 |
- ▸Negligible insider buying — $45,260 (0.001% of mkt cap)
Peer rank
3.9/10data confidence 80%| Component | Sub-score |
|---|---|
| value rank | 5.6 |
| quality rank | 3.8 |
| growth rank | 4.8 |
Technical
4.2/10data confidence 100%| Component | Sub-score |
|---|---|
| bollinger | 5.7 |
| support resistance | 6.0 |
| 52w position | 0.0 |
| gap | 5.0 |
Risk (lower is worse)
2.4/10data confidence 100%| Component | Sub-score |
|---|---|
| short interest | 0.0 |
| days to cover | 4.9 |
| volatility | 0.0 |
| put call | 5.2 |
| implied vol | 1.1 |
| beta | 5.4 |
| debt equity | 0.0 |
- ▸High short interest: 25%
- ▸High IV: 74%
- ▸Concentration risks: 1 HIGH (10-K Item 1A — sized via position_sizing, validated via buy_confidence)
Catalyst
5.7/10data confidence 100%| Component | Sub-score |
|---|---|
| erm | 3.5 |
| earnings history | 10.0 |
| earnings timing | 5.0 |
| surprise avg | 4.4 |
- ▸Perfect beat streak: 4Q
How the verdict was assembled
Engine trigger
Extreme risk factors.
Engine technical detail
verdict_path:
L1:HARD_BLOCKPassed (6)
- ASYMMETRY:2.9>=1.5
- INSIDER:OK
- NEWS_EVENTS:NONE_RECENT
- EARNINGS_PROXIMITY:60d clear
- SEMI_CYCLE_PEAK:CLEAR
- MATERIALS_CYCLE_PEAK:CLEAR
Failed (2)
- MOMENTUM:3.3<4.5
- DEATH_CROSS:HARD_BLOCK
Warning (1)
- 8K_CSUITE_CHANGE:5.02 (officer departure/appointment)
Reward-to-Risk
2.93
Upside
+34.7%
Downside
11.8%
Sizing output
AVOID
SetupRECOVERY — Death cross but MACD improving, RSI 57
EdgeNO_EDGE — No clear edge identified
SuitabilityAGGRESSIVE — Beta 1.40>1.3
Investment implication
The L1 gate blocked the positive-verdict path: a hard-floor threshold was breached, so dimensional pillars — including Value at 9.2 could not lift the engine output above the verdict floor. Failed gate signal: MOMENTUM:3.3<4.5.
The strongest dimensions are Value at 9.2, Sentiment at 7.1, and Catalyst at 5.7; the weakest are Risk (lower is worse) at 2.4, Momentum at 3.3, and Peer rank at 3.9. The V9 engine flagged 2 failed gates with 1 warning, producing an asymmetric reward-to-risk of 2.93 and an engine sizing output of AVOID.