Jefferies Sees a Bottom for IT Spending—EPAM Systems Stock Could Get a Boost

Core Insights - EPAM Systems shares have fallen to their lowest level since the COVID-19 pandemic, losing approximately 30% of their value this year [4] - Wall Street's consensus price target for EPAM shares is around $223, according to Visible Alpha [4] Company Analysis - Jefferies analysts have upgraded EPAM shares from hold to buy, raising the price target from $202 to $237, citing a potential recovery in business IT spending [5] - The analysts believe that the decline in business IT spending is nearing its bottom, which could positively impact EPAM shares [5] - EPAM is expected to benefit from increasing demand for artificial intelligence (AI) and is considered to have an attractive valuation for a high-quality asset [5] - Despite current challenges, Jefferies notes that there is a natural floor to demand for IT services, indicating a potential recovery in customer demand [5]