Following the release of
EPAM Systems, Inc
) strong second-quarter 2013 results, the stock has delivered
impressive returns over the last two months. Moreover, the Zacks
Consensus Estimate for 3Q13 and FY13 witnessed an upward revision
during the same period.
The stock price of EPAM rose almost 12% over the last two
months. This stimulated the company to raise its guidance for
3Q13 and FY13.
At present, the company expects third-quarter revenues to be
in the range of $139-$140 million, up from the earlier projection
of $135-$137 million, an increase of 26% to 27%. Non-GAAP diluted
earnings per share (EPS) for third-quarter is forecasted to be 42
cents to 43 cents, marginally higher than the prior range of 41
cents to 42 cents.
For fiscal 2013, the company anticipates revenues in the range
of $542-$545 million, up 23% to 25% from the earlier projection.
Additionally, non-GAAP EPS growth for 2013 is expected to be in
the range of 15% to 20% year over year, up from the previous
growth estimate of 12% to 15%.
It is yet to be seen whether the company's third-quarter
results (scheduled to be reported on Nov 7, 2013) come in line
with the Zacks Consensus Estimate or not.
Notably, the company's current guidance for the forthcoming
quarterly results stands above the Zacks Consensus Estimate of 34
Concurrently, the company announced that Anthony J. Conte has
replaced Ilya Cantor as the new Chief Financial Officer, with
effect from Nov 8, 2013.
EPAM is a leading software engineering and IT outsourcing
(ITO) company and currently carries a Zacks Rank #3 (Hold).
Better-placed stocks in the same sector worth considering
Qihoo 360 Technology Co. Ltd.
). All the above-mentioned stocks carry a Zacks Rank #1 (Strong
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