Hillsdale boosts stake in EPAM amid rising institutional confidence and strategic buyback

Hillsdale Investment Management Inc. has recently taken a new position in EPAM Systems, Inc., acquiring 14,600 shares during the second quarter, valued at approximately $2.58 million, according to the firm’s latest 13F filing with the U.S. Securities & Exchange Commission. This move signals Hillsdale’s confidence in the growth prospects of the information technology services provider, which continues to attract institutional investor interest.

This acquisition coincides with a general trend of increased institutional activity in EPAM Systems’ stock during the same period. Other investors such as Sound Income Strategies LLC entered with a new stake worth about $29,000. Blue Trust Inc. expanded its holding by 40.5%, owning 333 shares valued at approximately $59,000, while Parallel Advisors LLC notably increased its position by over 215%, now holding 366 shares. UMB Bank n.a. and CX Institutional also augmented their stakes by substantial margins. Together, these shifts highlight strengthening institutional confidence in EPAM amidst its ongoing business momentum.

As of recently, institutional investors collectively own over 91% of EPAM’s stock, underscoring a broad-based institutional commitment to the company. This is complemented by significant insider ownership, which stood around 50.83% as of early November 2025, indicating a strong alignment of interests with company executives and board members.

However, insider trading activity has also been notable. Vice President Gary C. Abrahams sold 600 shares in mid-November at an average price of $179.29, trimming his holdings by roughly 18% to 2,720 shares valued near $487,669. Similarly, Senior Vice President Sergey Yezhkov reduced his stake by over 91% in late October, selling 1,511 shares at around $150.27 each. These sales, disclosed through official SEC filings, totalled over 4,600 shares sold by insiders in the last quarter, worth approximately $789,000. While insider selling can sometimes raise questions, it is also routine for executives to manage personal portfolios, and given the significant insider ownership, commitment to the company’s long-term prospects remains evident.

On the financial front, EPAM Systems has demonstrated solid performance. In its latest quarterly earnings report released on November 6, the company posted earnings per share (EPS) of $3.08, slightly exceeding analyst estimates of $3.02. Revenue for the quarter matched forecasts at $1.39 billion, representing a robust 19.4% increase compared to the same quarter the previous year. The company’s net margin stood at 7.91%, with return on equity reaching 14%, signalling operational efficiency and profitable utilisation of shareholder capital.

Looking ahead, EPAM has set its full-year 2025 EPS guidance between $11.36 and $11.44, and fourth-quarter guidance from $3.10 to $3.18 per share. Equity analysts broadly maintain a positive outlook on EPAM, with an average rating classified as a “Moderate Buy” and an average target price around $213.81. Recent analyst activity further reflects optimism: notable firms including Wells Fargo and JPMorgan have upgraded their ratings or raised price targets recently, indicating confidence in the company’s trajectory.

Further bolstering investor confidence, EPAM’s board authorised a substantial share buyback program on October 21, allowing the company to repurchase up to $1 billion worth of shares, representing up to 12.4% of outstanding stock. Share buybacks typically signal that management believes the shares are undervalued, a positive indication amid current market dynamics.

Presently, EPAM’s stock trades at around $180.88 on the NYSE, with a market capitalisation close to $10 billion. The stock’s price-to-earnings (P/E) ratio is about 25.8, and the P/E-to-growth (PEG) ratio sits near 2.36, suggesting moderate valuation relative to expected growth. The company’s balance sheet appears strong, featuring a debt-to-equity ratio of 0.01 and healthy liquidity ratios.

EPAM Systems continues to be a noteworthy player in the digital platform engineering and software development services sector, providing a comprehensive suite of offerings ranging from requirements analysis to infrastructure management and support services worldwide. The recent institutional investments, insider transactions, and financial results collectively paint a picture of a company navigating growth opportunities while maintaining governance transparency and strategic shareholder returns.

As investors weigh these factors, the broad institutional presence and ongoing analyst endorsements signal sustained confidence in EPAM Systems amid evolving technology service demands.