EPAM Systems (EPAM) & Google Cloud Team Up on Enterprise AI
EPAM Systems EPAM recently expanded its 15-year-old partnership with Alphabet Inc.’s GOOGL Google Cloud to develop and deploy artificial intelligence (AI)-first Google Cloud solutions that will aid enterprises overcome operational challenges and drive transformational growth.
Per the deal, EPAM's expertise in engineering, strategic consulting and industry focused technology solutions will get combined with Google Cloud's advanced AI and machine learning capabilities, generative AI and analytics technology. This will help deliver cloud-native AI, data modernization, migration, data and analytics solutions to the Forbes Global 2000.
EPAM Systems will expand its global, cloud-native engineering and integration services. The company will also introduce targeted vertical solutions and managed services around Google Cloud AI solutions, which include Vertex AI, Generative AI App Builder and Model Garden. This will help enterprises accelerate digital transformation, rapidly realizing business value, addressing real-world use cases and driving business growth.
EPAM and Google Cloud will further collaborate on developing AI-driven solutions in key verticals, such as financial services, consumer, telecom, media, entertainment, healthcare, life sciences, energy and high-tech, for the enterprises.
EPAM Systems, Inc. Price and Consensus
EPAM Systems, Inc. price-consensus-chart | EPAM Systems, Inc. Quote
The company is currently benefiting from ongoing digital transformation and continued focus on customer engagement and product development. Digital transformation, focus on customer engagement and product developments have been key catalysts for EPAM Systems.
In April, the company signed an enhanced global strategic alliance with Sitecore under which the companies will invest in joint solution offerings, product accelerators and customer strategy. Through this move, EPAM will provide its clients access to Sitecore's technology best practices for content management, personalization, marketing automation and e-commerce to build more engaging and effective digital experiences for end users.
In March, EPAM Systems revealed its technical advisory role with Drink Without Waste, an initiative led by the Single-Use Beverage Packaging Working Group, to develop and facilitate strategies and actions that significantly reduce waste from beverage consumption arriving in landfills and polluting the environment. Before that, the company revealed a new AosEdge vehicle-to-cloud platform that represents the next phase in the evolution of connected cars.
In first-quarter 2023, EPAM reported revenues of $1.21 billion, which reflected a year-over-year increase of 3.4%. The Zacks Consensus Estimate for second-quarter 2023 revenues is pegged at $1.16 billion, suggesting a 2.9% drop.
Zacks Rank & Stocks to Consider
EPAM Systems currently has a Zacks Rank #5 (Strong Sell), while Alphabet has a Zacks Rank #3 (Hold). Shares of EPAM have decreased 20.4%, while that of GOOGL increased 18% in the past year.
Some better-ranked stocks from the broader Computer and Technology sector are Meta Platforms META and ServiceNow NOW, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today's Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Meta Platforms' second-quarter 2023 earnings has been revised downward by 5 cents to $2.82 per share over the past 30 days. For 2023, earnings estimates have moved south by 0.9% to $11.93 in the past 30 days.
META’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters, missing twice, the average surprise being 15.5%. Shares of the company have climbed 75.2% in the past year.
The Zacks Consensus Estimate for ServiceNow’s second-quarter 2023 earnings has been revised northward by 6.2% to $2.05 per share over the past 60 days. For 2023, earnings estimates have moved up by a penny to $9.59 in the past 30 days.
NOW's earnings beat the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 10.4%. Shares of the company have inched up 34.2% in the past year.
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