Forensic Analysis · Software & SaaS · as of Nov 8, 2026
Epam Systems, Inc. (EPAM)
A forensic read on Epam Systems, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
B · Sound & dependable
Forensic grade
Safe
Financial health
6.0
Distress distance (no retained-earnings input)
Clean
Earnings quality
2
Forensic signals
10.3%
ROE
15.4%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (auditor quality, say on pay, board independence, going concern). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Epam Systems, Inc. earns a B (Sound & dependable) forensic quality grade, and its balance-sheet distress test reads 6.0, placing it in the Safe zone. 2 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
14.7%
FY2025
Return on invested capital.Return on invested capital is 14.7% in the latest fiscal year and slipping across FY2023–FY2025 from 23.3%. After-tax operating profit was $390M in FY2023 and $388M in FY2025, with operating income at 10.7% of revenue in FY2023, 11.5% in FY2024 and 9.5% in FY2025. The capital base behind it grew +58% across FY2023–FY2025, from $1.7B to $2.6B, while the return fell 8.6 points, so the dollars added over that window earned less than the 23.3% the older base was already earning.
108% of FCF
FY2025
Shareholder returns.Returned $662M to shareholders (buybacks + dividends) in FY2025 — 108% of free cash flow. That is $49M (8%) more than free cash flow covered, and more than operating cash flow as well. Over FY2025 total debt fell $160,000, so that line did not fund the gap. The FY2025 cash-flow statement filed $6M of debt issued; $55M from shares issued; $2M of investments purchased; net cash used in investing activities of $49M; net cash used in financing activities of $651M. That ratio has been CLIMBING past free cash flow — 31% of free cash flow two years back — not just sitting there. Counting the $177M of stock-based comp paid out in shares on top of that, the combined claim on free cash flow is 137%.
Key fundamentals
Latest Revenue$5.46B
Revenue Growth YoY+15.4%
Revenue CAGR (2yr)+7.9%
Net Margin6.9%
Free Cash Flow$612.7M
Return on Equity10.3%
Debt / Equity0.01x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Epam Systems, Inc.'s actual 10-K/10-Q/8-K filings?