EPAM stock tumbles to lead S&P 500 losers after guidance withdrawn following Russia’s invasion of Ukraine

Shares of EPAM Systems Inc. EPAM,
fell 9.8% to pace all S&P 500 SPX,
components in premarket losses, after the digital platform engineering services provider announced it was withdrawing its financial guidance following “military actions” in Ukraine. The company said in its fourth quarter earnings report on Feb. 17 that it expects revenue of $1.17 billion to $1.18 billion for the first quarter and at minus $5.15 billion for 2022, compared to the FactSet consensus at the end of January for the former – quarterly revenue of $1.11 billion and 2022 revenue of $4.87 billion. EPAM said in its annual 10-K report on Friday that its largest delivery centers are located in Ukraine, Belarus and Russia. As of December 31, it had 12,389 delivery professionals in Ukraine, 9,416 in Belarus and 8,933 in Russia. “EPAM’s highest priority is the safety and security of its employees and their families in Ukraine. The company is working proactively to relocate its employees to lower-risk locations in Ukraine and neighboring countries.” The company said Monday. The stock, which fell 13.7% last week, is set to open at the lowest price seen during regular trading hours since March 9, 2021. It plunged 37.2% in over the past three months through Friday, while the S&P 500 slipped 4.6. %.

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