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EPAM SystemsFRA:E3M -0.96%73 PB Ratio is 1.39 as of Jul. 22, 2026, which is 75% below its 10-year median of 5.60. GuruFocus rates FRA:E3M with a GF Score™ of 73/100 and a GF Value™ of €227.50 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,636 Software companies, EPAM Systems ranks better than 72.72% on this metric.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2026-07-22), EPAM Systems's share price is €78.00. EPAM Systems's Book Value per Share for the quarter that ended in Mar. 2026 was €56.26. Hence, EPAM Systems's PB Ratio of today is 1.39.
The historical rank and industry rank for EPAM Systems's PB Ratio or its related term are showing as below:
FRA:E3M'
s PB Ratio Range Over the Past 10 Years
Min: 1.18 Med: 5.6 Max: 17.09
Current: 1.36
During the past 13 years, EPAM Systems's highest PB Ratio was 17.09. The lowest was 1.18. And the median was 5.60.
FRA:E3M's PB Ratio is ranked better than 72.72% of 2636
companies
in the Software industry
Industry Median: 2.37
vs FRA:E3M: 1.36
During the past 12 months, EPAM Systems's average Book Value Per Share Growth Rate was 1.10% per year.
During the past 3 years, the average Book Value Per Share Growth Rate was 9.20% per year.
During the past 5 years, the average Book Value Per Share Growth Rate was 13.80% per year.
During the past 10 years, the average Book Value Per Share Growth Rate was 19.80% per year.
During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of EPAM Systems was 152.10% per year. The lowest was 9.20% per year. And the median was 23.80% per year.
The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.
Be Aware
Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.
EPAM Systems PB Ratio Related Terms
EPAM Systems PB Ratio Historical Data
* Premium members only.
The historical data trend for EPAM Systems's PB Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Information Technology Services subindustry, EPAM Systems's PB Ratio, along with its competitors' market caps and PB Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
EPAM Systems PB Ratio vs Software Industry
For the Software industry and Technology sector, EPAM Systems's PB Ratio distribution charts can be found below:
* The bar in red indicates where EPAM Systems's PB Ratio falls into.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.
EPAM Systems's PB Ratio for today is calculated as follows:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
It can also be calculated from the numbers for the whole company:
A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.
EPAM Systems (FRA:E3M) has a PB Ratio of 1.39 as of Jul. 22, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on EPAM Systems and its competitors. This is 75% below median its historical median of 5.60. Over the past decade, EPAM Systems' PB Ratio has ranged from 1.18 to 17.09. According to the industry distribution chart, EPAM Systems ranks #719 out of 2636 companies in the Software industry, placing it in the top 27.3%.
Is EPAM Systems' PB Ratio too high?
EPAM Systems' current PB Ratio of 1.39 is 75% below median its 10-year median of 5.60. Over the past 10 years, this metric has ranged from a low of 1.18 to a high of 17.09. The Software industry median PB Ratio is 2.37. EPAM Systems' value of 1.39 is 41.4% below this industry median. Based on the distribution chart, EPAM Systems ranks #719 out of 2636 companies in the Software industry, which is above the industry midpoint. Overall, EPAM Systems has a GF Score™ of 73/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does EPAM Systems' PB Ratio compare to EXLS and SAIC?
According to the Software industry distribution chart, EPAM Systems ranks #719 out of 2636 companies for PB Ratio. This puts EPAM Systems in the upper half of its industry. The industry median PB Ratio is 2.37. EPAM Systems' value of 1.39 is 41.4% below this benchmark. Historically, EPAM Systems' own PB Ratio has ranged from 1.18 to 17.09 over the past decade. While the company's 10-year median is 5.60 vs. the industry median of 2.37, EPAM Systems has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PB Ratio for a Software company?
The median PB Ratio among Software companies is 2.37, based on 2,636 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. EPAM Systems's current PB Ratio of 1.39 is 41.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on EPAM Systems and its competitors. For the Software industry, the median PB Ratio is 2.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EPAM Systems's current PB Ratio is 1.39, which is 75% below median its own 10-year median of 5.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EPAM Systems stock overvalued right now?
Based on GuruFocus' analysis, EPAM Systems (FRA:E3M) is currently considered Significantly Undervalued. The stock's GF Value™ is €227.50, compared to a current price of €78.00 — trading 65.7% below its estimated fair value. The current PB Ratio is 1.39, which is 75% below median its 10-year median of 5.60 and 41.4% below the Software industry median of 2.37. EPAM Systems' overall GF Score™ is 73/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For EPAM Systems (FRA:E3M), the current PB Ratio is 1.39 as of Jul. 22, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is EPAM Systems (FRA:E3M) Overvalued in 2026?
Based on GuruFocus' analysis, EPAM Systems stock appears to be undervalued.
The current stock price of €78.00 is trading 65.7% below its estimated GF Value™ of €227.50.
GuruFocus considers EPAM Systems to be Significantly Undervalued.
Key valuation signals for FRA:E3M:
PB Ratio: 1.39 (75% below median its 10-year median of 5.60)
GF Value™: €227.50 vs. price of €78.00 (65.7% below fair value)
Industry Position: 41.4% below the Software median (#719 of 2636)
No single metric tells the full story. See the FRA:E3M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
EPAM Systems is a global IT services firm with a focus on platform engineering, software development, and consulting services. The company used to host large engineer bases in Ukraine, Belarus, and Russia, but it now delivers from various locations across different continents. EPAM's largest market is North America, which represents approximately 60% of revenue.
73GF Score
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