Shares of IT consultant EPAM Systems (EPAM 14.91%) rallied 15.5% on Thursday, as of 3:41 p.m. ET.

EPAM is a unique IT services firm, which prior to the Russian invasion of Ukraine had a lot of workers in Ukraine, Belarus, and Russia. Thus, the pivoting of the business away from Russia has been painful for the last two years, with EPAM's growth dipping into negative territory in 2023 and early 2024. However, this morning's earnings call seemed to show things may finally be turning the corner.

That gives EPAM a very interesting setup heading into 2025.

A stronger Q3 with a lift to full-year estimates

In the third quarter, EPAM's revenue grew 1.7% to $1.17 billion, with adjusted (non-GAAP) earnings per share of $3.12 growing 14.3% over the past year. Both figures beat analysts' expectations. Additionally, management raised its full-year revenue guidance to between $4.69 billion and $4.7 billion, up from prior guidance of $4.59 billion to $4.63 billion, while also raising its adjusted profit outlook for the year to a range between $10.73 and $10.81, up from a prior range between $10.20 to $10.40.

With a beat-and-raise quarter, it's no surprise to see the stock flying higher today.

EPAM is far down from highs, but is it cheap enough to buy?

While EPAM is soaring today and trades for 21.5 times its newly raised adjusted 2024 earnings estimates, the stock still remains 72% below 2021 all-time highs.

As you can see, prior to Russia's invasion of Ukraine, EPAM had been a 20%-plus grower, with growth surging to above 40% in the pandemic.

EPAM Operating Revenue (Quarterly YoY Growth) data by YCharts

While investors probably shouldn't expect a return to those growth rates, a lower interest rate environment and demand for artificial intelligence (AI) IT services could lead to a stronger 2025. Furthermore, EPAM is even a bit cheaper than its P/E ratio may indicate, as the company also holds just over $2 billion in cash, or over 15% of its market cap.

Thus, EPAM is certainly a name to have on your radar for 2025 turnaround stories.