Wall Street Zen Upgrades Q2 (NYSE:QTWO) to “Buy”

Q2 (NYSE:QTWO) was upgraded by research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a note issued to investors on Saturday.

QTWO has been the subject of several other reports. Stifel Nicolaus reduced their price target on Q2 from $110.00 to $90.00 and set a “buy” rating for the company in a research report on Wednesday, October 15th. Cantor Fitzgerald cut their target price on Q2 from $110.00 to $90.00 and set an “overweight” rating on the stock in a research note on Wednesday, October 29th. Royal Bank Of Canada decreased their price target on shares of Q2 from $102.00 to $86.00 and set a “sector perform” rating for the company in a research report on Thursday. Needham & Company LLC cut their price objective on shares of Q2 from $115.00 to $90.00 and set a “buy” rating on the stock in a research report on Thursday. Finally, Zacks Research lowered shares of Q2 from a “strong-buy” rating to a “hold” rating in a research note on Monday, September 29th. Nine investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $96.69.

Q2 Stock Performance

Shares of QTWO opened at $71.90 on Friday. The company has a 50 day moving average price of $70.16 and a 200-day moving average price of $80.34. Q2 has a fifty-two week low of $58.57 and a fifty-two week high of $112.82. The stock has a market capitalization of $4.50 billion, a PE ratio of 149.80 and a beta of 1.48.

Q2 (NYSE:QTWO) last issued its quarterly earnings data on Wednesday, November 5th. The technology company reported $0.23 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.55 by ($0.32). The business had revenue of $201.70 million for the quarter, compared to analysts’ expectations of $197.87 million. Q2 had a net margin of 4.12% and a return on equity of 10.92%. The business’s quarterly revenue was up 15.2% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.20) earnings per share. Q2 has set its FY 2025 guidance at EPS. Q4 2025 guidance at EPS. Equities research analysts forecast that Q2 will post 0.67 EPS for the current year.

Insider Activity at Q2

In other Q2 news, General Counsel Michael S. Kerr sold 967 shares of the business’s stock in a transaction that occurred on Monday, September 15th. The shares were sold at an average price of $82.60, for a total transaction of $79,874.20. Following the sale, the general counsel owned 56,228 shares of the company’s stock, valued at approximately $4,644,432.80. The trade was a 1.69% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director James Offerdahl sold 786 shares of the company’s stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $74.15, for a total transaction of $58,281.90. Following the transaction, the director owned 17,792 shares in the company, valued at $1,319,276.80. The trade was a 4.23% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 8,499 shares of company stock valued at $650,658 in the last three months. 3.00% of the stock is owned by insiders.

Institutional Trading of Q2

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Headlands Technologies LLC acquired a new position in shares of Q2 in the second quarter valued at about $26,000. Cullen Frost Bankers Inc. acquired a new stake in shares of Q2 during the third quarter worth about $27,000. Salomon & Ludwin LLC purchased a new stake in Q2 in the third quarter valued at approximately $30,000. WPG Advisers LLC purchased a new stake in Q2 in the first quarter valued at approximately $35,000. Finally, First Horizon Corp acquired a new position in Q2 in the 3rd quarter worth approximately $37,000.

Q2 Company Profile

Q2 Holdings, Inc provides cloud-based digital solutions to regional and community financial institutions in the United States. The company offers Digital Banking Platform, an end-to-end digital banking platform supports its financial institution customers in their delivery of unified digital banking services across digital channels.