Q2 Holdings, Inc. (NYSE:QTWO) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Shares of Q2 Holdings, Inc. (NYSE:QTWO) have received a consensus recommendation of “Moderate Buy” from the thirteen analysts that are currently covering the firm, Marketbeat Ratings reports. Three investment analysts have rated the stock with a hold rating, eight have issued a buy rating and two have given a strong buy rating to the company. The average 12-month price objective among analysts that have updated their coverage on the stock in the last year is $76.1667.

Several analysts have issued reports on the company. Needham & Company LLC boosted their target price on Q2 from $70.00 to $75.00 and gave the company a “buy” rating in a research note on Thursday, July 30th. Piper Sandler started coverage on Q2 in a report on Thursday, September 10th. They issued an “overweight” rating and a $82.00 price objective for the company. DA Davidson restated a “buy” rating and issued a $82.00 price objective on shares of Q2 in a research note on Thursday, July 23rd. Stifel Nicolaus upped their price objective on shares of Q2 from $70.00 to $75.00 and gave the company a “buy” rating in a report on Thursday, July 30th. Finally, Weiss Ratings upgraded shares of Q2 from a “hold (c-)” rating to a “hold (c)” rating in a research note on Friday, July 31st.

Q2 Stock Down 2.5%

Q2 stock opened at $58.08 on Friday. The firm has a 50 day moving average price of $60.59 and a 200-day moving average price of $52.47. Q2 has a twelve month low of $40.79 and a twelve month high of $85.01. The company has a market capitalization of $3.62 billion, a P/E ratio of 41.49 and a beta of 1.33.

Q2 (NYSE:QTWO) last posted its quarterly earnings results on Wednesday, July 29th. The technology company reported $0.70 EPS for the quarter, topping analysts’ consensus estimates of $0.68 by $0.02. Q2 had a net margin of 10.87% and a return on equity of 17.04%. The company had revenue of $219.77 million for the quarter, compared to analysts’ expectations of $216.86 million. During the same quarter in the previous year, the firm posted $0.18 EPS. Q2’s revenue was up 12.6% on a year-over-year basis. Equities analysts expect that Q2 will post 1.8 EPS for the current fiscal year.

Insider Buying and Selling

In other Q2 news, CFO Jonathan Price sold 77,180 shares of the stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $65.71, for a total transaction of $5,071,497.80. Following the sale, the chief financial officer owned 207,633 shares in the company, valued at $13,643,564.43. This represents a 27.10% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, General Counsel Michael S. Kerr sold 636 shares of the firm’s stock in a transaction on Friday, September 11th. The stock was sold at an average price of $60.96, for a total value of $38,770.56. Following the completion of the transaction, the general counsel directly owned 80,739 shares of the company’s stock, valued at $4,921,849.44. The trade was a 0.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 87,816 shares of company stock valued at $5,740,968. Company insiders own 0.88% of the company’s stock.

Institutional Trading of Q2

A number of hedge funds and other institutional investors have recently made changes to their positions in QTWO. Tidal Investments LLC boosted its stake in Q2 by 22.4% in the 2nd quarter. Tidal Investments LLC now owns 251,079 shares of the technology company’s stock worth $12,077,000 after purchasing an additional 45,927 shares during the period. WINTON GROUP Ltd bought a new stake in shares of Q2 during the second quarter valued at about $413,000. Integrated Wealth Concepts LLC purchased a new stake in shares of Q2 in the second quarter worth about $71,000. Allworth Financial LP lifted its holdings in shares of Q2 by 48.1% in the second quarter. Allworth Financial LP now owns 1,120 shares of the technology company’s stock worth $54,000 after buying an additional 364 shares in the last quarter. Finally, Nykredit A S bought a new position in shares of Q2 in the second quarter valued at approximately $110,000.

Q2 Company Profile

Q2 Holdings, Inc provides digital transformation solutions for banks, credit unions, fintech companies and other financial institutions. Its cloud-based technology is designed to help these organizations deliver digital banking experiences across online and mobile channels while supporting customer engagement, account opening and financial product access.

The company’s offerings include digital banking software, lending and loan-origination technology, financial data and analytics tools, and solutions for payment, fraud and financial crime management.