Q2 (NYSE:QTWO) Raised to “Buy” at DA Davidson

Q2 (NYSE:QTWO) was upgraded by stock analysts at DA Davidson from a “neutral” rating to a “buy” rating in a note issued to investors on Tuesday, MarketBeat reports. The firm currently has a $82.00 price target on the technology company’s stock. DA Davidson’s price target suggests a potential upside of 42.29% from the company’s previous close.

A number of other analysts have also recently weighed in on QTWO. Zacks Research cut shares of Q2 from a “strong-buy” rating to a “hold” rating in a research note on Friday, January 9th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Q2 in a report on Thursday, January 22nd. 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 report on Thursday, November 6th. Stifel Nicolaus dropped their price objective on Q2 from $110.00 to $90.00 and set a “buy” rating on the stock in a research note on Wednesday, October 15th. Finally, Wall Street Zen upgraded Q2 from a “hold” rating to a “buy” rating in a research note on Saturday, November 8th. Nine analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $92.27.

Q2 Price Performance

Q2 stock opened at $57.63 on Tuesday. Q2 has a one year low of $54.63 and a one year high of $102.07. The company’s fifty day moving average price is $70.04 and its two-hundred day moving average price is $72.34. The company has a market capitalization of $3.60 billion, a price-to-earnings ratio of 120.06 and a beta of 1.36.

Q2 (NYSE:QTWO) last issued its quarterly earnings data on Wednesday, November 5th. The technology company reported $0.23 EPS for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.32). Q2 had a net margin of 4.12% and a return on equity of 10.92%. The company had revenue of $201.70 million for the quarter, compared to analyst estimates of $197.87 million. During the same period in the prior year, the company posted ($0.20) EPS. The business’s revenue was up 15.2% on a year-over-year basis. As a group, sell-side analysts anticipate that Q2 will post 0.67 earnings per share for the current year.

Insider Activity at Q2

In other Q2 news, insider Kirk L. Coleman sold 8,559 shares of the company’s stock in a transaction that occurred on Wednesday, December 10th. The stock was sold at an average price of $73.68, for a total value of $630,627.12. Following the completion of the transaction, the insider owned 269,128 shares of the company’s stock, valued at $19,829,351.04. This represents a 3.08% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CRO Michael A. Volanoski sold 5,123 shares of Q2 stock in a transaction that occurred on Friday, December 12th. The stock was sold at an average price of $75.46, for a total value of $386,581.58. Following the sale, the executive directly owned 166,512 shares in the company, valued at $12,564,995.52. The trade was a 2.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 20,883 shares of company stock worth $1,547,778 over the last three months. Company insiders own 0.31% of the company’s stock.

Hedge Funds Weigh In On Q2

A number of hedge funds have recently made changes to their positions in QTWO. Advisors Asset Management Inc. increased its stake in shares of Q2 by 18.1% in the 2nd quarter. Advisors Asset Management Inc. now owns 1,003 shares of the technology company’s stock valued at $94,000 after acquiring an additional 154 shares during the last quarter. ANB Bank grew its holdings in Q2 by 7.1% during the second quarter. ANB Bank now owns 2,710 shares of the technology company’s stock valued at $254,000 after purchasing an additional 179 shares during the period. Hilltop National Bank grew its holdings in Q2 by 9.8% during the third quarter. Hilltop National Bank now owns 2,077 shares of the technology company’s stock valued at $150,000 after purchasing an additional 185 shares during the period. California State Teachers Retirement System increased its stake in Q2 by 0.3% in the second quarter. California State Teachers Retirement System now owns 55,842 shares of the technology company’s stock valued at $5,226,000 after purchasing an additional 194 shares in the last quarter. Finally, Summit Global Investments raised its holdings in Q2 by 2.0% in the second quarter. Summit Global Investments now owns 10,100 shares of the technology company’s stock worth $945,000 after purchasing an additional 198 shares during the period.

Q2 Company Profile

Q2 Holdings, Inc develops and delivers cloud-based digital banking solutions that enable banks and credit unions to enhance customer and member experiences. The company’s core offerings include the Q2 Platform, a comprehensive suite of online and mobile banking applications for retail and commercial customers, as well as digital onboarding, payments, and fraud prevention tools. Q2’s platform also provides analytics and reporting capabilities designed to help financial institutions tailor products, optimize workflows, and drive engagement.

Founded in 2004 and headquartered in Austin, Texas, Q2 serves hundreds of financial institutions across the United States and Canada.