Q2 (NYSE:QTWO) Announces Earnings Results

Q2 (NYSE:QTWO) issued its quarterly earnings results on Wednesday. The technology company reported $0.31 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.27), FiscalAI reports. The firm had revenue of $208.22 million for the quarter, compared to analysts’ expectations of $204.84 million. Q2 had a net margin of 4.12% and a return on equity of 10.92%.

Q2 Stock Performance

QTWO traded down $0.30 on Wednesday, reaching $57.04. The company had a trading volume of 2,684,697 shares, compared to its average volume of 850,972. Q2 has a 52-week low of $54.63 and a 52-week high of $102.07. The company has a market cap of $3.57 billion, a price-to-earnings ratio of 118.82 and a beta of 1.36. The business has a 50 day simple moving average of $68.82 and a 200 day simple moving average of $71.27.

Insider Activity

In other news, insider Kirk L. Coleman sold 8,559 shares of the company’s stock in a transaction dated 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 directly owned 269,128 shares in the company, valued at approximately $19,829,351.04. This represents a 3.08% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, COO Himagiri K. Mukkamala sold 3,024 shares of the firm’s stock in a transaction dated Wednesday, December 10th. The shares were sold at an average price of $73.68, for a total value of $222,808.32. Following the transaction, the chief operating officer directly owned 96,046 shares in the company, valued at approximately $7,076,669.28. This represents a 3.05% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 20,883 shares of company stock worth $1,547,778. 0.31% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Q2

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Aquatic Capital Management LLC bought a new position in shares of Q2 during the third quarter valued at about $843,000. Mariner LLC grew its stake in shares of Q2 by 62.3% in the third quarter. Mariner LLC now owns 11,639 shares of the technology company’s stock worth $843,000 after purchasing an additional 4,466 shares during the last quarter. Cerity Partners LLC raised its position in Q2 by 121.9% during the 4th quarter. Cerity Partners LLC now owns 10,849 shares of the technology company’s stock valued at $783,000 after purchasing an additional 5,960 shares during the last quarter. Focus Partners Advisor Solutions LLC bought a new position in Q2 during the 4th quarter valued at approximately $508,000. Finally, CIBC Bancorp USA Inc. purchased a new stake in Q2 in the 3rd quarter worth approximately $480,000.

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on QTWO shares. Royal Bank Of Canada reduced their target price on shares of Q2 from $102.00 to $86.00 and set a “sector perform” rating for the company in a research note on Thursday, November 6th. Wall Street Zen raised shares of Q2 from a “hold” rating to a “buy” rating in a report on Saturday, November 8th. Cantor Fitzgerald dropped their target price on Q2 from $110.00 to $90.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 29th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Q2 in a research report on Thursday, January 22nd. Finally, Stifel Nicolaus dropped their price objective on Q2 from $110.00 to $90.00 and set a “buy” rating on the stock in a report on Wednesday, October 15th. Nine analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $92.27.

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.