Q2 (NYSE:QTWO) Sets New 1-Year Low After Analyst Downgrade

Q2 Holdings, Inc. (NYSE:QTWO) shares hit a new 52-week low during trading on Monday after JPMorgan Chase & Co. lowered their price target on the stock from $80.00 to $60.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. Q2 traded as low as $42.05 and last traded at $42.8050, with a volume of 35125 shares. The stock had previously closed at $42.85.

A number of other equities analysts have also recently issued reports on the company. Robert W. Baird set a $74.00 target price on Q2 in a report on Thursday, April 30th. Zacks Research lowered Q2 from a “strong-buy” rating to a “hold” rating in a research note on Monday, March 16th. UBS Group set a $77.00 price objective on Q2 in a report on Thursday, April 30th. Wall Street Zen downgraded shares of Q2 from a “buy” rating to a “hold” rating in a research note on Saturday, May 2nd. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Q2 in a report on Tuesday, April 21st. Seven analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, Q2 has an average rating of “Moderate Buy” and a consensus price target of $73.45.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. William Blair Investment Management LLC boosted its stake in Q2 by 25.9% in the fourth quarter. William Blair Investment Management LLC now owns 2,694,718 shares of the technology company’s stock valued at $194,451,000 after acquiring an additional 553,713 shares during the last quarter. Peregrine Capital Management LLC lifted its stake in shares of Q2 by 48.7% in the 4th quarter. Peregrine Capital Management LLC now owns 143,243 shares of the technology company’s stock valued at $10,336,000 after purchasing an additional 46,903 shares during the period. Vanguard Group Inc. lifted its stake in shares of Q2 by 1.0% in the 4th quarter. Vanguard Group Inc. now owns 7,995,133 shares of the technology company’s stock valued at $576,929,000 after purchasing an additional 82,827 shares during the period. New Age Alpha Advisors LLC bought a new position in shares of Q2 in the 4th quarter worth $3,080,000. Finally, Tremblant Capital Group boosted its position in shares of Q2 by 14.3% in the 3rd quarter. Tremblant Capital Group now owns 357,132 shares of the technology company’s stock worth $25,853,000 after purchasing an additional 44,583 shares during the last quarter.

Q2 Price Performance

The business has a 50 day moving average of $47.38 and a 200 day moving average of $55.71. The firm has a market capitalization of $2.64 billion, a price-to-earnings ratio of 37.65 and a beta of 1.34.

Q2 (NYSE:QTWO) last released its earnings results on Wednesday, April 29th. The technology company reported $0.63 earnings per share for the quarter, missing the consensus estimate of $0.71 by ($0.08). Q2 had a net margin of 8.99% and a return on equity of 14.68%. The company had revenue of $216.51 million during the quarter, compared to analyst estimates of $214.40 million. During the same period in the previous year, the company posted $0.07 EPS. The company’s quarterly revenue was up 14.1% compared to the same quarter last year. As a group, equities analysts predict that Q2 Holdings, Inc. will post 1.57 EPS for the current year.

About Q2

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.