Q2 (NYSE:QTWO) Issues Earnings Results, Misses Expectations By $0.27 EPS

Q2 (NYSE:QTWO) released its quarterly earnings results on Wednesday. The technology company reported $0.31 earnings per share for the quarter, missing the consensus estimate of $0.58 by ($0.27), FiscalAI reports. Q2 had a net margin of 4.12% and a return on equity of 10.92%. The company had revenue of $208.22 million during the quarter, compared to the consensus estimate of $204.84 million.

Q2 Stock Performance

Shares of NYSE:QTWO traded down $0.30 during trading on Wednesday, reaching $57.04. 2,684,697 shares of the stock traded hands, compared to its average volume of 850,972. The stock has a market cap of $3.57 billion, a P/E ratio of 118.82 and a beta of 1.36. The stock has a 50-day moving average of $68.82 and a two-hundred day moving average of $71.27. Q2 has a 52-week low of $54.63 and a 52-week high of $102.07.

Wall Street Analyst Weigh In

QTWO has been the topic of a number of research reports. Stifel Nicolaus cut their target price on shares of Q2 from $110.00 to $90.00 and set a “buy” rating on the stock in a research note on Wednesday, October 15th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Q2 in a research report on Thursday, January 22nd. UBS Group set a $82.00 target price on Q2 in a research report on Tuesday, February 3rd. Needham & Company LLC dropped their price target on Q2 from $115.00 to $90.00 and set a “buy” rating on the stock in a research report on Thursday, November 6th. Finally, Stephens set a $90.00 price target on shares of Q2 in a research note on Friday, January 16th. Nine investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $92.27.

Insider Activity at Q2

In other Q2 news, insider Kirk L. Coleman sold 8,559 shares of the stock in a transaction on Wednesday, December 10th. The stock was sold at an average price of $73.68, for a total transaction of $630,627.12. Following the sale, the insider directly owned 269,128 shares in the company, valued at approximately $19,829,351.04. This trade represents a 3.08% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CRO Michael A. Volanoski sold 5,123 shares of Q2 stock in a transaction 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 completion of the sale, the executive directly owned 166,512 shares of the company’s stock, valued at approximately $12,564,995.52. The trade was a 2.98% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 20,883 shares of company stock valued at $1,547,778. 0.31% of the stock is owned by corporate insiders.

Institutional Trading of Q2

A number of institutional investors have recently made changes to their positions in QTWO. Illinois Municipal Retirement Fund bought a new stake in shares of Q2 in the fourth quarter worth approximately $2,360,000. Deutsche Bank AG boosted its holdings in Q2 by 4.1% in the fourth quarter. Deutsche Bank AG now owns 54,105 shares of the technology company’s stock worth $3,904,000 after purchasing an additional 2,110 shares during the last quarter. Focus Partners Advisor Solutions LLC bought a new stake in Q2 in the 4th quarter worth approximately $508,000. Fox Run Management L.L.C. bought a new stake in Q2 in the 4th quarter worth approximately $401,000. Finally, Cerity Partners LLC raised its stake 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 buying an additional 5,960 shares during the last quarter.

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.