Q2 (QTWO) Downgraded by Zacks Investment Research

Zacks Investment Research cut shares of Q2 (NYSE:QTWO) from a hold rating to a sell rating in a research note issued to investors on Saturday morning, Zacks.com reports.

According to Zacks, “Q2 Holdings, Inc. provides secure, cloud-based virtual banking solutions. The Company’s solutions include Q2online, Q2themes, Q2mobility App, Q2mobile Remote Deposit Capture, Q2text, Q2voice, Q2clarity and Q2 Risk & Fraud Analytics. It enables regional and community financial institutions, or RCFIs, to deliver a suite of integrated virtual banking services. Q2 Holdings, Inc. is headquartered in Austin, Texas. “

Other analysts have also issued reports about the stock. Craig Hallum reissued a buy rating and set a $85.00 target price (up from $80.00) on shares of Q2 in a research note on Thursday, May 9th. DA Davidson lowered shares of Q2 from a neutral rating to an underperform rating and boosted their price target for the company from $48.00 to $52.00 in a report on Friday, February 15th. William Blair assumed coverage on shares of Q2 in a report on Monday, April 1st. They set an outperform rating and a $69.71 price target on the stock. BTIG Research lowered shares of Q2 from a buy rating to a neutral rating in a report on Thursday, February 14th. Finally, KeyCorp boosted their price target on shares of Q2 from $77.00 to $83.00 and gave the company an overweight rating in a report on Friday, March 1st. Two investment analysts have rated the stock with a sell rating, four have given a hold rating, eleven have given a buy rating and one has assigned a strong buy rating to the company’s stock. The stock presently has a consensus rating of Buy and a consensus price target of $71.04.



QTWO stock opened at $70.11 on Friday. Q2 has a 12 month low of $43.41 and a 12 month high of $76.08. The company has a market cap of $3.13 billion, a P/E ratio of -189.49 and a beta of 1.53. The company has a quick ratio of 2.96, a current ratio of 2.96 and a debt-to-equity ratio of 1.15.

Q2 (NYSE:QTWO) last released its earnings results on Tuesday, May 7th. The technology company reported ($0.25) EPS for the quarter, missing the consensus estimate of ($0.04) by ($0.21). Q2 had a negative net margin of 18.89% and a negative return on equity of 16.30%. The business had revenue of $71.30 million for the quarter, compared to analyst estimates of $70.67 million. During the same period in the prior year, the company earned ($0.14) earnings per share. The firm’s revenue for the quarter was up 30.1% on a year-over-year basis. Equities analysts predict that Q2 will post -0.63 earnings per share for the current fiscal year.

In other Q2 news, insider William M. Furrer sold 3,450 shares of the company’s stock in a transaction that occurred on Tuesday, February 19th. The shares were sold at an average price of $64.98, for a total value of $224,181.00. Following the transaction, the insider now owns 66,174 shares in the company, valued at approximately $4,299,986.52. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, insider William M. Furrer sold 11,133 shares of the company’s stock in a transaction that occurred on Thursday, February 21st. The shares were sold at an average price of $65.20, for a total transaction of $725,871.60. Following the completion of the transaction, the insider now owns 66,174 shares in the company, valued at approximately $4,314,544.80. The disclosure for this sale can be found here. Insiders have sold 714,755 shares of company stock worth $49,042,492 in the last 90 days. 17.90% of the stock is owned by company insiders.

Institutional investors have recently added to or reduced their stakes in the business. Tortoise Index Solutions LLC acquired a new position in Q2 in the 1st quarter valued at approximately $39,000. Advisor Group Inc. increased its stake in Q2 by 69.8% in the 1st quarter. Advisor Group Inc. now owns 659 shares of the technology company’s stock valued at $46,000 after buying an additional 271 shares during the period. Pearl River Capital LLC acquired a new position in Q2 in the 1st quarter valued at approximately $76,000. Strs Ohio acquired a new position in Q2 in the 1st quarter valued at approximately $145,000. Finally, Great West Life Assurance Co. Can increased its stake in Q2 by 33.0% in the 4th quarter. Great West Life Assurance Co. Can now owns 4,203 shares of the technology company’s stock valued at $201,000 after buying an additional 1,042 shares during the period. Hedge funds and other institutional investors own 99.10% of the company’s stock.

About Q2

Q2 Holdings, Inc provides cloud-based digital banking solutions to regional and community financial institutions (RCFIs) in the United States. It offers Q2 Digital Banking and Transactions, a browser-based digital banking solution that delivers RCFI-branded digital banking capabilities; Q2mobility App, a mobile and tablet digital banking solution; Q2mobile Remote Deposit Capture, a partnered solution that allows remote check deposit capture; and Q2 Person-to-Person Payments, a partnered secure and integrated person-to-person payments solution.

See Also: Compound Annual Growth Rate (CAGR)

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