Q2 (NYSE:QTWO) Stock Price Up 14.6% on Earnings Beat

Q2 Holdings, Inc. (NYSE:QTWO)’s share price shot up 14.6% during trading on Thursday following a better than expected earnings announcement. The stock traded as high as $103.74 and last traded at $103.74. 827,627 shares were traded during trading, an increase of 41% from the average session volume of 586,131 shares. The stock had previously closed at $90.50.

The technology company reported ($0.03) earnings per share for the quarter, topping the consensus estimate of ($0.04) by $0.01. The company had revenue of $175.02 million during the quarter, compared to analysts’ expectations of $173.31 million. Q2 had a negative net margin of 10.40% and a negative return on equity of 3.95%.

Wall Street Analyst Weigh In

Several equities research analysts have commented on the stock. Compass Point boosted their price target on shares of Q2 from $91.00 to $107.00 and gave the stock a “buy” rating in a research report on Thursday. Royal Bank of Canada upped their target price on Q2 from $76.00 to $105.00 and gave the stock a “sector perform” rating in a report on Thursday. Piper Sandler increased their price target on Q2 from $74.00 to $93.00 and gave the company a “neutral” rating in a research report on Thursday. Stephens boosted their price target on Q2 from $75.00 to $100.00 and gave the stock an “overweight” rating in a research report on Thursday. Finally, Truist Financial reissued a “buy” rating and issued a $100.00 price objective (up previously from $78.00) on shares of Q2 in a report on Thursday. Five equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company’s stock. Based on data from MarketBeat, Q2 has an average rating of “Moderate Buy” and a consensus target price of $90.79.

Insider Buying and Selling at Q2

In related news, Director James Offerdahl sold 1,013 shares of Q2 stock in a transaction dated Wednesday, August 28th. The shares were sold at an average price of $73.97, for a total transaction of $74,931.61. Following the completion of the sale, the director now owns 18,789 shares of the company’s stock, valued at approximately $1,389,822.33. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. In other news, EVP Jonathan Price sold 11,000 shares of the company’s stock in a transaction that occurred on Friday, August 16th. The stock was sold at an average price of $71.64, for a total value of $788,040.00. Following the transaction, the executive vice president now owns 215,079 shares of the company’s stock, valued at approximately $15,408,259.56. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director James Offerdahl sold 1,013 shares of Q2 stock in a transaction that occurred on Wednesday, August 28th. The stock was sold at an average price of $73.97, for a total value of $74,931.61. Following the sale, the director now directly owns 18,789 shares of the company’s stock, valued at approximately $1,389,822.33. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 41,963 shares of company stock valued at $3,109,699 in the last quarter. 3.00% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in QTWO. Pathstone Holdings LLC boosted its holdings in Q2 by 7.0% in the 3rd quarter. Pathstone Holdings LLC now owns 31,191 shares of the technology company’s stock valued at $2,488,000 after purchasing an additional 2,035 shares during the period. Swiss National Bank boosted its stake in shares of Q2 by 1.0% in the third quarter. Swiss National Bank now owns 117,400 shares of the technology company’s stock valued at $9,365,000 after buying an additional 1,200 shares during the period. Natixis Advisors LLC grew its position in Q2 by 4.5% during the third quarter. Natixis Advisors LLC now owns 17,435 shares of the technology company’s stock worth $1,391,000 after buying an additional 744 shares in the last quarter. Parametrica Management Ltd acquired a new stake in Q2 during the third quarter worth approximately $236,000. Finally, Chase Investment Counsel Corp increased its stake in Q2 by 4.2% during the 3rd quarter. Chase Investment Counsel Corp now owns 48,365 shares of the technology company’s stock worth $3,858,000 after acquiring an additional 1,951 shares during the period.

Q2 Price Performance

The company has a fifty day simple moving average of $79.80 and a two-hundred day simple moving average of $69.08. The stock has a market capitalization of $6.16 billion, a price-to-earnings ratio of -88.08 and a beta of 1.58. The company has a debt-to-equity ratio of 1.02, a quick ratio of 2.44 and a current ratio of 2.44.

Q2 Company Profile

Q2 Holdings, Inc provides cloud-based digital solutions to regional and community financial institutions in the United States. The company offers Digital Banking Platform, an end-to-end digital banking platform supports its financial institution customers in their delivery of unified digital banking services across digital channels.