Q2 (NYSE:QTWO) Releases Earnings Results, Misses Expectations By $0.30 EPS

Q2 (NYSE:QTWO) announced its quarterly earnings results on Wednesday. The technology company reported $0.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.48 by ($0.30), Zacks reports. Q2 had a negative net margin of 8.40% and a negative return on equity of 2.30%. Q2 updated its FY 2025 guidance to EPS and its Q1 2025 guidance to EPS.

Q2 Stock Up 0.5 %

Shares of Q2 stock traded up $0.47 on Wednesday, reaching $92.06. The company’s stock had a trading volume of 994,197 shares, compared to its average volume of 627,250. Q2 has a 52 week low of $41.23 and a 52 week high of $112.82. The firm’s fifty day simple moving average is $99.35 and its two-hundred day simple moving average is $88.05. The company has a quick ratio of 2.50, a current ratio of 2.50 and a debt-to-equity ratio of 0.99. The company has a market capitalization of $5.56 billion, a price-to-earnings ratio of -95.89 and a beta of 1.61.

Analyst Ratings Changes

A number of research analysts have weighed in on the company. Stephens upped their target price on Q2 from $75.00 to $100.00 and gave the stock an “overweight” rating in a report on Thursday, November 7th. Robert W. Baird reiterated a “neutral” rating and issued a $99.00 price objective (up previously from $89.00) on shares of Q2 in a report on Friday, January 10th. Morgan Stanley boosted their target price on shares of Q2 from $65.00 to $90.00 and gave the company an “equal weight” rating in a report on Thursday, November 7th. Citigroup downgraded shares of Q2 from a “buy” rating to a “neutral” rating and upped their target price for the stock from $72.00 to $90.00 in a research report on Friday, October 18th. Finally, KeyCorp raised shares of Q2 from a “sector weight” rating to an “overweight” rating and set a $126.00 price target for the company in a research report on Wednesday, December 18th. Seven analysts have rated the stock with a hold rating and nine have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $98.07.

Insider Activity

In related news, Director James Offerdahl sold 548 shares of the stock in a transaction that occurred on Friday, November 22nd. The shares were sold at an average price of $104.95, for a total transaction of $57,512.60. Following the transaction, the director now owns 18,241 shares in the company, valued at $1,914,392.95. This represents a 2.92 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CRO Michael A. Volanoski sold 4,178 shares of Q2 stock in a transaction that occurred on Tuesday, December 10th. The stock was sold at an average price of $106.00, for a total transaction of $442,868.00. Following the completion of the sale, the executive now directly owns 223,494 shares of the company’s stock, valued at approximately $23,690,364. This trade represents a 1.84 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 28,836 shares of company stock valued at $3,061,035 over the last ninety days. 3.00% of the stock is currently owned by corporate insiders.

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.