Wall Street Zen Downgrades Q2 (NYSE:QTWO) to Hold

Key Points

• Wall Street Zen downgraded Q2 Holdings, Inc. (NYSE:QTWO) from a "buy" rating to a "hold" rating, signaling a more cautious outlook on the stock.
• Despite the downgrade, several other firms have maintained positive ratings, with Needham & Company setting a target price of $115.00 for the stock, reflecting continued investor interest.
• Q2's stock performance shows a current trading price of $75.00, significantly lower than its one-year high of $112.82, indicating volatility in the market.

Q2 (NYSE:QTWO - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Friday.

Several other research firms also recently commented on QTWO. Cantor Fitzgerald initiated coverage on shares of Q2 in a research report on Tuesday, June 3rd. They set an "overweight" rating and a $110.00 target price on the stock. Royal Bank Of Canada lifted their target price on shares of Q2 from $101.00 to $102.00 and gave the stock a "sector perform" rating in a research report on Thursday, July 31st. Needham & Company LLC lifted their target price on shares of Q2 from $110.00 to $115.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. Stifel Nicolaus lifted their target price on shares of Q2 from $105.00 to $110.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. Finally, JPMorgan Chase & Co. cut their target price on shares of Q2 from $115.00 to $110.00 and set an "overweight" rating on the stock in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and eight have given a Hold rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $101.94.

Q2 Stock Performance

Shares of QTWO traded up $1.53 during mid-day trading on Friday, reaching $75.00. The company had a trading volume of 893,191 shares, compared to its average volume of 1,764,317. The company's 50 day simple moving average is $79.95 and its 200 day simple moving average is $82.89. Q2 has a 1-year low of $63.61 and a 1-year high of $112.82. The company has a market capitalization of $4.68 billion, a price-to-earnings ratio of 1,500.38 and a beta of 1.49.

Insider Transactions at Q2

In other news, General Counsel Michael S. Kerr sold 967 shares of Q2 stock in a transaction on Monday, September 15th. The shares were sold at an average price of $82.60, for a total value of $79,874.20. Following the completion of the sale, the general counsel owned 56,228 shares in the company, valued at $4,644,432.80. The trade was a 1.69% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider John E. Breeden sold 6,105 shares of Q2 stock in a transaction on Monday, August 18th. The shares were sold at an average price of $75.27, for a total transaction of $459,523.35. Following the completion of the sale, the insider owned 149,643 shares of the company's stock, valued at $11,263,628.61. This represents a 3.92% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 8,499 shares of company stock worth $650,658. Company insiders own 0.31% of the company's stock.

Institutional Trading of Q2

Hedge funds have recently modified their holdings of the stock. Headlands Technologies LLC bought a new stake in Q2 during the 2nd quarter valued at $26,000. Versant Capital Management Inc bought a new stake in Q2 during the 1st quarter valued at $33,000. WPG Advisers LLC bought a new stake in Q2 during the 1st quarter valued at $35,000. Larson Financial Group LLC increased its stake in Q2 by 2,630.0% during the 1st quarter. Larson Financial Group LLC now owns 546 shares of the technology company's stock valued at $44,000 after purchasing an additional 526 shares in the last quarter. Finally, TCTC Holdings LLC increased its stake in Q2 by 103.1% during the 1st quarter. TCTC Holdings LLC now owns 597 shares of the technology company's stock valued at $48,000 after purchasing an additional 303 shares in the last quarter.

About Q2

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.

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