Cantor Fitzgerald Issues Pessimistic Forecast for Q2 (NYSE:QTWO) Stock Price

Q2 (NYSE:QTWO) had its price target decreased by equities researchers at Cantor Fitzgerald from $90.00 to $80.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The firm currently has an “overweight” rating on the technology company’s stock. Cantor Fitzgerald’s price objective would suggest a potential upside of 49.46% from the stock’s current price.

QTWO has been the subject of several other research reports. Needham & Company LLC reduced their price target on shares of Q2 from $90.00 to $70.00 and set a “buy” rating for the company in a research report on Thursday. Stifel Nicolaus set a $75.00 price objective on shares of Q2 in a report on Thursday. Truist Financial lowered their target price on shares of Q2 from $110.00 to $75.00 and set a “buy” rating on the stock in a report on Thursday. Weiss Ratings restated a “hold (c-)” rating on shares of Q2 in a research note on Thursday, January 22nd. Finally, Zacks Research downgraded shares of Q2 from a “strong-buy” rating to a “hold” rating in a report on Friday, January 9th. Nine investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat.com, Q2 has an average rating of “Moderate Buy” and a consensus target price of $86.93.

Q2 Trading Down 5.5%

QTWO stock traded down $3.10 during trading on Thursday, reaching $53.53. 576,572 shares of the stock were exchanged, compared to its average volume of 835,396. The firm’s 50 day moving average is $68.50 and its 200 day moving average is $71.17. The firm has a market cap of $3.35 billion, a P/E ratio of 112.94 and a beta of 1.36. Q2 has a twelve month low of $53.35 and a twelve month high of $102.07.

Insiders Place Their Bets

In other Q2 news, COO Himagiri K. Mukkamala sold 3,024 shares of Q2 stock in a transaction dated Wednesday, December 10th. The shares were sold at an average price of $73.68, for a total transaction of $222,808.32. Following the transaction, the chief operating officer directly owned 96,046 shares of the company’s stock, valued at $7,076,669.28. The trade was a 3.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Kirk L. Coleman sold 8,559 shares of the firm’s stock in a transaction dated Wednesday, December 10th. The stock was sold at an average price of $73.68, for a total value of $630,627.12. Following the sale, the insider directly owned 269,128 shares of the company’s stock, valued at $19,829,351.04. The trade was a 3.08% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 20,883 shares of company stock worth $1,547,778. Company insiders own 0.31% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of QTWO. Campbell & CO Investment Adviser LLC acquired a new position in shares of Q2 during the 3rd quarter worth $1,559,000. Principal Financial Group Inc. raised its position in shares of Q2 by 502.5% during the 3rd quarter. Principal Financial Group Inc. now owns 301,917 shares of the technology company’s stock worth $21,856,000 after purchasing an additional 251,807 shares during the last quarter. Connor Clark & Lunn Investment Management Ltd. lifted its stake in Q2 by 15.0% in the 2nd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 158,328 shares of the technology company’s stock valued at $14,818,000 after buying an additional 20,643 shares in the last quarter. Federated Hermes Inc. increased its position in Q2 by 5.5% during the third quarter. Federated Hermes Inc. now owns 788,374 shares of the technology company’s stock worth $57,070,000 after buying an additional 41,229 shares in the last quarter. Finally, Castleark Management LLC purchased a new stake in shares of Q2 in the second quarter valued at $5,341,000.

Key Stories Impacting Q2

Here are the key news stories impacting Q2 this week:

• Positive Sentiment: Q4 revenue beat and growth — Q2 reported fourth‑quarter revenue of $208.2M (up ~14% YoY), topping consensus and showing continued topline momentum. Q2 Holdings, Inc. Announces Fourth-Quarter and Full-Year 2025 Financial Results
• Positive Sentiment: Guidance generally in line to slightly better — Q2 issued FY‑2026 revenue guidance of $871M–$878M (roughly in line with the $873M consensus) and Q1 revenue guidance of $212.5M–$216.5M (above the $209.7M consensus), which supports revenue growth expectations for 2026. Q2 Holdings, Inc. Announces Fourth-Quarter and Full-Year 2025 Financial Results
• Positive Sentiment: Product/market catalysts remain — analysts and coverage pieces highlight subscription growth, cloud migration and AI initiatives (cross‑selling into larger banks) as ongoing growth drivers and margin levers. QTWO Q4 Deep Dive: Subscription Growth, Cloud Migration, and AI Initiatives Shape Outlook
• Neutral Sentiment: Analysts kept “buy” ratings — Despite downward revisions to targets, covering firms (Truist, Needham) maintained buy/positive ratings, which moderates the selloff vs. a full‑scale downgrade. Benzinga
• Negative Sentiment: EPS confusion / earnings reaction — Reports on EPS are mixed: some outlets cite an EPS miss (MarketBeat: $0.31 vs $0.58 est.), while others show a beat on adjusted metrics (Zacks: $0.61). The apparent miss/communication helped trigger a sharp intraday decline. Q2 earnings report (MarketBeat) Q2 Holdings (QTWO) Q4 Earnings and Revenues Surpass Estimates
• Negative Sentiment: Price‑target cuts and valuation concerns — Truist cut its PT to $75 (from $110) and Needham to $70 (from $90), reducing implied upside; independent coverage flagged elevated valuation (high P/E) as a risk. These factors weigh on sentiment even with solid revenue growth. Benzinga Q2 Holdings: Strong Growth, But A Red Flag For Valuation

Q2 Company Profile

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.