
Q2 Hld (QTWO) Stock Forecast & Price Target
Q2 Hld (QTWO) Analyst Ratings
Bulls say
Q2 Holdings Inc. has demonstrated robust financial performance, with higher-margined subscription revenue increasing by 16% year-over-year and accounting for 81% of total revenue, indicating a strong and growing demand for its cloud-based banking solutions. The company’s remaining performance obligation (RPO) grew by 24% year-over-year to $2.5 billion, showcasing a significant increase in future revenue visibility, supported by a healthy annual recurring revenue (ARR) rise of 14% to $754 million. For fiscal year 2025, revenue projections have been raised to a range of $789-$793 million, reflecting a growth rate of 13-14%, along with an expected EBITDA increase to $182.5-$185.5 million, reinforcing the positive outlook for the company.
Bears say
The negative outlook on Q2 Holdings Inc. stems from the potential decline in bank-tech spending and challenges in market expansion, which could hinder the firm's revenue growth. Furthermore, a downturn in the financial services industry may prompt regional financial institutions to cut expenses on virtual banking solutions or continue reliance on legacy systems, thereby limiting Q2's customer base. Additionally, prolonged margin pressures, coupled with the risk of failing to meet performance expectations, could adversely affect the company's valuation and growth trajectory.
This aggregate rating is based on analysts' research of Q2 Hld and is not a guaranteed prediction by Public.com or investment advice.
Q2 Hld (QTWO) Analyst Forecast & Price Prediction
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