Q2 Holdings (QTWO)vsShopify Inc (SHOP)
QTWO
Q2 Holdings
$60.42
+1.99%
TECHNOLOGY · Cap: $3.48B
SHOP
Shopify Inc
$122.40
-5.24%
TECHNOLOGY · Cap: $160.34B
Smart Verdict
WallStSmart Research — data-driven comparison
Shopify Inc generates 1405% more annual revenue ($12.37B vs $821.58M). SHOP leads profitability with a 10.8% profit margin vs 9.0%. SHOP appears more attractively valued with a PEG of 2.57. QTWO earns a higher WallStSmart Score of 51/100 (C-).
QTWO
Buy51
out of 100
Grade: C-
SHOP
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for QTWO.
Margin of Safety
+17.7%
Fair Value
$142.03
Current Price
$122.40
$19.63 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 471.4% YoY
Revenue surging 34.3% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Distress zone — elevated risk
Trading at 12.7x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : QTWO
The strongest argument for QTWO centers on EPS Growth. Revenue growth of 14.1% demonstrates continued momentum.
Bull Case : SHOP
The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 34.3% demonstrates continued momentum.
Bear Case : QTWO
The primary concerns for QTWO are PEG Ratio, P/E Ratio, Altman Z-Score. A P/E of 49.2x leaves little room for execution misses.
Bear Case : SHOP
The primary concerns for SHOP are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 120.0x leaves little room for execution misses.
Key Dynamics to Monitor
QTWO profiles as a value stock while SHOP is a growth play — different risk/reward profiles.
SHOP carries more volatility with a beta of 2.58 — expect wider price swings.
SHOP is growing revenue faster at 34.3% — sustainability is the question.
SHOP generates stronger free cash flow (476M), providing more financial flexibility.
Bottom Line
QTWO scores higher overall (51/100 vs 50/100) and 14.1% revenue growth. SHOP offers better value entry with a 17.7% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Q2 Holdings
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Q2 Holdings, Inc. provides cloud-based digital banking solutions to Community and Regional Financial Institutions (RCFIs) in the United States. The company is headquartered in Austin, Texas.
Shopify Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.
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