Q2 Holdings (QTWO) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Q2 Holdings stock (QTWO) is currently trading at $46.68. Q2 Holdings PE ratio is 60.24. Q2 Holdings PS ratio (Price-to-Sales) is 3.78. Analyst consensus price target for QTWO is $76.38. WallStSmart rates QTWO as Underperform.
- QTWO PE ratio analysis and historical PE chart
- QTWO PS ratio (Price-to-Sales) history and trend
- QTWO intrinsic value — DCF, Graham Number, EPV models
- QTWO stock price prediction 2025 2026 2027 2028 2029 2030
- QTWO fair value vs current price
- QTWO insider transactions and insider buying
- Is QTWO undervalued or overvalued?
- Q2 Holdings financial analysis — revenue, earnings, cash flow
- QTWO Piotroski F-Score and Altman Z-Score
- QTWO analyst price target and Smart Rating
Q2 Holdings
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QTWO Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · Q2 Holdings (QTWO)
QTWO trades 51% above its Graham fair value of $37.44, indicating the stock may be overvalued at current levels.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
Q2 Holdings (QTWO) · 10 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in eps growth, institutional own.. Concerns around peg ratio and return on equity. Fundamentals are solid but monitor weak areas for improvement.
Q2 Holdings (QTWO) Key Strengths (3)
Earnings per share surging 10802.00% year-over-year
111.83% of shares held by major funds and institutions
Mid-cap company balancing growth potential with stability
Supporting Valuation Data
Q2 Holdings (QTWO) Areas to Watch (7)
Very expensive relative to growth, significant premium
Very thin margins with limited operational efficiency
Low profitability relative to shareholder equity
Premium pricing at 4.5x book value
Thin profit margins with limited profitability
Revenue is fairly priced at 3.78x sales
Solid revenue growth at 13.80% per year
Supporting Valuation Data
Q2 Holdings (QTWO) Detailed Analysis Report
Overall Assessment
This company scores 52/100 in our Smart Analysis, earning a C- grade. Out of 10 metrics analyzed, 3 register as strengths (avg 9.0/10) while 7 fall into concern territory (avg 3.9/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on EPS Growth, Institutional Own., Market Cap. Growth metrics are encouraging with EPS Growth at 10802.00%.
The Bear Case
The primary concerns are PEG Ratio, Operating Margin, Return on Equity. Some valuation metrics including PEG Ratio (8.94), Price/Sales (3.78), Price/Book (4.54) suggest expensive pricing. Growth concerns include Revenue Growth at 13.80%, which may limit upside. Profitability pressure is visible in Return on Equity at 8.82%, Operating Margin at 8.18%, Profit Margin at 6.54%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether PEG Ratio improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 8.82% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 13.80% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a moderate-to-high risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Mixed fundamentals with both positives (EPS Growth, Institutional Own.) and negatives (PEG Ratio, Operating Margin). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
QTWO Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
QTWO's Price-to-Sales ratio of 3.78x sits near its historical average of 3.91x (17th percentile), suggesting the market is pricing in steady-state growth. The current valuation is 9% below its historical high of 4.14x set in Mar 2026, and 0% above its historical low of 3.78x in Mar 2026.
Compare QTWO with Competitors
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Data-driven financial summary for Q2 Holdings (QTWO) · TECHNOLOGY › SOFTWARE - APPLICATION
The Big Picture
Q2 Holdings operates as a stable business with moderate growth and solid fundamentals. Revenue reached 795M with 14% growth year-over-year. Profit margins are thin at 6.5%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
ROE of 882.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.
Generating 57M in free cash flow and 64M in operating cash flow. Earnings are translating into actual cash generation.
What to Watch Next
Margin expansion: can Q2 Holdings push profit margins above 15% as the business scales?
Valuation compression risk at a P/E of 60.2x. Any growth miss could trigger a sharp correction.
Sector dynamics: monitor SOFTWARE - APPLICATION industry trends, competitive moves, and regulatory changes that could impact Q2 Holdings.
Bottom Line
Q2 Holdings offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Q2 Holdings(QTWO)
NYSE
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.