Q2 Holdings Inc (QTWO) saw its shares surge 6.5% in pre-market trading on Thursday, driven by the company's impressive fourth quarter earnings results and positive analyst commentary.
The financial experience solutions provider reported Q4 2024 adjusted earnings of $0.52 per share, handsomely beating the consensus analyst estimate of $0.46 EPS. Revenue also climbed 12.9% year-over-year to $183.05 million, surpassing expectations of $179.92 million. The stellar results prompted multiple analysts to raise their outlook on QTWO.
RBC Capital Markets boosted their price target on the stock to $108 from $105, maintaining a Sector Perform rating. Meanwhile, Stifel reiterated their Buy rating and lifted their target to $125. Analysts praised Q2's strong execution and indicated the results bode well for continued growth in the digital banking space.