Q2 Holdings upgraded to Overweight from Equal Weight at Stephens

Stephens analyst Charles Nabhan upgraded Q2 Holdings to Overweight from Equal Weight with a price target of $46, up from $36. Q2 has transitioned from “a hyper-revenue growth to a margin expansion story,” argues the analyst, who sees the bar for revenue and margin as achievable looking into 2024. While predictability after three “solid” quarters has resulted in share price outperformance through 2023, the firm sees potential for additional upside and multiple expansion, the analyst tells investors.