Q2 Holdings price target lowered to $90 from $110 at Stifel

Stifel lowered the firm’s price target on Q2 Holdings (QTWO) to $90 from $110 and keeps a Buy rating on the shares. Shares have sharply underperformed the broader software group since the Fed rate cut in September, notes the analyst, who believes investors see potential for a less robust spending environment than the company has experienced in recent years with rates coming down. However, during past periods of rate cuts, management emphasized that a lower rate environment can catalyze technology investment as net interest margins decline and banks look to become more efficient and effective while gathering deposits, the analyst noted.