Okta (NASDAQ:OKTA) Given “Buy” Rating at Truist Financial

Okta (NASDAQ:OKTA)‘s stock had its “buy” rating restated by analysts at Truist Financial in a research note issued to investors on Thursday,Benzinga reports. They currently have a $200.00 price objective on the stock, up from their previous price objective of $165.00. Truist Financial’s target price would suggest a potential upside of 48.79% from the stock’s previous close.

OKTA has been the subject of a number of other research reports. Susquehanna boosted their target price on Okta from $80.00 to $110.00 and gave the stock a “neutral” rating in a research report on Friday, May 29th. Jefferies Financial Group set a $200.00 price target on shares of Okta in a research report on Thursday. Piper Sandler reissued a “neutral” rating and set a $160.00 price target on shares of Okta in a research note on Thursday. The Goldman Sachs Group assumed coverage on shares of Okta in a report on Monday, July 6th. They issued a “buy” rating for the company. Finally, Guggenheim set a $188.00 price objective on shares of Okta in a research note on Thursday. One investment analyst has rated the stock with a Strong Buy rating, thirty-three have given a Buy rating and nine have given a Hold rating to the stock. Based on data from MarketBeat.com, Okta has an average rating of “Moderate Buy” and a consensus target price of $157.94.

Okta Stock Up 2.9%

NASDAQ OKTA opened at $134.42 on Thursday. The stock’s 50-day simple moving average is $139.27 and its two-hundred day simple moving average is $104.50. Okta has a twelve month low of $62.66 and a twelve month high of $157.00. The company has a market capitalization of $23.36 billion, a price-to-earnings ratio of 97.41, a PEG ratio of 4.70 and a beta of 0.77.

Okta (NASDAQ:OKTA) last issued its quarterly earnings results on Wednesday, August 26th. The company reported $1.05 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.96 by $0.09. Okta had a return on equity of 4.15% and a net margin of 8.24%.The firm had revenue of $805.00 million during the quarter, compared to analyst estimates of $793.00 million. During the same quarter in the previous year, the company posted $0.91 earnings per share. The company’s revenue was up 10.6% compared to the same quarter last year. Okta has set its FY 2027 guidance at 3.900-3.940 EPS and its Q3 2027 guidance at 0.920-0.940 EPS. On average, equities analysts expect that Okta will post 1.75 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Larissa Schwartz sold 2,463 shares of the firm’s stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $120.00, for a total value of $295,560.00. Following the sale, the insider directly owned 25,241 shares of the company’s stock, valued at $3,028,920. This trade represents a 8.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Todd Mckinnon sold 68,936 shares of the company’s stock in a transaction that occurred on Wednesday, July 8th. The shares were sold at an average price of $146.62, for a total value of $10,107,396.32. Following the transaction, the chief executive officer directly owned 38,484 shares of the company’s stock, valued at $5,642,524.08. The trade was a 64.17% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 165,347 shares of company stock worth $21,827,342 in the last quarter. Insiders own 4.61% of the company’s stock.

Institutional Trading of Okta

Several large investors have recently added to or reduced their stakes in OKTA. Washington Trust Advisors Inc. lifted its holdings in Okta by 64.2% in the second quarter. Washington Trust Advisors Inc. now owns 197 shares of the company’s stock worth $27,000 after buying an additional 77 shares during the period. CX Institutional boosted its holdings in shares of Okta by 5.1% during the 2nd quarter. CX Institutional now owns 2,633 shares of the company’s stock valued at $359,000 after buying an additional 127 shares in the last quarter. EverSource Wealth Advisors LLC increased its stake in shares of Okta by 10.7% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,333 shares of the company’s stock worth $105,000 after acquiring an additional 129 shares in the last quarter. SteelPeak Wealth LLC lifted its position in Okta by 2.8% during the 1st quarter. SteelPeak Wealth LLC now owns 5,166 shares of the company’s stock valued at $407,000 after acquiring an additional 140 shares during the period. Finally, Utah Retirement Systems grew its holdings in Okta by 0.6% in the fourth quarter. Utah Retirement Systems now owns 28,605 shares of the company’s stock worth $2,473,000 after purchasing an additional 163 shares during the period. Institutional investors own 86.64% of the company’s stock.

Key Headlines Impacting Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Quarterly results exceeded expectations: Okta reported adjusted EPS of $1.05 versus the $0.96 consensus estimate, while revenue rose 10.6% year over year to $805 million, ahead of the $793 million forecast. Okta quarterly earnings report
• Positive Sentiment: Raised outlook: Management lifted fiscal 2027 revenue guidance to approximately $3.216 billion-$3.226 billion, or 10%-11% growth. Third-quarter revenue guidance of $813 million-$817 million and EPS guidance of $0.92-$0.94 also topped Wall Street expectations. Okta lifts full-year outlook
• Positive Sentiment: AI-related demand is strengthening the growth narrative: Okta said AI agents are creating new identity and security requirements, with new products contributing meaningfully to bookings. Investors view AI-agent security as a potentially large new market. Okta CEO discusses AI agent security
• Positive Sentiment: Analyst support increased: KeyCorp raised its target to $190 and assigned an Overweight rating; BTIG raised its target to $187 and reiterated Buy; and Needham and Cantor Fitzgerald raised targets to $200 with Buy or Overweight ratings. These revisions signal greater confidence in Okta’s growth and fundamentals. Needham raises Okta price target
• Neutral Sentiment: Valuation remains a consideration: With Okta trading near $134 and at a high earnings multiple, the stock’s roughly $23 billion market capitalization leaves less room for execution disappointments despite the improved outlook. Okta buy thesis and margin for error

Okta Company Profile

Okta, Inc is a publicly traded provider of identity and access management solutions, headquartered in San Francisco, California. Founded in 2009 by Todd McKinnon and Frederic Kerrest, the company completed its initial public offering in April 2017. Under the leadership of McKinnon as chief executive officer and Kerrest as chief operating officer, Okta has grown into a leading vendor in the cybersecurity space, focusing on secure user authentication, single sign-on and lifecycle management for digital identities.

At the core of Okta’s offering is the Okta Identity Cloud, a suite of cloud-native services that enable organizations to manage user access across web and mobile applications, on-premises systems and APIs.