Okta (NASDAQ:OKTA) Stock Price Breaks Below 50 Day Moving Average – What’s Next?

Okta, Inc. (NASDAQ:OKTA) crossed below its 50-day moving average during trading on Monday. The stock has a 50-day moving average of $193.78 and traded as low as $183.12. Okta shares last traded at $184.87, with a volume of 5,892,363 shares traded.

Analyst Upgrades and Downgrades

Several analysts have recently commented on the stock. TD Cowen raised their price objective on shares of Okta from $175.00 to $200.00 and gave the company a “hold” rating in a research report on Thursday, September 24th. Needham & Company LLC upped their target price on shares of Okta from $200.00 to $230.00 and gave the stock a “buy” rating in a report on Monday, September 21st. Citizens Jmp increased their price target on Okta from $180.00 to $225.00 and gave the stock a “market outperform” rating in a research note on Monday, September 28th. Stifel Nicolaus increased their price target on Okta from $180.00 to $215.00 and gave the stock a “buy” rating in a research note on Thursday, September 24th. Finally, Capital One Financial raised Okta from an “equal weight” rating to an “overweight” rating and raised their price target for the company from $126.00 to $171.00 in a report on Thursday, July 16th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $202.38.

Okta Price Performance

The firm’s 50-day moving average price is $193.78 and its 200-day moving average price is $125.13. The stock has a market cap of $32.32 billion, a P/E ratio of 111.37, a PEG ratio of 6.93 and a beta of 0.73.

Okta (NASDAQ:OKTA) last issued its earnings results on Wednesday, August 26th. The company reported $1.05 earnings per share for the quarter, topping analysts’ consensus estimates of $0.96 by $0.09. The firm had revenue of $805.00 million during the quarter, compared to analyst estimates of $793.00 million. Okta had a net margin of 9.63% and a return on equity of 4.50%. Okta’s revenue for the quarter was up 10.6% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.91 earnings per share. Okta has set its FY 2027 guidance at 3.900-3.940 EPS and its Q3 2027 guidance at 0.920-0.940 EPS. Sell-side analysts expect that Okta, Inc. will post 1.92 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Eric Kelleher sold 6,395 shares of the firm’s stock in a transaction dated Friday, September 18th. The stock was sold at an average price of $183.58, for a total transaction of $1,173,994.10. Following the completion of the transaction, the insider owned 18,668 shares in the company, valued at $3,427,071.44. This trade represents a 25.52% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Todd McKinnon sold 48,822 shares of Okta stock in a transaction dated Tuesday, September 22nd. The stock was sold at an average price of $193.48, for a total value of $9,446,080.56. Following the completion of the sale, the chief executive officer directly owned 44,029 shares in the company, valued at $8,518,730.92. This trade represents a 52.58% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 137,766 shares of company stock worth $23,927,112 in the last 90 days. 4.61% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Okta

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Versant Capital Management Inc increased its stake in Okta by 11.9% in the 3rd quarter. Versant Capital Management Inc now owns 563 shares of the company’s stock worth $118,000 after acquiring an additional 60 shares during the last quarter. MGO One Seven LLC boosted its position in shares of Okta by 3.9% during the 3rd quarter. MGO One Seven LLC now owns 1,614 shares of the company’s stock valued at $338,000 after acquiring an additional 60 shares during the last quarter. Washington Trust Advisors Inc. boosted its position in shares of Okta by 64.2% during the 2nd quarter. Washington Trust Advisors Inc. now owns 197 shares of the company’s stock valued at $27,000 after acquiring an additional 77 shares during the last quarter. Fifth Third Wealth Advisors LLC boosted its position in shares of Okta by 1.6% during the 3rd quarter. Fifth Third Wealth Advisors LLC now owns 4,817 shares of the company’s stock valued at $1,007,000 after acquiring an additional 78 shares during the last quarter. Finally, Novem Group grew its holdings in shares of Okta by 5.5% in the third quarter. Novem Group now owns 1,795 shares of the company’s stock valued at $375,000 after purchasing an additional 93 shares in the last quarter. 86.64% of the stock is owned by institutional investors.

Okta Company Profile

Okta, Inc provides cloud-based identity and access management solutions for organizations worldwide. Its platform helps businesses securely connect employees, contractors, customers and partners with the applications, systems and services they need to use.

The company’s offerings include single sign-on, multifactor authentication, identity governance, lifecycle management, directory services and privileged access management. Okta also provides customer identity solutions through Auth0, its developer-focused identity platform, which supports authentication and authorization for applications and digital experiences.

Okta serves enterprises, government agencies, small and medium-sized businesses, developers and other organizations across North America, Europe, Asia-Pacific and additional international markets.