Okta (NASDAQ:OKTA) Updates Q2 2027 Earnings Guidance

Okta (NASDAQ:OKTA) updated its second quarter 2027 earnings guidance on Thursday. The company provided earnings per share guidance of 0.950-0.970 for the period, compared to the consensus earnings per share estimate of 0.840. The company issued revenue guidance of $790.0 million-$794.0 million, compared to the consensus revenue estimate of $791.1 million. Okta also updated its FY 2027 guidance to 3.790-3.870 EPS.

Analyst Ratings Changes

A number of research firms have commented on OKTA. Sanford C. Bernstein reissued an “outperform” rating and issued a $134.00 target price on shares of Okta in a report on Friday, March 6th. Wolfe Research began coverage on Okta in a research report on Thursday, April 16th. They issued an “outperform” rating for the company. Zacks Research cut Okta from a “strong-buy” rating to a “hold” rating in a research report on Thursday, March 26th. JPMorgan Chase & Co. lifted their price target on Okta from $103.00 to $114.00 and gave the company an “overweight” rating in a report on Thursday. Finally, Berenberg Bank lowered their price target on Okta from $145.00 to $120.00 and set a “buy” rating for the company in a report on Thursday, March 5th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $104.85.

Okta Stock Up 5.8%

Shares of NASDAQ:OKTA opened at $94.72 on Friday. The company has a market cap of $16.76 billion, a PE ratio of 72.31, a P/E/G ratio of 3.49 and a beta of 0.59. The company’s 50-day moving average price is $79.01 and its 200 day moving average price is $82.69. Okta has a fifty-two week low of $62.66 and a fifty-two week high of $107.84.

Okta (NASDAQ:OKTA) last issued its quarterly earnings data on Thursday, May 28th. The company reported $0.91 earnings per share for the quarter, beating the consensus estimate of $0.85 by $0.06. The firm had revenue of $765.00 million for the quarter, compared to the consensus estimate of $751.84 million. Okta had a net margin of 8.05% and a return on equity of 4.18%. Okta’s quarterly revenue was up 11.2% compared to the same quarter last year. During the same period last year, the firm posted $0.86 EPS. Okta has set its FY 2027 guidance at 3.790-3.870 EPS and its Q2 2027 guidance at 0.950-0.970 EPS. As a group, equities analysts anticipate that Okta will post 1.61 EPS for the current year.

Insider Activity at Okta

In other Okta news, Director David Schellhase purchased 3,712 shares of the stock in a transaction dated Thursday, April 16th. The shares were bought at an average cost of $72.04 per share, with a total value of $267,412.48. Following the completion of the acquisition, the director owned 3,712 shares of the company’s stock, valued at approximately $267,412.48. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Eric Robert Kelleher sold 16,818 shares of the business’s stock in a transaction dated Thursday, March 19th. The stock was sold at an average price of $80.00, for a total transaction of $1,345,440.00. Following the sale, the insider owned 15,470 shares in the company, valued at $1,237,600. This trade represents a 52.09% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 70,884 shares of company stock valued at $5,625,648. 4.61% of the stock is owned by corporate insiders.

More Okta News

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Okta reported fiscal Q1 2027 results that beat estimates on both earnings and revenue, with EPS of $0.91 versus $0.85 expected and revenue of $765 million versus $751.8 million expected. The company also highlighted stronger operating performance and 11.2% year-over-year revenue growth. Okta earnings report
• Positive Sentiment: Management issued guidance above consensus, including Q2 EPS guidance of $0.95 to $0.97 and FY 2027 EPS guidance of $3.79 to $3.87, signaling confidence in continued execution and margin improvement. Okta press release
• Positive Sentiment: Analysts turned more constructive after the report, with JPMorgan raising its price target to $114, Citi lifting its target to $105, Robert W. Baird raising its target to $140, and William Blair reiterating a Buy rating on improving enterprise momentum and AI-driven growth potential. Citi target lift article
• Positive Sentiment: Investors are also focused on Okta’s AI-agent identity management opportunity, which management said is creating additional demand for its security tools and could expand the company’s long-term growth runway. CNBC earnings article
• Neutral Sentiment: Some commentary pointed to valuation as a reason for caution, with Citi keeping a Hold rating despite better execution, suggesting the stock may need continued fundamental progress to justify further upside. Citi hold/target article

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of OKTA. Integrated Wealth Concepts LLC acquired a new position in Okta during the first quarter worth about $225,000. NewEdge Advisors LLC grew its holdings in Okta by 853.4% during the first quarter. NewEdge Advisors LLC now owns 5,530 shares of the company’s stock worth $582,000 after acquiring an additional 4,950 shares during the period. Sivia Capital Partners LLC acquired a new position in Okta during the second quarter worth about $244,000. Invesco Ltd. increased its stake in Okta by 34.1% in the 2nd quarter. Invesco Ltd. now owns 430,844 shares of the company’s stock worth $43,071,000 after purchasing an additional 109,614 shares in the last quarter. Finally, EverSource Wealth Advisors LLC increased its stake in Okta by 122.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,621 shares of the company’s stock worth $162,000 after purchasing an additional 893 shares in the last quarter. 86.64% of the stock is owned by institutional investors and hedge funds.

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.