BMO Capital Markets Issues Pessimistic Forecast for Okta (NASDAQ:OKTA) Stock Price

Okta (NASDAQ:OKTA) had its target price reduced by investment analysts at BMO Capital Markets from $90.00 to $83.00 in a report released on Thursday. The brokerage currently has a “market perform” rating on the stock. BMO Capital Markets’ price objective points to a potential upside of 13.70% from the stock’s current price.

A number of other equities analysts have also weighed in on the company. Sanford C. Bernstein reissued an “outperform” rating on shares of Okta in a research report on Monday, December 1st. Morgan Stanley reduced their price target on shares of Okta from $123.00 to $110.00 and set an “overweight” rating for the company in a research note on Wednesday, December 3rd. JPMorgan Chase & Co. dropped their target price on shares of Okta from $140.00 to $115.00 and set an “overweight” rating on the stock in a report on Monday, December 1st. Weiss Ratings reiterated a “hold (c-)” rating on shares of Okta in a research note on Thursday, January 22nd. Finally, KeyCorp cut their price objective on Okta from $130.00 to $115.00 and set an “overweight” rating for the company in a report on Tuesday, February 17th. Twenty-five equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $111.86.

Okta Stock Up 2.6%

Shares of OKTA opened at $73.00 on Thursday. Okta has a twelve month low of $68.77 and a twelve month high of $127.57. The company has a market capitalization of $12.94 billion, a P/E ratio of 66.97, a price-to-earnings-growth ratio of 2.86 and a beta of 0.77. The firm has a 50 day moving average of $87.05 and a 200 day moving average of $88.09.

Okta (NASDAQ:OKTA) last issued its earnings results on Tuesday, December 2nd. The company reported $0.82 EPS for the quarter, beating the consensus estimate of $0.76 by $0.06. The business had revenue of $742.00 million for the quarter, compared to the consensus estimate of $730.23 million. Okta had a return on equity of 3.77% and a net margin of 6.87%.The company’s revenue was up 11.6% compared to the same quarter last year. During the same period last year, the business posted $0.67 EPS. Okta has set its FY 2026 guidance at 3.430-3.440 EPS and its Q4 2026 guidance at 0.840-0.850 EPS. On average, sell-side analysts expect that Okta will post 0.42 EPS for the current year.

Okta declared that its board has approved a stock repurchase program on Monday, January 5th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the company to buy up to 6.8% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other Okta news, CFO Brett Tighe sold 10,000 shares of the company’s stock in a transaction that occurred on Tuesday, January 13th. The shares were sold at an average price of $95.07, for a total value of $950,700.00. Following the completion of the transaction, the chief financial officer directly owned 134,385 shares in the company, valued at $12,775,981.95. This represents a 6.93% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Eric Robert Kelleher sold 8,370 shares of the stock in a transaction on Thursday, December 18th. The stock was sold at an average price of $90.19, for a total transaction of $754,890.30. Following the completion of the sale, the insider directly owned 11,266 shares of the company’s stock, valued at approximately $1,016,080.54. This trade represents a 42.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 37,245 shares of company stock valued at $3,385,624. Insiders own 5.68% of the company’s stock.

Institutional Investors Weigh In On Okta

A number of institutional investors and hedge funds have recently bought and sold shares of OKTA. Norges Bank bought a new stake in Okta during the 2nd quarter valued at approximately $211,923,000. First Trust Advisors LP lifted its position in shares of Okta by 28.2% in the fourth quarter. First Trust Advisors LP now owns 6,030,090 shares of the company’s stock worth $521,422,000 after buying an additional 1,326,051 shares in the last quarter. Allspring Global Investments Holdings LLC boosted its stake in Okta by 113.7% during the fourth quarter. Allspring Global Investments Holdings LLC now owns 2,067,128 shares of the company’s stock valued at $172,895,000 after buying an additional 1,099,962 shares during the last quarter. Vanguard Group Inc. boosted its stake in Okta by 5.7% during the third quarter. Vanguard Group Inc. now owns 19,803,227 shares of the company’s stock valued at $1,815,956,000 after buying an additional 1,074,977 shares during the last quarter. Finally, Alyeska Investment Group L.P. grew its holdings in Okta by 276.9% during the 3rd quarter. Alyeska Investment Group L.P. now owns 1,403,499 shares of the company’s stock valued at $128,701,000 after buying an additional 1,031,083 shares in the last quarter. 86.64% of the stock is owned by institutional investors.

Trending Headlines about Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Technically oversold and analysts revising estimates higher — multiple pieces note Okta has been heavily sold (down sharply recently) and is now in oversold territory, which could spur a short-term trend reversal as analysts lift near-term estimates. Okta (OKTA) Loses 22.2% in 4 Weeks, Here’s Why a Trend Reversal May be Around the Corner
• Positive Sentiment: Intraday uptick noted by market coverage — recent market commentary flagged that Okta traded higher vs. the broader market, supporting today’s buying interest. Okta (OKTA) Rises Higher Than Market: Key Facts
• Neutral Sentiment: Upcoming earnings announcement — Okta is expected to report results this week, which can amplify intraday moves as investors reposition ahead of the print. Earnings cadence is a near-term catalyst but outcome-dependent. Okta (OKTA) Expected to Announce Earnings on Wednesday
• Neutral Sentiment: Former Okta president moves to Knox Systems — a leadership hire story involving a former Okta executive was reported; it’s peripheral to Okta’s fundamentals but highlights talent flow in the identity/security sector. Knox Systems Appoints Former Okta President Charles Race as Strategic Advisor
• Negative Sentiment: New AI security tools pressure the cybersecurity space — Anthropic’s Claude Code Security and similar launches are intensifying competition and have been cited as a driver of renewed selling and a 52‑week low for Okta. That dynamic is weighing on valuation and sentiment. Okta (OKTA) Valuation In Focus As AI Security Launch And 52-Week Low Test Investor Expectations
• Negative Sentiment: Large put-option purchases — flow data show traders bought sizeable put volume on Okta, signaling elevated bearish positioning that can accelerate downside if sentiment deteriorates. Traders Purchase Large Volume of Put Options on Okta (NASDAQ:OKTA)
• Negative Sentiment: Analyst downgrade/price-target cuts — at least one analyst (TD Cowen) left a Hold rating but lowered the price target, reflecting a more cautious view on Okta’s competitive positioning and near-term growth. Balanced Risk/Reward Amid Competitive Identity Landscape Leads to Hold Rating and Lowered Price Target for Okta
• Negative Sentiment: Broader skepticism and “software apocalypse” debate — additional commentary questions Okta’s resilience amid sector-wide headwinds and a sharp YTD decline, keeping downside risk on investors’ radars. Okta Stock Is Down 20% in 2026. Can It Survive the Software Apocalypse?

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.