UBS Group Has Lowered Expectations for Okta (NASDAQ:OKTA) Stock Price

Okta (NASDAQ:OKTA) had its target price dropped by equities research analysts at UBS Group from $130.00 to $115.00 in a research report issued on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. UBS Group’s price target would indicate a potential upside of 42.47% from the stock’s previous close.

Other research analysts also recently issued research reports about the company. Piper Sandler boosted their target price on Okta from $95.00 to $100.00 and gave the stock a “neutral” rating in a research note on Monday, January 5th. Roth Mkm restated a “buy” rating on shares of Okta in a research note on Wednesday, December 3rd. Canaccord Genuity Group reaffirmed a “buy” rating and set a $120.00 price target on shares of Okta in a report on Wednesday, December 3rd. DA Davidson set a $110.00 price objective on shares of Okta in a research report on Thursday, February 26th. Finally, Jefferies Financial Group dropped their price objective on shares of Okta from $125.00 to $105.00 and set a “buy” rating for the company in a research note on Monday, March 2nd. One research analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating, ten have issued a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $103.25.

Okta Stock Performance

Shares of OKTA opened at $80.72 on Thursday. Okta has a 52-week low of $68.77 and a 52-week high of $127.57. The firm has a market cap of $14.31 billion, a price-to-earnings ratio of 61.62, a PEG ratio of 3.08 and a beta of 0.79. The business’s fifty day moving average is $85.06 and its 200-day moving average is $87.38.

Okta (NASDAQ:OKTA) last announced its quarterly earnings data on Wednesday, March 4th. The company reported $0.90 earnings per share for the quarter, topping the consensus estimate of $0.85 by $0.05. The business had revenue of $761.00 million during the quarter, compared to the consensus estimate of $749.87 million. Okta had a return on equity of 4.18% and a net margin of 8.05%.Okta’s revenue for the quarter was up 11.6% on a year-over-year basis. During the same period in the prior year, the company earned $0.78 EPS. Okta has set its FY 2027 guidance at 3.740-3.820 EPS and its Q1 2027 guidance at 0.840-0.860 EPS. As a group, research analysts forecast that Okta will post 0.42 EPS for the current fiscal year.

Okta announced that its board has authorized a stock buyback program on Monday, January 5th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to repurchase up to 6.8% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s management believes its stock is undervalued.

Insider Transactions at Okta

In other news, CEO Todd Mckinnon sold 11,286 shares of the company’s stock in a transaction dated Monday, December 22nd. The shares were sold at an average price of $90.96, for a total transaction of $1,026,574.56. The sale was disclosed in a document filed with the SEC, which is accessible through this link. 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 value of $754,890.30. Following the completion of the transaction, the insider owned 11,266 shares in the company, valued at approximately $1,016,080.54. This represents a 42.63% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 35,927 shares of company stock worth $3,272,658. 5.68% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in OKTA. Root Financial Partners LLC bought a new position in shares of Okta in the third quarter valued at approximately $26,000. Elevation Wealth Partners LLC lifted its holdings in Okta by 825.0% during the fourth quarter. Elevation Wealth Partners LLC now owns 296 shares of the company’s stock worth $26,000 after acquiring an additional 264 shares during the period. Promus Capital LLC bought a new stake in Okta during the second quarter worth $27,000. SHP Wealth Management purchased a new position in Okta in the fourth quarter worth $27,000. Finally, Torren Management LLC purchased a new position in Okta in the fourth quarter worth $32,000. 86.64% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Q4 results beat and signs of enterprise traction — Okta reported stronger-than-expected Q4 revenue and EPS (revenue ~$761M, EPS $0.90) with cRPO/contract metrics up, which underpins the near-term rally. Okta Earnings Beat, But Growth Questions Remain
• Positive Sentiment: AI‑agent product traction — Management said AI‑related products (e.g., Auth0 for AI Agents / Okta for AI Agents) contributed meaningfully to Q4 bookings and the company exceeded $3B in ACV, giving a credible growth narrative tied to securing non‑human identities. Okta Ties AI Security Push To Larger Contracts And Equity Plans
• Positive Sentiment: Analyst upgrades and bullish notes — Multiple brokers reiterated or upgraded coverage after the print (BMO upgraded to Outperform with a $97 PT; JPMorgan raised its PT slightly; Jefferies/DA Davidson remain constructive), which supports near‑term upside. BMO Capital Upgrades Okta to Outperform
• Neutral Sentiment: Mixed analyst positioning — while some firms kept or raised price targets, many others trimmed targets on a mix of valuation and near‑term growth concerns; consensus views show upside but with varied conviction. Okta To Rally Around 22%? Here Are 10 Top Analyst Forecasts For Friday
• Neutral Sentiment: Equity plan / shelf filing announced — Okta filed a $763M shelf tied to an ESOP equity offering; routine for employee programs but worth noting for potential future supply. Okta Ties AI Security Push To Larger Contracts And Equity Plans
• Negative Sentiment: Cautious FY‑2027 guidance and Q1 outlook — management’s FY‑27 and Q1 guidance implied a near‑term revenue deceleration (Q1 revenue guide slightly below Street estimates), which tempers the rally and keeps longer‑term growth questions alive. Okta’s Q4 results surpass estimates, but guidance appears mixed
• Negative Sentiment: Competition and execution questions on the AI agent opportunity — analysts warn that the AI‑agent TAM is attractive but unproven; large cloud players and security vendors are building competing solutions, making monetization and sustained re‑acceleration uncertain. Okta: Bigger Deals And Renewed Growth, Thanks To Agentic AI
• Negative Sentiment: Analyst price‑target cuts — several brokers trimmed targets post‑earnings despite positive notes, signaling caution on valuation and the company’s ability to reaccelerate growth. Benzinga Coverage of Price Target Changes

About Okta

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.