Okta (NASDAQ:OKTA) Releases FY 2027 Earnings Guidance

Okta (NASDAQ:OKTA) updated its FY 2027 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 3.790-3.870 for the period, compared to the consensus estimate of 3.360. The company issued revenue guidance of $3.2 billion-$3.2 billion, compared to the consensus revenue estimate of $3.2 billion. Okta also updated its Q2 2027 guidance to 0.950-0.970 EPS.

Analyst Ratings Changes

Several research firms have recently commented on OKTA. Canaccord Genuity Group decreased their target price on Okta from $120.00 to $95.00 and set a “buy” rating on the stock in a research report on Thursday, March 5th. Wall Street Zen downgraded Okta from a “buy” rating to a “hold” rating in a research report on Saturday, May 2nd. Arete Research set a $127.00 target price on Okta and gave the company a “buy” rating in a research report on Tuesday. Sanford C. Bernstein reaffirmed an “outperform” rating and issued a $134.00 target price on shares of Okta in a research report on Friday, March 6th. Finally, Deutsche Bank Aktiengesellschaft decreased their target price on Okta from $85.00 to $80.00 and set a “hold” rating on the stock in a research report on Thursday, March 5th. One analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $102.44.

Okta Stock Performance

Shares of OKTA stock traded up $5.22 during trading on Thursday, hitting $94.72. The company had a trading volume of 8,726,015 shares, compared to its average volume of 3,435,628. The firm has a market capitalization of $16.76 billion, a P/E ratio of 72.31, a price-to-earnings-growth ratio of 3.65 and a beta of 0.59. The stock’s 50-day moving average price is $78.68 and its 200 day moving average price is $82.62. Okta has a one year low of $62.66 and a one year high of $107.84.

Okta (NASDAQ:OKTA) last issued its quarterly earnings results on Wednesday, March 4th. The company reported $0.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.85 by $0.05. The business had revenue of $761.00 million during the quarter, compared to analysts’ expectations of $749.87 million. Okta had a return on equity of 4.18% and a net margin of 8.05%.The firm’s revenue for the quarter was up 11.6% compared to the same quarter last year. During the same period in the previous year, the company posted $0.78 earnings per share. Okta has set its FY 2027 guidance at 3.740-3.820 EPS and its Q1 2027 guidance at 0.840-0.860 EPS. On average, research analysts anticipate that Okta will post 1.61 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Okta news, insider Eric Robert Kelleher sold 2,409 shares of the company’s stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $80.00, for a total transaction of $192,720.00. Following the completion of the sale, the insider directly owned 15,470 shares in the company, valued at $1,237,600. This represents a 13.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Larissa Schwartz sold 1,054 shares of the company’s stock in a transaction on Thursday, May 7th. The stock was sold at an average price of $80.00, for a total value of $84,320.00. Following the sale, the insider owned 48,448 shares of the company’s stock, valued at $3,875,840. The trade was a 2.13% decrease in their ownership of the stock. 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 a total of 70,884 shares of company stock valued at $5,625,648 in the last quarter. Company insiders own 4.61% of the company’s stock.

Key Okta News

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Okta beat on both earnings and revenue in Q1, reporting $0.91 EPS versus the $0.85 consensus and $765 million in revenue versus $751.9 million expected. Article Title
• Positive Sentiment: The company raised its outlook, guiding Q2 FY2027 EPS to 0.950-0.970 versus 0.840 expected and FY2027 EPS to 3.790-3.870 versus 3.360 expected, signaling confidence in continued profit growth.
• Positive Sentiment: Management highlighted growing demand tied to AI-agent identity management, which appears to be strengthening the investment case for Okta’s security platform. Article Title
• Positive Sentiment: Sentiment was further supported by analyst upgrades and higher price targets, including JPMorgan raising its target to $114 and Arete moving to a Buy/strong-buy view ahead of results.

Institutional Investors Weigh In On Okta

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Invesco Ltd. lifted its stake in Okta by 19.1% during the fourth quarter. Invesco Ltd. now owns 548,741 shares of the company’s stock worth $47,450,000 after purchasing an additional 88,112 shares during the last quarter. Corient Private Wealth LLC lifted its stake in Okta by 515.8% during the fourth quarter. Corient Private Wealth LLC now owns 68,854 shares of the company’s stock worth $5,954,000 after purchasing an additional 57,672 shares during the last quarter. Beacon Pointe Advisors LLC lifted its stake in Okta by 17.8% during the fourth quarter. Beacon Pointe Advisors LLC now owns 97,190 shares of the company’s stock worth $8,404,000 after purchasing an additional 14,664 shares during the last quarter. Mackenzie Financial Corp lifted its stake in Okta by 37.0% during the fourth quarter. Mackenzie Financial Corp now owns 29,461 shares of the company’s stock worth $2,571,000 after purchasing an additional 7,964 shares during the last quarter. Finally, XTX Topco Ltd lifted its stake in Okta by 156.5% during the fourth quarter. XTX Topco Ltd now owns 20,798 shares of the company’s stock worth $1,798,000 after purchasing an additional 12,689 shares during the last quarter. 86.64% of the stock is currently owned by institutional investors.

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.