Okta, Inc. (NASDAQ:OKTA) Given Average Rating of “Moderate Buy” by Brokerages

Okta, Inc. (NASDAQ:OKTA) has been given an average rating of “Moderate Buy” by the forty-one analysts that are currently covering the firm, Marketbeat.com reports. One research analyst has rated the stock with a sell recommendation, eleven have issued a hold recommendation, twenty-eight have given a buy recommendation and one has issued a strong buy recommendation on the company. The average twelve-month price objective among brokers that have issued a report on the stock in the last year is $115.9714.

A number of brokerages recently weighed in on OKTA. Jefferies Financial Group boosted their price objective on shares of Okta from $105.00 to $120.00 and gave the company a “buy” rating in a research report on Friday, May 29th. Royal Bank Of Canada upped their target price on shares of Okta from $108.00 to $122.00 and gave the stock an “outperform” rating in a research report on Friday, May 29th. Citigroup reiterated an “outperform” rating on shares of Okta in a report on Friday, May 29th. Barclays raised their target price on Okta from $93.00 to $120.00 and gave the company an “overweight” rating in a research note on Friday, May 29th. Finally, Mizuho cut shares of Okta from an “outperform” rating to a “neutral” rating and raised their target price for the stock from $110.00 to $125.00 in a report on Tuesday, June 2nd.

Okta Stock Performance

OKTA opened at $124.28 on Tuesday. The company has a 50-day moving average of $97.94 and a 200-day moving average of $88.30. The company has a market capitalization of $21.60 billion, a P/E ratio of 90.06, a PEG ratio of 4.47 and a beta of 0.80. Okta has a 1-year low of $62.66 and a 1-year high of $142.35.

Okta (NASDAQ:OKTA) last released its earnings results on Thursday, May 28th. The company reported $0.91 earnings per share for the quarter, topping the consensus estimate of $0.85 by $0.06. Okta had a net margin of 8.24% and a return on equity of 4.15%. The company had revenue of $765.00 million during the quarter, compared to the consensus estimate of $751.84 million. During the same quarter in the previous year, the firm earned $0.86 EPS. The company’s revenue was up 11.2% on a year-over-year basis. 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, sell-side analysts expect that Okta will post 1.75 earnings per share for the current fiscal year.

Key Stories Impacting Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: BTIG raised its price target on Okta to $136 from $119 and kept a Buy rating, signaling confidence that shares can still run further after the recent rally.
• Positive Sentiment: Needham also lifted its target to $140 from $120 and reiterated Buy, reinforcing the view that Okta’s AI-related monetization and security platform remain strong growth drivers.
• Positive Sentiment: Okta’s latest quarter beat expectations on both earnings and revenue, with revenue up 11.2% year over year, which continues to support bullish sentiment. Okta earnings and stock information
• Positive Sentiment: Okta expanded its Cross App Access ecosystem to secure AI agent connections, a development that could deepen its role in enterprise AI security. Okta expands Cross App Access ecosystem
• Neutral Sentiment: Analyst coverage is mixed overall, with some firms raising targets while others remain cautious, leaving the broader rating picture constructive but not unanimous. Analysts have conflicting sentiments on Okta
• Neutral Sentiment: Shares are drawing attention as a “trending stock,” which can help trading activity but does not change the underlying fundamentals. Okta trending stock coverage
• Neutral Sentiment: Larissa Schwartz sold shares in a pre-arranged 10b5-1 plan, which is routine, though investors often view insider selling cautiously. Larissa Schwartz insider sale
• Negative Sentiment: One Seeking Alpha note downgraded Okta and warned that enthusiasm around “agentic AI” monetization may be overdone, raising the risk of a valuation correction.

Insider Transactions at Okta

In other Okta news, insider Eric Robert Kelleher sold 3,977 shares of Okta stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $114.10, for a total transaction of $453,775.70. Following the completion of the sale, the insider owned 19,618 shares of the company’s stock, valued at $2,238,413.80. This trade represents a 16.86% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Shellye L. Archambeau sold 2,500 shares of Okta stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $85.00, for a total value of $212,500.00. Following the sale, the director owned 9,192 shares of the company’s stock, valued at approximately $781,320. This represents a 21.38% 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. In the last ninety days, insiders have sold 114,074 shares of company stock worth $13,128,242. 4.61% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Okta

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Pacer Advisors Inc. lifted its holdings in Okta by 19.1% in the 1st quarter. Pacer Advisors Inc. now owns 242,615 shares of the company’s stock worth $19,096,000 after purchasing an additional 38,908 shares during the last quarter. Parallel Advisors LLC lifted its holdings in Okta by 20.3% in the 1st quarter. Parallel Advisors LLC now owns 5,611 shares of the company’s stock worth $442,000 after purchasing an additional 945 shares during the last quarter. Glenmede Trust Co. NA lifted its holdings in Okta by 7.0% in the 1st quarter. Glenmede Trust Co. NA now owns 540,947 shares of the company’s stock worth $42,578,000 after purchasing an additional 35,324 shares during the last quarter. Bank of America Corp DE lifted its holdings in Okta by 0.4% in the 1st quarter. Bank of America Corp DE now owns 1,496,896 shares of the company’s stock worth $117,821,000 after purchasing an additional 6,533 shares during the last quarter. Finally, Arkadios Wealth Advisors lifted its position in Okta by 133.4% during the 1st quarter. Arkadios Wealth Advisors now owns 12,295 shares of the company’s stock worth $968,000 after acquiring an additional 7,028 shares during the last quarter. 86.64% of the stock is currently owned by institutional investors and hedge funds.

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.