Okta (NASDAQ:OKTA) Stock Price Expected to Rise, Royal Bank Of Canada Analyst Says

Okta (NASDAQ:OKTA) had its price objective upped by research analysts at Royal Bank Of Canada from $166.00 to $195.00 in a research note issued on Thursday,Benzinga reports. The brokerage presently has an “outperform” rating on the stock. Royal Bank Of Canada’s target price indicates a potential upside of 19.36% from the stock’s current price.

OKTA has been the subject of several other research reports. Citizens Jmp boosted their price target on Okta from $170.00 to $180.00 and gave the company a “market outperform” rating in a research note on Thursday. TD Cowen raised their price objective on shares of Okta from $105.00 to $160.00 and gave the company a “hold” rating in a research report on Monday, August 17th. Weiss Ratings upgraded shares of Okta from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, June 3rd. Susquehanna boosted their target price on shares of Okta from $80.00 to $110.00 and gave the stock a “neutral” rating in a research report on Friday, May 29th. Finally, Oppenheimer boosted their target price on shares of Okta from $125.00 to $170.00 and gave the stock an “outperform” rating in a research report on Tuesday, August 11th. One research analyst has rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating and nine have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $164.57.

Okta Price Performance

OKTA traded up $28.95 during trading on Thursday, reaching $163.37. 5,217,608 shares of the stock traded hands, compared to its average volume of 3,485,778. The stock’s 50-day simple moving average is $139.27 and its two-hundred day simple moving average is $104.50. Okta has a fifty-two week low of $62.66 and a fifty-two week high of $168.50. The stock has a market cap of $28.40 billion, a price-to-earnings ratio of 119.13, a price-to-earnings-growth ratio of 4.70 and a beta of 0.77.

Okta (NASDAQ:OKTA) last issued its earnings results on Wednesday, August 26th. The company reported $1.05 earnings per share for the quarter, topping the consensus estimate of $0.96 by $0.09. Okta had a return on equity of 4.15% and a net margin of 8.24%.The company had revenue of $805.00 million for the quarter, compared to analyst estimates of $793.00 million. During the same period in the prior year, the firm posted $0.91 EPS. The business’s revenue was up 10.6% compared to the same quarter last year. Okta has set its FY 2027 guidance at 3.900-3.940 EPS and its Q3 2027 guidance at 0.920-0.940 EPS. Research analysts anticipate that Okta will post 1.75 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Larissa Schwartz sold 24,971 shares of the business’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $134.13, for a total value of $3,349,360.23. Following the completion of the sale, the insider directly owned 23,477 shares in the company, valued at approximately $3,148,970.01. The trade was a 51.54% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Brett Tighe sold 65,000 shares of the company’s stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $117.25, for a total value of $7,621,250.00. Following the sale, the chief financial officer directly owned 119,680 shares of the company’s stock, valued at $14,032,480. The trade was a 35.20% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 165,347 shares of company stock valued at $21,827,342 over the last 90 days. 4.61% of the stock is currently owned by insiders.

Institutional Trading of Okta

Several large investors have recently modified their holdings of OKTA. California State Teachers Retirement System grew its stake in Okta by 13,755.2% in the 2nd quarter. California State Teachers Retirement System now owns 36,276,597 shares of the company’s stock valued at $4,949,942,000 after buying an additional 36,014,770 shares during the last quarter. First Trust Advisors LP lifted its position in Okta by 28.2% during the 4th quarter. First Trust Advisors LP now owns 6,030,090 shares of the company’s stock worth $521,422,000 after acquiring an additional 1,326,051 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its position in Okta by 71.9% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 3,553,091 shares of the company’s stock worth $281,209,000 after acquiring an additional 1,485,963 shares during the last quarter. Geode Capital Management LLC boosted its holdings in Okta by 1.8% during the fourth quarter. Geode Capital Management LLC now owns 3,261,303 shares of the company’s stock valued at $281,246,000 after acquiring an additional 57,605 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings in Okta by 2.9% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,495,389 shares of the company’s stock valued at $215,776,000 after acquiring an additional 69,653 shares during the period. 86.64% of the stock is owned by institutional investors.

More Okta News

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Quarterly results exceeded expectations: Okta reported adjusted EPS of $1.05 versus the $0.96 consensus estimate, while revenue rose 10.6% year over year to $805 million, ahead of the $793 million forecast. Okta quarterly earnings report
• Positive Sentiment: Raised outlook: Management lifted fiscal 2027 revenue guidance to approximately $3.216 billion-$3.226 billion, or 10%-11% growth. Third-quarter revenue guidance of $813 million-$817 million and EPS guidance of $0.92-$0.94 also topped Wall Street expectations. Okta lifts full-year outlook
• Positive Sentiment: AI-related demand is strengthening the growth narrative: Okta said AI agents are creating new identity and security requirements, with new products contributing meaningfully to bookings. Investors view AI-agent security as a potentially large new market. Okta CEO discusses AI agent security
• Positive Sentiment: Analyst support increased: KeyCorp raised its target to $190 and assigned an Overweight rating; BTIG raised its target to $187 and reiterated Buy; and Needham and Cantor Fitzgerald raised targets to $200 with Buy or Overweight ratings. These revisions signal greater confidence in Okta’s growth and fundamentals. Needham raises Okta price target
• Neutral Sentiment: Valuation remains a consideration: With Okta trading near $134 and at a high earnings multiple, the stock’s roughly $23 billion market capitalization leaves less room for execution disappointments despite the improved outlook. Okta buy thesis and margin for error

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.