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

Shares of Okta, Inc. (NASDAQ:OKTA) have received a consensus rating of “Moderate Buy” from the thirty-nine ratings firms that are presently covering the stock, MarketBeat Ratings reports. Two research analysts have rated the stock with a sell rating, twelve have issued a hold rating and twenty-five have issued a buy rating on the company. The average 1 year price objective among brokerages that have issued a report on the stock in the last year is $113.8824.

Several equities analysts have weighed in on the company. Morgan Stanley dropped their price objective on Okta from $123.00 to $110.00 and set an “overweight” rating for the company in a report on Wednesday, December 3rd. Berenberg Bank started coverage on Okta in a research report on Tuesday, November 18th. They issued a “buy” rating and a $145.00 price target on the stock. Barclays cut their price objective on shares of Okta from $112.00 to $95.00 and set an “equal weight” rating for the company in a research report on Tuesday, November 18th. TD Cowen reissued a “hold” rating on shares of Okta in a report on Wednesday, December 3rd. Finally, BMO Capital Markets dropped their target price on shares of Okta from $112.00 to $90.00 and set a “market perform” rating for the company in a research report on Wednesday, December 3rd.

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 Friday, January 2nd. The stock was sold at an average price of $84.40, for a total transaction of $203,319.60. Following the completion of the sale, the insider directly owned 11,266 shares in the company, valued at $950,850.40. This represents a 17.62% 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. Also, insider Larissa Schwartz sold 1,899 shares of Okta stock in a transaction on Wednesday, January 7th. The shares were sold at an average price of $90.74, for a total value of $172,315.26. Following the completion of the transaction, the insider owned 38,164 shares in the company, valued at approximately $3,463,001.36. The trade was a 4.74% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 36,727 shares of company stock valued at $3,344,746 over the last ninety days. Company insiders own 5.68% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of OKTA. Promus Capital LLC purchased a new stake in Okta during the 2nd quarter worth about $27,000. Root Financial Partners LLC purchased a new stake in shares of Okta during the third quarter worth approximately $26,000. Elevation Wealth Partners LLC raised its holdings in Okta by 825.0% in the fourth quarter. Elevation Wealth Partners LLC now owns 296 shares of the company’s stock valued at $26,000 after acquiring an additional 264 shares in the last quarter. Cullen Frost Bankers Inc. lifted its stake in Okta by 88.3% in the second quarter. Cullen Frost Bankers Inc. now owns 339 shares of the company’s stock worth $34,000 after acquiring an additional 159 shares during the last quarter. Finally, Kiker Wealth Management LLC grew its holdings in Okta by 1,159.3% during the 2nd quarter. Kiker Wealth Management LLC now owns 340 shares of the company’s stock worth $34,000 after acquiring an additional 313 shares in the last quarter. Institutional investors and hedge funds own 86.64% of the company’s stock.

Okta Stock Performance

NASDAQ:OKTA opened at $90.76 on Friday. Okta has a 52 week low of $75.05 and a 52 week high of $127.57. The firm’s 50-day simple moving average is $87.23 and its 200 day simple moving average is $90.06. The firm has a market cap of $16.09 billion, a price-to-earnings ratio of 83.27, a P/E/G ratio of 4.28 and a beta of 0.76.

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

Okta declared that its Board of Directors has initiated a share repurchase plan on Monday, January 5th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the company to repurchase up to 6.8% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

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.