Okta (NASDAQ:OKTA) vs. Argo Blockchain (NASDAQ:ARBK) Financial Analysis

Okta (NASDAQ:OKTA) and Argo Blockchain (NASDAQ:ARBK) are both technology companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, profitability, earnings, analyst recommendations, valuation, risk and dividends.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Okta and Argo Blockchain, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Okta	0	10	32	1	2.79
Argo Blockchain	1	1	0	0	1.50

Okta presently has a consensus price target of $172.92, suggesting a potential upside of 1.36%. Given Okta’s stronger consensus rating and higher probable upside, research analysts clearly believe Okta is more favorable than Argo Blockchain.

Risk and Volatility

Okta has a beta of 0.79, suggesting that its stock price is 21% less volatile than the S&P 500. Comparatively, Argo Blockchain has a beta of 1.9, suggesting that its stock price is 90% more volatile than the S&P 500.

Institutional & Insider Ownership

86.6% of Okta shares are held by institutional investors. Comparatively, 2.4% of Argo Blockchain shares are held by institutional investors. 4.6% of Okta shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Okta and Argo Blockchain’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Okta	9.63%	4.50%	3.34%
Argo Blockchain	N/A	N/A	N/A

Valuation & Earnings

This table compares Okta and Argo Blockchain”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Okta	$3.07 billion	9.65	$235.00 million	$1.66	102.77
Argo Blockchain	$15.52 million	2.50	$5.08 million	($117.39)	-0.02

Okta has higher revenue and earnings than Argo Blockchain. Argo Blockchain is trading at a lower price-to-earnings ratio than Okta, indicating that it is currently the more affordable of the two stocks.

Summary

Okta beats Argo Blockchain on 14 of the 15 factors compared between the two stocks.

About Okta

Okta, Inc. operates as an identity partner in the United States and internationally. The company offers Okta's suite of products and services used to manage and secure identities, such as Single Sign-On that enables users to access applications in the cloud or on-premises from various devices; Adaptive Multi-Factor Authentication provides a layer of security for cloud, mobile, web applications, and data; API Access Management enables organizations to secure APIs; Access Gateway enables organizations to extend Workforce Identity Cloud; and Okta Device Access enables end users to securely log in to devices with Okta credentials. It also provides Universal Directory, a cloud-based system of record to store and secure user, application, and device profiles for an organization; Lifecycle Management enables IT organizations or developers to manage a user's identity throughout its lifecycle; Okta Identity Governance provides identity access management and identity governance solutions; Advanced Server Access offers access management to secure cloud infrastructure; Okta Privileged Access enables organizations to reduce risk with unified access and governance management for on-premises and cloud resources; and Okta Workforce Identity Workflows. In addition, the company offers Universal Login, which allows customers to provide login experience across different applications and devices; and Attack Protection, a suite of security capabilities that protects customers from different types of malicious traffic. Further, it provides Adaptive Multi-Factor Authentication, Passwordless, Machine to Machine, Private Cloud, Organizations, Actions and Extensibility, and Enterprise Connections. The company sells its products directly to customers through sales force and channel partners. The company was formerly known as Saasure, Inc. Okta, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.

About Argo Blockchain

Argo Blockchain plc, together with its subsidiaries, engages in the bitcoin and other cryptocurrencies mining business worldwide. It engages in mining purpose-built computers for complex cryptographic algorithms. The company was formerly known as GoSun Blockchain Limited and changed its name to Argo Blockchain plc in December 2017. Argo Blockchain plc was incorporated in 2017 and is based in London, the United Kingdom.