Okta (NASDAQ:OKTA) Issues Q3 2027 Earnings Guidance

Okta (NASDAQ:OKTA) updated its third quarter 2027 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 0.920-0.940 for the period, compared to the consensus earnings per share estimate of 0.830. The company issued revenue guidance of $813.0 million-$817.0 million, compared to the consensus revenue estimate of $808.0 million. Okta also updated its FY 2027 guidance to 3.900-3.940 EPS.

Okta Price Performance

Shares of Okta stock traded up $3.81 on Wednesday, hitting $134.42. The company had a trading volume of 5,926,579 shares, compared to its average volume of 3,455,782. The firm has a market capitalization of $23.36 billion, a P/E ratio of 97.41, a P/E/G ratio of 4.71 and a beta of 0.77. Okta has a twelve month low of $62.66 and a twelve month high of $157.00. The stock has a 50-day moving average of $138.84 and a 200-day moving average of $104.13.

Okta (NASDAQ:OKTA) last issued its quarterly earnings data on Wednesday, August 26th. The company reported $0.65 EPS for the quarter, missing analysts’ consensus estimates of $0.96 by ($0.31). Okta had a return on equity of 4.15% and a net margin of 8.24%.Okta has set its FY 2027 guidance at 3.900-3.940 EPS and its Q3 2027 guidance at 0.920-0.940 EPS. Equities analysts predict that Okta will post 1.75 EPS for the current year.

Analyst Upgrades and Downgrades

OKTA has been the topic of a number of research reports. Sanford C. Bernstein lowered Okta from an “outperform” rating to a “hold” rating in a report on Monday, July 6th. Jefferies Financial Group lifted their target price on Okta from $140.00 to $170.00 and gave the company a “buy” rating in a research report on Tuesday, August 18th. Barclays upped their price target on Okta from $120.00 to $170.00 and gave the stock an “overweight” rating in a research report on Monday, August 17th. UBS Group raised their price target on shares of Okta from $115.00 to $150.00 and gave the stock a “buy” rating in a research note on Tuesday, June 9th. Finally, Weiss Ratings upgraded shares of Okta from a “hold (c-)” rating to a “hold (c)” rating in a report on Wednesday, June 3rd. One equities research analyst has rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $140.54.

Insider Buying and Selling

In other Okta news, CEO Todd Mckinnon sold 68,936 shares of the stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $146.62, for a total value of $10,107,396.32. Following the completion of the sale, the chief executive officer owned 38,484 shares in the company, valued at $5,642,524.08. This trade represents a 64.17% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Larissa Schwartz sold 2,463 shares of Okta stock in a transaction dated Monday, June 22nd. The shares were sold at an average price of $120.00, for a total transaction of $295,560.00. Following the completion of the transaction, the insider directly owned 25,241 shares of the company’s stock, valued at approximately $3,028,920. This trade represents a 8.89% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 165,347 shares of company stock worth $21,827,342. 4.61% of the stock is owned by corporate insiders.

Trending Headlines about Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Palo Alto Networks CEO Nikesh Arora reportedly held acquisition discussions with Okta CEO Todd McKinnon in late 2024 and early 2025. Although the talks stalled over valuation, the report highlights Okta’s strategic appeal and product fit within the broader cybersecurity market. Palo Alto Networks CEO held acquisition talks with both Okta and Datadog
• Positive Sentiment: Okta was included among five stocks identified as having bullish setups heading into the fourth quarter, supported by analyst price-target increases, earnings expectations and potential AI-related growth catalysts. 5 Stocks to Buy in September Before Wall Street Catches On
• Neutral Sentiment: Pre-earnings coverage focused on expectations for Okta’s fiscal second quarter, including revenue, guidance, customer trends and profitability. The reports provided context ahead of the release but did not add new operating data. Okta Q2 Earnings Report Preview
• Neutral Sentiment: Reported August short-interest data showed zero shares and a zero-day days-to-cover ratio, suggesting the figures were incomplete or unreliable rather than indicating a meaningful change in bearish positioning.
• Neutral Sentiment: An Okta and Google Workspace webinar promoted the company’s workplace-technology integrations, offering modest evidence of ecosystem engagement but no immediate financial impact. Delivering Seamless Experiences for Modern Work
• Negative Sentiment: Okta reported quarterly EPS of $0.65, missing the $0.96 consensus estimate by $0.31. The 4.15% return on equity and 8.24% net margin also underscore profitability concerns, making the earnings miss the main downside catalyst for investors.

Hedge Funds Weigh In On Okta

Institutional investors have recently bought and sold shares of the business. Integrated Wealth Concepts LLC acquired a new position in shares of Okta during the 1st quarter worth approximately $225,000. NewEdge Advisors LLC lifted its holdings in Okta by 853.4% during the 1st quarter. NewEdge Advisors LLC now owns 5,530 shares of the company’s stock valued at $582,000 after purchasing an additional 4,950 shares during the last quarter. Sivia Capital Partners LLC bought a new position in Okta during the second quarter worth $244,000. Invesco Ltd. increased its holdings in shares of Okta by 34.1% in the second quarter. Invesco Ltd. now owns 430,844 shares of the company’s stock valued at $43,071,000 after purchasing an additional 109,614 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its holdings in shares of Okta by 122.7% in the second quarter. EverSource Wealth Advisors LLC now owns 1,621 shares of the company’s stock valued at $162,000 after purchasing an additional 893 shares during the last quarter. Institutional investors and hedge funds own 86.64% of the company’s stock.

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.