Needham & Company LLC Forecasts Strong Price Appreciation for Okta (NASDAQ:OKTA) Stock

Okta (NASDAQ:OKTA) had its target price upped by investment analysts at Needham & Company LLC from $140.00 to $200.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Needham & Company LLC’s price target suggests a potential upside of 48.79% from the stock’s current price.

OKTA has been the subject of several other research reports. Canaccord Genuity Group increased their target price on shares of Okta from $95.00 to $115.00 and gave the company a “buy” rating in a report on Friday, May 29th. Barclays upped their price objective on shares of Okta from $120.00 to $170.00 and gave the stock an “overweight” rating in a research report on Monday, August 17th. TD Cowen increased their price objective on shares of Okta from $105.00 to $160.00 and gave the company a “hold” rating in a research note on Monday, August 17th. JPMorgan Chase & Co. lifted their target price on shares of Okta from $120.00 to $165.00 and gave the stock an “overweight” rating in a research report on Friday, August 21st. Finally, Wedbush restated an “outperform” rating and issued a $60.00 target price on shares of Okta in a research note on Friday, May 29th. One research analyst has rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $148.74.

Okta Stock Up 2.9%

Shares of NASDAQ:OKTA opened at $134.42 on Thursday. The stock has a market cap of $23.36 billion, a price-to-earnings ratio of 97.41, a PEG ratio of 4.70 and a beta of 0.77. Okta has a 12-month low of $62.66 and a 12-month high of $157.00. The business’s 50 day moving average is $139.27 and its 200 day moving average is $104.50.

Okta (NASDAQ:OKTA) last released its quarterly earnings results on Wednesday, August 26th. The company reported $1.05 EPS for the quarter, beating analysts’ consensus estimates of $0.96 by $0.09. Okta had a return on equity of 4.15% and a net margin of 8.24%.The business had revenue of $805.00 million during the quarter, compared to analyst estimates of $793.00 million. During the same period in the prior year, the firm posted $0.91 EPS. Okta’s quarterly 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. As a group, equities research analysts expect that Okta will post 1.75 earnings per share for the current year.

Insider Activity at Okta

In other Okta news, insider Eric Robert Kelleher sold 3,977 shares of Okta stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $114.10, for a total value of $453,775.70. Following the sale, the insider owned 19,618 shares of the company’s stock, valued at approximately $2,238,413.80. The trade was a 16.86% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Larissa Schwartz sold 24,971 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $134.13, for a total transaction of $3,349,360.23. Following the completion of the transaction, the insider owned 23,477 shares in the company, valued at approximately $3,148,970.01. The trade was a 51.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 165,347 shares of company stock worth $21,827,342 in the last ninety days. Corporate insiders own 4.61% of the company’s stock.

Institutional Investors Weigh In On Okta

Large investors have recently modified their holdings of the stock. California State Teachers Retirement System lifted its holdings in Okta by 13,755.2% during the second quarter. California State Teachers Retirement System now owns 36,276,597 shares of the company’s stock valued at $4,949,942,000 after purchasing an additional 36,014,770 shares during the last quarter. Norges Bank purchased a new position in shares of Okta in the fourth quarter worth about $175,193,000. Allspring Global Investments Holdings LLC increased its stake in shares of Okta by 71.9% in the first quarter. Allspring Global Investments Holdings LLC now owns 3,553,091 shares of the company’s stock worth $281,209,000 after purchasing an additional 1,485,963 shares in the last quarter. First Trust Advisors LP raised its position in shares of Okta by 28.2% in the fourth quarter. First Trust Advisors LP now owns 6,030,090 shares of the company’s stock valued at $521,422,000 after purchasing an additional 1,326,051 shares during the period. Finally, Alyeska Investment Group L.P. raised its position in shares of Okta by 276.9% in the third quarter. Alyeska Investment Group L.P. now owns 1,403,499 shares of the company’s stock valued at $128,701,000 after purchasing an additional 1,031,083 shares during the period. Hedge funds and other institutional investors own 86.64% of the company’s stock.

Trending Headlines about Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Quarterly results exceeded expectations. Okta reported adjusted earnings of $1.05 per share versus the $0.96 analyst consensus, while revenue increased 10.6% year over year to $805 million, topping estimates of $793 million. Okta Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: Raised guidance provides an additional catalyst. Okta now expects fiscal 2027 revenue of approximately $3.216 billion to $3.226 billion, representing 10% to 11% growth and above its prior forecast of $3.19 billion to $3.21 billion. Third-quarter revenue guidance of $813 million to $817 million and EPS guidance of $0.92 to $0.94 also exceeded Wall Street expectations. Okta Lifts Full-Year Outlook as AI Agents Spur Demand
• Positive Sentiment: AI-related demand is strengthening Okta’s growth narrative. Management highlighted increasing adoption of AI agents, new products contributing roughly 30% of bookings, record non-fourth-quarter bookings and partner-led sales. Investors view identity controls as increasingly important for securing AI-driven workflows. Okta and CrowdStrike Stocks Jump After Earnings
• Neutral Sentiment: Analyst support improved, but valuation remains a consideration. Robert W. Baird reiterated a Buy rating and set a $185 price target. However, Okta’s elevated valuation—including a P/E ratio near 97—may limit further gains if growth or guidance begins to slow. Okta Buy Rating and Raised Price Target

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.