Okta (NASDAQ:OKTA) Trading Up 8.7% – Should You Buy?

Okta, Inc. (NASDAQ:OKTA) shares traded up 8.7% during trading on Monday . The stock traded as high as $177.89 and last traded at $180.98. Approximately 798,069 shares traded hands during trading, a decline of 78% from the average session volume of 3,548,049 shares. The stock had previously closed at $166.50.

Analyst Ratings Changes

OKTA has been the topic of a number of research reports. Capital One Financial set a $171.00 price objective on Okta and gave the company an “overweight” rating in a report on Thursday, July 16th. Scotiabank reaffirmed an “outperform” rating and set a $190.00 target price on shares of Okta in a report on Thursday, August 27th. Wall Street Zen upgraded shares of Okta from a “hold” rating to a “buy” rating in a research report on Saturday, August 29th. DA Davidson raised their price target on shares of Okta from $165.00 to $190.00 and gave the stock a “buy” rating in a research note on Thursday, August 27th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Okta in a research report on Monday, August 31st. One analyst has rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating and ten have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $173.45.

Okta Stock Performance

The business has a 50 day simple moving average of $149.44 and a 200-day simple moving average of $111.74. The firm has a market capitalization of $32.40 billion, a price-to-earnings ratio of 111.81, a P/E/G ratio of 5.18 and a beta of 0.79.

Okta (NASDAQ:OKTA) last announced its quarterly earnings results on Wednesday, August 26th. The company reported $1.05 earnings per share for the quarter, beating the consensus estimate of $0.96 by $0.09. Okta had a net margin of 9.63% and a return on equity of 4.50%. The firm had revenue of $805.00 million for the quarter, compared to analysts’ expectations of $793.00 million. During the same quarter in the previous year, the company posted $0.91 EPS. The company’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. Equities analysts predict that Okta, Inc. will post 1.92 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Larissa Schwartz sold 2,463 shares of the firm’s stock in a transaction that occurred on 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 sale, the insider owned 25,241 shares in the company, valued at $3,028,920. This trade represents a 8.89% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Eric Kelleher sold 3,977 shares of Okta stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $114.10, for a total transaction of $453,775.70. Following the sale, the insider directly owned 19,618 shares in the company, valued at approximately $2,238,413.80. The trade was a 16.86% 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 have sold 155,376 shares of company stock worth $23,734,135 over the last quarter. 4.61% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Okta

Large investors have recently modified their holdings of the business. Junto Capital Management LP purchased a new position in shares of Okta during the 2nd quarter worth $45,486,000. National Pension Service raised its holdings in Okta by 23.2% in the 2nd quarter. National Pension Service now owns 43,893 shares of the company’s stock valued at $5,989,000 after buying an additional 8,257 shares during the period. NewEdge Advisors LLC raised its holdings in Okta by 521.5% in the 2nd quarter. NewEdge Advisors LLC now owns 2,828 shares of the company’s stock valued at $386,000 after buying an additional 2,373 shares during the period. GFG Capital LLC lifted its position in Okta by 12.0% in the second quarter. GFG Capital LLC now owns 33,971 shares of the company’s stock valued at $4,635,000 after buying an additional 3,639 shares during the last quarter. Finally, Kranot Hishtalmut Le Morim Tichoniim Havera Menahelet LTD acquired a new position in Okta in the second quarter valued at about $3,444,000. Institutional investors and hedge funds own 86.64% of the company’s stock.

About Okta

Okta, Inc provides cloud-based identity and access management solutions for organizations. Its platform helps businesses securely connect employees, customers, partners and applications while managing authentication, authorization and user access across cloud, on-premises and mobile environments.

The company’s offerings include single sign-on, multifactor authentication, adaptive access controls, lifecycle management, identity governance and privileged access capabilities. Through its Customer Identity Cloud, powered by Auth0, Okta also provides tools for developers and businesses to embed authentication and authorization features into applications and digital services.

Founded in 2009 by Todd McKinnon and Frederic Kerrest, Okta completed its initial public offering in 2017.