58,441 Shares in Okta, Inc. $OKTA Acquired by Ariose Capital Management Ltd

Key Points

• Ariose Capital Management bought 58,441 Okta shares in the third quarter, worth about $12.2 million. The holding represents roughly 14.5% of its portfolio and is its second-largest position.
• Institutional investors and hedge funds own 86.64% of Okta, while company insiders sold 137,766 shares valued at about $23.9 million over the past 90 days; the reported sales were made under pre-arranged trading plans.
• Okta’s latest reported quarter beat earnings and revenue expectations, with revenue up 10.6% year over year. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $202.38.

Ariose Capital Management Ltd purchased a new stake in shares of Okta, Inc. (NASDAQ:OKTA - Free Report) during the third quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 58,441 shares of the company's stock, valued at approximately $12,221,000. Okta makes up approximately 14.5% of Ariose Capital Management Ltd's investment portfolio, making the stock its 2nd biggest position.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in OKTA. Burkett Financial Services LLC purchased a new stake in shares of Okta during the 3rd quarter worth $26,000. Laurel Wealth Advisors LLC acquired a new position in Okta during the 3rd quarter worth approximately $33,000. Polaris Financial Partners bought a new position in Okta in the third quarter valued at approximately $36,000. Washington Trust Advisors Inc. raised its holdings in Okta by 64.2% during the second quarter. Washington Trust Advisors Inc. now owns 197 shares of the company's stock worth $27,000 after buying an additional 77 shares during the last quarter. Finally, MassMutual Private Wealth & Trust FSB grew its position in shares of Okta by 279.5% during the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 296 shares of the company's stock valued at $40,000 after purchasing an additional 218 shares in the last quarter. 86.64% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity

In other Okta news, insider Eric Kelleher sold 6,395 shares of the firm's stock in a transaction dated Friday, September 18th. The stock was sold at an average price of $183.58, for a total value of $1,173,994.10. Following the completion of the sale, the insider owned 18,668 shares of the company's stock, valued at approximately $3,427,071.44. This trade represents a 25.52% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Todd McKinnon sold 48,822 shares of the business's stock in a transaction on Tuesday, September 22nd. The stock was sold at an average price of $193.48, for a total transaction of $9,446,080.56. Following the completion of the transaction, the chief executive officer owned 44,029 shares of the company's stock, valued at approximately $8,518,730.92. This trade represents a 52.58% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 137,766 shares of company stock valued at $23,927,112. 4.61% of the stock is currently owned by insiders.

Okta News Roundup

Here are the key news stories impacting Okta this week:

• Positive Sentiment: ETFs bought about $99.5 million of Okta shares on Wednesday, with 36 funds buying versus 15 selling. In a related report, the Invesco S&P 500 Equal Weight Technology ETF initiated an $89.1 million position in Okta, making it its only addition while trimming 74 other holdings. The buying may offer support, though both reports refer to Wednesday’s activity. ETF buying article Invesco RSPT article
• Negative Sentiment: Okta shares declined alongside other software names as Wall Street retreated from AI-associated stocks, a rotation that hit recent software winners. This broad sector-driven selling was a key near-term headwind. Software sell-off article
• Negative Sentiment: A Seeking Alpha contributor downgraded Okta to Sell, arguing that its valuation bubble may be deflating. The bearish valuation view could weigh on sentiment, particularly amid the wider pullback in software stocks. Seeking Alpha downgrade

Okta Trading Down 1.4%

Shares of NASDAQ:OKTA opened at $168.69 on Friday. The business has a 50 day moving average of $196.81 and a two-hundred day moving average of $126.92. Okta, Inc. has a 12-month low of $62.66 and a 12-month high of $235.00. The company has a market capitalization of $29.49 billion, a PE ratio of 101.62, a PEG ratio of 5.75 and a beta of 0.74.

Okta (NASDAQ:OKTA - Get Free Report) last issued its quarterly earnings data 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 4.50% and a net margin of 9.63%. The business had revenue of $805.00 million for the quarter, compared to analyst estimates of $793.00 million. During the same quarter in the prior year, the firm posted $0.91 EPS. The firm's revenue for the quarter was up 10.6% on a year-over-year basis. 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 research analysts predict that Okta, Inc. will post 1.92 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of research analysts have commented on the stock. Bank of America raised their target price on shares of Okta from $170.00 to $200.00 and gave the company a "neutral" rating in a research report on Thursday, September 24th. Sanford C. Bernstein lowered Okta from an "outperform" rating to a "market perform" rating and increased their price target for the stock from $143.00 to $174.00 in a research note on Thursday, September 17th. UBS Group increased their price objective on shares of Okta from $150.00 to $200.00 and gave the stock a "buy" rating in a research note on Thursday, August 27th. Zacks Research raised shares of Okta from a "hold" rating to a "strong-buy" rating in a research report on Monday, October 26th. Finally, Susquehanna boosted their price target on shares of Okta from $110.00 to $185.00 and gave the stock a "neutral" rating in a research note on Friday, August 28th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating and ten have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $202.38.

About Okta

Okta, Inc provides cloud-based identity and access management services. Its platform helps organizations manage how employees, customers, partners and other users sign in to applications and access digital resources.

Okta's products include single sign-on, multifactor authentication, identity governance and user lifecycle management. Through Auth0, which Okta acquired in 2021, the company also offers tools that developers can use to add identity and authentication features to customer-facing applications.

Founded in 2009 by Todd McKinnon and Frederic Kerrest, Okta serves organizations around the world across a range of industries.

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