Azzad Asset Management Inc. ADV Buys New Position in Okta, Inc. $OKTA

Key Points

• Azzad Asset Management opened a new position in Okta during the first quarter, buying 8,253 shares valued at about $650,000.
• Okta’s latest quarterly results beat expectations, with EPS of $0.91 versus $0.85 expected and revenue of $765 million, up 11.2% year over year.
• Despite positive earnings and bullish analyst coverage, Okta shares fell 6.9%, while insiders—including CEO Todd McKinnon—recently sold stock in pre-planned transactions.

Azzad Asset Management Inc. ADV purchased a new stake in shares of Okta, Inc. (NASDAQ:OKTA - Free Report) during the first quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor purchased 8,253 shares of the company's stock, valued at approximately $650,000.

A number of other hedge funds and other institutional investors have also made changes to their positions in the stock. Resona Asset Management Co. Ltd. grew its stake in Okta by 2.5% during the 1st quarter. Resona Asset Management Co. Ltd. now owns 49,760 shares of the company's stock valued at $3,892,000 after purchasing an additional 1,219 shares during the last quarter. Oregon Public Employees Retirement Fund raised its stake in shares of Okta by 3.5% in the first quarter. Oregon Public Employees Retirement Fund now owns 34,684 shares of the company's stock worth $2,730,000 after purchasing an additional 1,184 shares during the last quarter. Resonant Capital Advisors LLC lifted its holdings in shares of Okta by 8.3% during the first quarter. Resonant Capital Advisors LLC now owns 5,521 shares of the company's stock worth $435,000 after purchasing an additional 421 shares during the period. Swedbank AB boosted its position in Okta by 21.9% in the first quarter. Swedbank AB now owns 2,216,588 shares of the company's stock valued at $174,468,000 after buying an additional 397,507 shares during the last quarter. Finally, Avory & Company LLC purchased a new stake in Okta in the first quarter valued at approximately $1,593,000. Hedge funds and other institutional investors own 86.64% of the company's stock.

Okta Stock Down 6.9%

Shares of OKTA stock traded down $10.21 during mid-day trading on Friday, hitting $138.63. 3,366,806 shares of the stock were exchanged, compared to its average volume of 3,095,824. Okta, Inc. has a 52-week low of $62.66 and a 52-week high of $153.20. The company has a market cap of $24.10 billion, a PE ratio of 100.46, a price-to-earnings-growth ratio of 4.99 and a beta of 0.77. The firm has a fifty day moving average of $111.25 and a 200 day moving average of $92.00.

Okta (NASDAQ:OKTA - Get Free Report) last released its quarterly earnings results on Thursday, May 28th. The company reported $0.91 earnings per share for the quarter, topping analysts' consensus estimates of $0.85 by $0.06. The company had revenue of $765.00 million during the quarter, compared to analysts' expectations of $751.84 million. Okta had a return on equity of 4.15% and a net margin of 8.24%.Okta's quarterly revenue was up 11.2% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.86 EPS. Okta has set its FY 2027 guidance at 3.790-3.870 EPS and its Q2 2027 guidance at 0.950-0.970 EPS. Equities analysts predict that Okta, Inc. will post 1.75 EPS for the current year.

Insider Buying and Selling at Okta

In related news, CEO Todd Mckinnon sold 68,936 shares of the company's stock in a transaction dated Wednesday, July 8th. The shares were sold at an average price of $146.62, for a total transaction of $10,107,396.32. Following the completion of the transaction, the chief executive officer owned 38,484 shares in the company, valued at $5,642,524.08. This represents a 64.17% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Brett Tighe sold 65,000 shares of the firm's stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $117.25, for a total transaction of $7,621,250.00. Following the completion of the transaction, the chief financial officer directly owned 119,680 shares in the company, valued at $14,032,480. This represents a 35.20% 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. Over the last quarter, insiders sold 174,224 shares of company stock valued at $22,534,353. Insiders own 4.61% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on the stock. DA Davidson raised their price target on shares of Okta from $110.00 to $130.00 and gave the stock a "buy" rating in a research report on Friday, May 29th. HC Wainwright started coverage on shares of Okta in a research note on Monday, July 6th. They issued a "buy" rating on the stock. JPMorgan Chase & Co. raised their target price on shares of Okta from $103.00 to $114.00 and gave the stock an "overweight" rating in a report on Thursday, May 28th. Jefferies Financial Group upgraded shares of Okta from a "buy" rating to a "buy" rating in a research report on Monday, July 6th. Finally, KeyCorp upped their price target on shares of Okta from $130.00 to $175.00 and gave the company an "overweight" rating in a report on Friday. One investment analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating, thirteen have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $118.97.

Okta News Summary

Here are the key news stories impacting Okta this week:

• Positive Sentiment: KeyBanc raised its price target on Okta to $175 from $130 and kept an overweight rating, reinforcing the bullish analyst case for the stock. Benzinga report on KeyBanc price target increase
• Positive Sentiment: Another report said Okta could benefit from rising AI-driven cyber threats, which may support demand for its identity and security platform. Zacks cybersecurity stocks article
• Positive Sentiment: Brokerage and media coverage also pointed to strong institutional interest and AI-related security demand as supportive themes for Okta shares. FXEmpire article on AI agent security and Okta
• Neutral Sentiment: Recent hedge-fund and institutional filings show mixed positioning, with several large investors adding to Okta while others reduced exposure, suggesting uneven but still meaningful institutional interest.
• Negative Sentiment: CEO Todd McKinnon sold 68,936 shares worth about $10.1 million, trimming his stake significantly, which can weigh on sentiment even though the trade was pre-planned. SEC Form 4 filing

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.

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