Encore Global Management LP Takes Position in Okta, Inc. $OKTA

Key Points

• Encore Global Management LP initiated a position in Okta, purchasing 25,500 shares valued at approximately $2.0 million. Institutional investors collectively own 86.64% of the company.
• Okta reported quarterly revenue of $765 million, up 11.2% year over year, and adjusted earnings of $0.91 per share, exceeding analyst expectations.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus rating and an average price target of $121.81, although insiders sold approximately $22.5 million of shares over the past 90 days.

Encore Global Management LP bought a new position in shares of Okta, Inc. (NASDAQ:OKTA - Free Report) in the 1st quarter, according to its most recent disclosure with the SEC. The institutional investor bought 25,500 shares of the company's stock, valued at approximately $2,007,000.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. Smith Group Asset Management LLC increased its holdings in Okta by 9.3% in the 1st quarter. Smith Group Asset Management LLC now owns 377,105 shares of the company's stock worth $29,682,000 after acquiring an additional 32,078 shares in the last quarter. Amundi lifted its holdings in Okta by 19.7% during the first quarter. Amundi now owns 609,207 shares of the company's stock valued at $47,951,000 after purchasing an additional 100,252 shares in the last quarter. EverSource Wealth Advisors LLC grew its position in shares of Okta by 10.7% in the first quarter. EverSource Wealth Advisors LLC now owns 1,333 shares of the company's stock valued at $105,000 after purchasing an additional 129 shares during the period. Royal Bank of Canada grew its position in shares of Okta by 112.3% in the first quarter. Royal Bank of Canada now owns 283,507 shares of the company's stock valued at $22,314,000 after purchasing an additional 149,955 shares during the period. Finally, Empowered Funds LLC increased its stake in shares of Okta by 1,421.9% during the first quarter. Empowered Funds LLC now owns 167,701 shares of the company's stock worth $13,200,000 after purchasing an additional 156,682 shares in the last quarter. Hedge funds and other institutional investors own 86.64% of the company's stock.

Okta Stock Down 0.9%

NASDAQ OKTA opened at $136.21 on Wednesday. Okta, Inc. has a 52 week low of $62.66 and a 52 week high of $157.00. The business's fifty day simple moving average is $126.21 and its 200-day simple moving average is $96.64. The firm has a market cap of $23.67 billion, a PE ratio of 98.70, a P/E/G ratio of 4.94 and a beta of 0.77.

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

Analyst Upgrades and Downgrades

Several research firms recently weighed in on OKTA. Arete Research set a $127.00 price target on shares of Okta and gave the stock a "buy" rating in a research report on Tuesday, May 26th. Seaport Research Partners lowered Okta to a "neutral" rating in a research note on Thursday, April 16th. Weiss Ratings raised Okta from a "hold (c-)" rating to a "hold (c)" rating in a report on Wednesday, June 3rd. Evercore began coverage on Okta in a research report on Monday, July 6th. They issued an "outperform" rating on the stock. Finally, DA Davidson lifted their price target on Okta from $110.00 to $130.00 and gave the stock a "buy" rating in a research note on Friday, May 29th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, thirteen have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, Okta presently has an average rating of "Moderate Buy" and a consensus target price of $121.81.

Insider Buying and Selling

In other news, CFO Brett Tighe sold 65,000 shares of the stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $117.25, for a total value of $7,621,250.00. Following the completion of the sale, the chief financial officer owned 119,680 shares of the company's stock, valued at $14,032,480. This represents a 35.20% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Shellye L. Archambeau sold 2,500 shares of the firm's stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $85.00, for a total transaction of $212,500.00. Following the sale, the director owned 9,192 shares of the company's stock, valued at $781,320. This represents a 21.38% 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. Insiders sold a total of 174,224 shares of company stock worth $22,534,353 over the last ninety days. 4.61% of the stock is currently owned by insiders.

Okta 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.