First Trust Advisors LP Sells 1,835,482 Shares of Okta, Inc. $OKTA

Key Points

• First Trust Advisors LP reduced its Okta stake by 30.4% in the first quarter, selling 1.84 million shares and ending with 4.19 million shares valued at about $330.2 million.
• 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.
• Analyst sentiment remains mostly positive, with several firms raising price targets; the stock has a Moderate Buy consensus target of $121.81, though recent insider sales and a pullback in the share price suggest some caution.

First Trust Advisors LP cut its holdings in Okta, Inc. (NASDAQ:OKTA - Free Report) by 30.4% during the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 4,194,608 shares of the company's stock after selling 1,835,482 shares during the quarter. First Trust Advisors LP owned approximately 2.37% of Okta worth $330,158,000 at the end of the most recent reporting period.

Other institutional investors have also recently bought and sold shares of the company. Integrated Wealth Concepts LLC bought a new position in shares of Okta in the first quarter worth about $225,000. NewEdge Advisors LLC increased its position in Okta by 853.4% during the 1st quarter. NewEdge Advisors LLC now owns 5,530 shares of the company's stock worth $582,000 after purchasing an additional 4,950 shares in the last quarter. Sivia Capital Partners LLC bought a new position in Okta in the 2nd quarter valued at approximately $244,000. Invesco Ltd. boosted its position in Okta by 34.1% in the second quarter. Invesco Ltd. now owns 430,844 shares of the company's stock valued at $43,071,000 after buying an additional 109,614 shares in the last quarter. Finally, EverSource Wealth Advisors LLC grew its stake in shares of Okta by 122.7% during the second quarter. EverSource Wealth Advisors LLC now owns 1,621 shares of the company's stock worth $162,000 after buying an additional 893 shares during the last quarter. Institutional investors and hedge funds own 86.64% of the company's stock.

Okta Stock Down 4.5%

Shares of NASDAQ:OKTA opened at $141.71 on Wednesday. The firm has a market cap of $24.63 billion, a P/E ratio of 102.69, a P/E/G ratio of 5.34 and a beta of 0.77. Okta, Inc. has a 12-month low of $62.66 and a 12-month high of $157.00. The business has a fifty day simple moving average of $120.81 and a 200 day simple moving average of $94.93.

Okta (NASDAQ:OKTA - Get Free Report) last released its quarterly earnings results on Thursday, May 28th. The company reported $0.91 EPS for the quarter, beating analysts' consensus estimates of $0.85 by $0.06. The firm had revenue of $765.00 million for the quarter, compared to analyst estimates of $751.84 million. Okta had a return on equity of 4.15% and a net margin of 8.24%.The business's revenue was up 11.2% on a year-over-year basis. During the same quarter in the previous year, the company 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. As a group, equities research analysts expect that Okta, Inc. will post 1.75 EPS for the current year.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on OKTA shares. Barclays increased their price target on Okta from $93.00 to $120.00 and gave the company an "overweight" rating in a research note on Friday, May 29th. Jefferies Financial Group raised Okta from a "buy" rating to a "buy" rating in a report on Monday, July 6th. KeyCorp increased their target price on Okta from $130.00 to $175.00 and gave the company an "overweight" rating in a research report on Friday, July 10th. Raymond James Financial lowered Okta from a "buy" rating to a "strong sell" rating in a research note on Monday, July 6th. Finally, Wedbush restated an "outperform" rating and set a $60.00 price target on shares of Okta in a report on Friday, May 29th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, thirteen have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $121.81.

More Okta News

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Wall Street sentiment remains constructive for Okta, with recent coverage highlighting cybersecurity as a potential AI winner and analysts recently lifting price targets, including a new high target of $165 from Scotiabank. The Next Big AI Winner: Cybersecurity Wall Street Just Supersized Its Price Targets on Okta and Fortinet. Are Cybersecurity Stocks a Must-Own in 2026?
• Positive Sentiment: Okta has continued to show solid fundamentals after its last earnings report, with revenue up 11% year over year and guidance left intact, which supports the longer-term bull case. Why Okta (OKTA) Stock Is Down Today
• Neutral Sentiment: Okta has been one of Zacks’ most-watched stocks recently, suggesting elevated investor attention rather than a clear new catalyst. Okta, Inc. (OKTA) Is a Trending Stock: Facts to Know Before Betting on It
• Neutral Sentiment: Recent institutional activity is mixed, with several large funds adding shares while others reduced exposure, pointing to continued interest but not a uniform signal.
• Negative Sentiment: The stock’s pullback appears tied to profit-taking after a strong rally to a recent 52-week high, along with broader caution across software names as spending shifts toward AI infrastructure. Why Okta (OKTA) Stock Is Down Today

Insiders Place Their Bets

In other news, insider Eric Robert Kelleher sold 3,977 shares of the business's stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $114.10, for a total value of $453,775.70. Following the transaction, the insider 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Shellye L. Archambeau sold 2,500 shares of the stock in a transaction 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 approximately $781,320. This trade represents a 21.38% 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 sold a total of 174,224 shares of company stock valued at $22,534,353 over the last three months. Insiders own 4.61% of the company's stock.

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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