Royal Bank of Canada Lowers Stake in Okta, Inc. $OKTA

Key Points

• The Royal Bank of Canada has significantly decreased its stake in Okta, Inc. by 79.7%, selling over 493,000 shares and now owning approximately 0.07% of the company.
• In contrast, Graham Capital Management and Nomura Holdings have increased their holdings in Okta by 333.7% and 55.3% respectively, reflecting mixed sentiment among institutional investors.
• Okta's latest earnings report exceeded expectations with earnings per share of $0.91, up from $0.72 last year, indicating a 12.7% increase in revenue compared to the same quarter last year.

Royal Bank of Canada decreased its position in Okta, Inc. (NASDAQ:OKTA - Free Report) by 79.7% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 125,660 shares of the company's stock after selling 493,044 shares during the period. Royal Bank of Canada owned about 0.07% of Okta worth $13,222,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Graham Capital Management L.P. boosted its holdings in shares of Okta by 333.7% in the first quarter. Graham Capital Management L.P. now owns 49,011 shares of the company's stock valued at $5,157,000 after acquiring an additional 37,710 shares in the last quarter. Alamea Verwaltungs GmbH purchased a new stake in shares of Okta in the first quarter valued at about $224,000. Nomura Holdings Inc. boosted its holdings in shares of Okta by 55.3% in the first quarter. Nomura Holdings Inc. now owns 124,877 shares of the company's stock valued at $13,140,000 after acquiring an additional 44,468 shares in the last quarter. Baird Financial Group Inc. purchased a new stake in shares of Okta in the first quarter valued at about $1,534,000. Finally, Vident Advisory LLC boosted its holdings in shares of Okta by 138.3% in the first quarter. Vident Advisory LLC now owns 265,577 shares of the company's stock valued at $27,944,000 after acquiring an additional 154,114 shares in the last quarter. Hedge funds and other institutional investors own 86.64% of the company's stock.

Okta Trading Down 3.9%

Shares of OKTA opened at $90.21 on Thursday. The stock has a market cap of $15.79 billion, a P/E ratio of 106.13, a PEG ratio of 4.57 and a beta of 0.83. The company has a 50-day moving average of $93.77 and a two-hundred day moving average of $101.97. Okta, Inc. has a 12-month low of $70.81 and a 12-month high of $127.57.

Okta (NASDAQ:OKTA - Get Free Report) last announced its earnings results on Tuesday, August 26th. The company reported $0.91 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.84 by $0.07. The company had revenue of $728,000 billion during the quarter, compared to analysts' expectations of $711.84 million. Okta had a net margin of 6.08% and a return on equity of 3.31%. The firm's quarterly revenue was up 12.7% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.72 earnings per share. Okta has set its FY 2026 guidance at 3.330-3.380 EPS. Q3 2026 guidance at 0.740-0.750 EPS. As a group, analysts forecast that Okta, Inc. will post 0.42 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on the stock. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $130.00 target price on shares of Okta in a report on Wednesday, August 27th. Stephens reaffirmed an "equal weight" rating and issued a $127.00 target price on shares of Okta in a report on Tuesday, May 27th. DA Davidson lowered their target price on shares of Okta from $145.00 to $140.00 and set a "buy" rating on the stock in a report on Wednesday, May 28th. Zacks Research downgraded shares of Okta from a "strong-buy" rating to a "hold" rating in a report on Thursday, August 28th. Finally, BTIG Research reissued a "buy" rating on shares of Okta in a report on Thursday, May 22nd. Twenty-two equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $118.25.

Insider Activity at Okta

In other Okta news, insider Larissa Schwartz sold 2,244 shares of Okta stock in a transaction dated Friday, June 20th. The shares were sold at an average price of $100.00, for a total transaction of $224,400.00. Following the completion of the transaction, the insider owned 23,640 shares in the company, valued at approximately $2,364,000. The trade was a 8.67% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Eric Robert Kelleher sold 16,018 shares of Okta stock in a transaction dated Tuesday, July 15th. The stock was sold at an average price of $91.81, for a total transaction of $1,470,612.58. Following the transaction, the insider owned 7,044 shares of the company's stock, valued at approximately $646,709.64. The trade was a 69.46% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 88,594 shares of company stock valued at $8,382,790 in the last quarter. 5.68% of the stock is owned by corporate insiders.

Okta Profile

Okta, Inc operates as an identity partner in the United States and internationally. The company offers Okta's suite of products and services used to manage and secure identities, such as Single Sign-On that enables users to access applications in the cloud or on-premises from various devices; Adaptive Multi-Factor Authentication provides a layer of security for cloud, mobile, web applications, and data; API Access Management enables organizations to secure APIs; Access Gateway enables organizations to extend Workforce Identity Cloud; and Okta Device Access enables end users to securely log in to devices with Okta credentials.

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