Okta (NASDAQ:OKTA) Given New $122.00 Price Target at Royal Bank Of Canada

Key Points

• Royal Bank of Canada raised its price target on Okta to $122 from $108 and kept an outperform rating, implying about 28.8% upside from the current price.
• Okta’s latest earnings beat expectations, with EPS of $0.91 and revenue of $765 million, while revenue rose 11.2% year over year.
• Sentiment on Wall Street remains constructive, with multiple firms lifting targets after earnings and analysts now showing a Moderate Buy consensus on the stock.

Okta (NASDAQ:OKTA - Get Free Report) had its price target hoisted by analysts at Royal Bank Of Canada from $108.00 to $122.00 in a research report issued on Friday,MarketScreener reports. The brokerage presently has an "outperform" rating on the stock. Royal Bank Of Canada's price objective indicates a potential upside of 28.80% from the company's current price.

A number of other analysts have also commented on OKTA. Canaccord Genuity Group decreased their price target on shares of Okta from $120.00 to $95.00 and set a "buy" rating for the company in a research report on Thursday, March 5th. Deutsche Bank Aktiengesellschaft lowered their price objective on Okta from $85.00 to $80.00 and set a "hold" rating for the company in a research report on Thursday, March 5th. Mizuho lifted their target price on Okta from $100.00 to $110.00 and gave the stock an "outperform" rating in a report on Friday. Stifel Nicolaus dropped their price target on Okta from $121.00 to $92.00 and set a "buy" rating on the stock in a research note on Thursday, March 5th. Finally, Arete Research set a $127.00 price objective on shares of Okta and gave the company a "buy" rating in a research note on Tuesday. One analyst has rated the stock with a Strong Buy rating, thirty have assigned a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $107.03.

Okta Stock Up 5.8%

NASDAQ:OKTA opened at $94.72 on Friday. The firm has a market capitalization of $16.76 billion, a price-to-earnings ratio of 72.31, a price-to-earnings-growth ratio of 3.49 and a beta of 0.59. Okta has a twelve month low of $62.66 and a twelve month high of $107.84. The stock's 50 day moving average price is $79.01 and its two-hundred day moving average price is $82.69.

Okta (NASDAQ:OKTA - Get Free Report) last issued its 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 business had revenue of $765.00 million for the quarter, compared to the consensus estimate of $751.84 million. Okta had a net margin of 8.05% and a return on equity of 4.18%. The firm's revenue for the quarter was up 11.2% on a year-over-year basis. During the same period in the previous year, the company earned $0.86 earnings per share. 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, analysts anticipate that Okta will post 1.61 earnings per share for the current year.

Insider Transactions at Okta

In related news, insider Eric Robert Kelleher sold 16,818 shares of Okta stock in a transaction that occurred on Thursday, March 19th. The shares were sold at an average price of $80.00, for a total value of $1,345,440.00. Following the sale, the insider owned 15,470 shares of the company's stock, valued at approximately $1,237,600. The trade was a 52.09% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director David Schellhase acquired 3,712 shares of the business's stock in a transaction that occurred on Thursday, April 16th. The stock was acquired at an average cost of $72.04 per share, with a total value of $267,412.48. Following the completion of the acquisition, the director owned 3,712 shares in the company, valued at $267,412.48. This trade represents a ∞ increase in their position. The disclosure for this purchase is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 70,884 shares of company stock valued at $5,625,648. Corporate insiders own 4.61% of the company's stock.

Institutional Investors Weigh In On Okta

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Elevation Wealth Partners LLC raised its holdings in shares of Okta by 825.0% during the fourth quarter. Elevation Wealth Partners LLC now owns 296 shares of the company's stock valued at $26,000 after acquiring an additional 264 shares in the last quarter. SHP Wealth Management purchased a new stake in shares of Okta in the 4th quarter worth about $27,000. Torren Management LLC bought a new stake in shares of Okta during the 4th quarter valued at about $32,000. Aster Capital Management DIFC Ltd purchased a new position in shares of Okta during the third quarter valued at about $34,000. Finally, Westside Investment Management Inc. boosted its position in shares of Okta by 86.9% during the third quarter. Westside Investment Management Inc. now owns 415 shares of the company's stock valued at $38,000 after purchasing an additional 193 shares in the last quarter. 86.64% of the stock is currently owned by institutional investors.

Key Stories Impacting Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Okta beat Q1 expectations with revenue of $765 million and adjusted EPS of $0.91, topping consensus and showing 11.2% year-over-year revenue growth. Okta (OKTA) Q1 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management issued Q2 and full-year FY2027 guidance above or in line with estimates, reinforcing confidence in execution and future growth. Okta earnings report and conference call materials
• Positive Sentiment: Multiple firms raised targets after the earnings release, including JPMorgan to $114, BTIG to $119, Needham to $120, BMO to $120, Mizuho to $110, and Oppenheimer to $125, signaling stronger Street conviction. Analyst price target updates
• Positive Sentiment: Analysts highlighted improving enterprise momentum and AI-driven identity demand, which could expand Okta’s long-term market opportunity. Okta to Present at Upcoming Investor Conferences
• Neutral Sentiment: Okta announced it will present at upcoming investor conferences, which keeps management in front of investors but is not, by itself, a new operating catalyst. Okta to Present at Upcoming Investor Conferences

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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