Okta (NASDAQ:OKTA) Price Target Raised to $120.00 at Needham & Company LLC

Key Points

• Needham & Company LLC raised its price target on Okta to $120 from $90 and kept a buy rating, implying about 26.7% upside from the current share price.
• Okta reported fiscal Q1 2027 results that beat expectations, with EPS of $0.91 and revenue of $765 million, while revenue grew 11.2% year over year.
• The company also issued guidance above consensus for both Q2 and full-year FY 2027, and several analysts responded by raising price targets or reiterating bullish ratings.

Okta (NASDAQ:OKTA - Get Free Report) had its price target lifted by analysts at Needham & Company LLC from $90.00 to $120.00 in a research note issued to investors on Friday,Benzinga reports. The brokerage currently has a "buy" rating on the stock. Needham & Company LLC's price target points to a potential upside of 26.69% from the stock's current price.

Other equities analysts have also recently issued research reports about the company. Piper Sandler dropped their price target on Okta from $100.00 to $82.00 and set a "neutral" rating on the stock in a research note on Thursday, March 5th. Deutsche Bank Aktiengesellschaft dropped their price target on Okta from $85.00 to $80.00 and set a "hold" rating on the stock in a research note on Thursday, March 5th. Citigroup reissued an "outperform" rating on shares of Okta in a research note on Friday. DA Davidson reissued a "buy" rating and issued a $110.00 price target on shares of Okta in a research note on Thursday, March 5th. Finally, HSBC raised Okta to a "buy" rating in a research note on Thursday, April 16th. One research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $104.85.

Okta Trading Up 5.8%

Shares of OKTA opened at $94.72 on Friday. The business's 50-day moving average price is $79.01 and its 200 day moving average price is $82.69. The stock has a market capitalization of $16.76 billion, a P/E ratio of 72.31, a P/E/G ratio of 3.49 and a beta of 0.59. Okta has a 1-year low of $62.66 and a 1-year high of $107.84.

Okta (NASDAQ:OKTA - Get Free Report) last issued 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 firm had revenue of $765.00 million for the quarter, compared to analysts' expectations of $751.84 million. Okta had a return on equity of 4.18% and a net margin of 8.05%.Okta's revenue was up 11.2% on a year-over-year basis. During the same quarter last year, the business 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. On average, research analysts predict that Okta will post 1.61 earnings per share for the current year.

Insider Activity at Okta

In other Okta news, Director David Schellhase bought 3,712 shares of the stock in a transaction on Thursday, April 16th. The shares were bought at an average price of $72.04 per share, with a total value of $267,412.48. Following the purchase, the director directly owned 3,712 shares in the company, valued at $267,412.48. The trade was a ∞ increase in their position. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Eric Robert Kelleher sold 16,818 shares of Okta stock in a transaction dated 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 transaction, the insider directly owned 15,470 shares in the company, valued at approximately $1,237,600. This trade represents a 52.09% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 70,884 shares of company stock worth $5,625,648. Company insiders own 4.61% of the company's stock.

Hedge Funds Weigh In On Okta

Several institutional investors and hedge funds have recently bought and sold shares of the business. Norges Bank acquired a new stake in shares of Okta during the 4th quarter valued at about $175,193,000. Allspring Global Investments Holdings LLC lifted its holdings in shares of Okta by 71.9% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 3,553,091 shares of the company's stock valued at $281,209,000 after buying an additional 1,485,963 shares during the last quarter. First Trust Advisors LP lifted its holdings in shares of Okta by 28.2% during the 4th quarter. First Trust Advisors LP now owns 6,030,090 shares of the company's stock valued at $521,422,000 after buying an additional 1,326,051 shares during the last quarter. Vanguard Group Inc. lifted its holdings in shares of Okta by 5.7% during the 3rd quarter. Vanguard Group Inc. now owns 19,803,227 shares of the company's stock valued at $1,815,956,000 after buying an additional 1,074,977 shares during the last quarter. Finally, Alyeska Investment Group L.P. lifted its holdings in shares of Okta by 276.9% during the 3rd quarter. Alyeska Investment Group L.P. now owns 1,403,499 shares of the company's stock valued at $128,701,000 after buying an additional 1,031,083 shares during the last quarter. Hedge funds and other institutional investors own 86.64% of the company's stock.

Okta News Roundup

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Okta reported fiscal Q1 2027 results that beat estimates on both earnings and revenue, with EPS of $0.91 versus $0.85 expected and revenue of $765 million versus $751.8 million expected. The company also highlighted stronger operating performance and 11.2% year-over-year revenue growth. Okta earnings report
• Positive Sentiment: Management issued guidance above consensus, including Q2 EPS guidance of $0.95 to $0.97 and FY 2027 EPS guidance of $3.79 to $3.87, signaling confidence in continued execution and margin improvement. Okta press release
• Positive Sentiment: Analysts turned more constructive after the report, with JPMorgan raising its price target to $114, Citi lifting its target to $105, Robert W. Baird raising its target to $140, and William Blair reiterating a Buy rating on improving enterprise momentum and AI-driven growth potential. Citi target lift article
• Positive Sentiment: Investors are also focused on Okta’s AI-agent identity management opportunity, which management said is creating additional demand for its security tools and could expand the company’s long-term growth runway. CNBC earnings article
• Neutral Sentiment: Some commentary pointed to valuation as a reason for caution, with Citi keeping a Hold rating despite better execution, suggesting the stock may need continued fundamental progress to justify further upside. Citi hold/target article

About Okta

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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