Okta (NASDAQ:OKTA) Stock Price Expected to Rise, BTIG Research Analyst Says

Key Points

• BTIG Research raised its price target on Okta from $90 to $105 and kept a Buy rating, implying about 17.9% upside from the prior close.
• Wall Street sentiment remains constructive overall: Okta has 30 Buy ratings, with a consensus rating of Moderate Buy and an average price target of $101.61.
• Okta’s latest quarter showed solid fundamentals, with EPS of $0.90 topping estimates and revenue of $761 million beating expectations, while revenue grew 11.6% year over year.

Okta (NASDAQ:OKTA - Get Free Report) had its price target hoisted by BTIG Research from $90.00 to $105.00 in a research note issued to investors on Thursday,Benzinga reports. The firm currently has a "buy" rating on the stock. BTIG Research's target price points to a potential upside of 17.92% from the stock's previous close.

Several other equities research analysts have also weighed in on the company. TD Cowen reduced their price objective on Okta from $115.00 to $105.00 and set a "hold" rating for the company in a research note on Tuesday, February 24th. Jefferies Financial Group reduced their price objective on Okta from $125.00 to $105.00 and set a "buy" rating for the company in a research note on Monday, March 2nd. Raymond James Financial raised Okta from a "market perform" rating to an "outperform" rating and set a $85.00 price objective for the company in a research note on Thursday, April 16th. Citigroup raised Okta from a "negative" rating to a "positive" rating in a research note on Wednesday. Finally, Barclays raised their price objective on Okta from $90.00 to $93.00 and gave the stock an "overweight" rating in a research note on Thursday, May 14th. Thirty analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Okta currently has an average rating of "Moderate Buy" and a consensus price target of $101.61.

Okta Stock Performance

Shares of NASDAQ OKTA opened at $89.04 on Thursday. The firm has a market cap of $15.75 billion, a P/E ratio of 67.97, a PEG ratio of 3.34 and a beta of 0.59. The stock has a fifty day moving average price of $77.45 and a two-hundred day moving average price of $82.52. Okta has a 1 year low of $62.66 and a 1 year high of $127.52.

Okta (NASDAQ:OKTA - Get Free Report) last released its quarterly earnings data on Wednesday, March 4th. The company reported $0.90 earnings per share for the quarter, topping the consensus estimate of $0.85 by $0.05. The business had revenue of $761.00 million during the quarter, compared to analyst estimates of $749.87 million. Okta had a return on equity of 4.18% and a net margin of 8.05%.The company's revenue was up 11.6% compared to the same quarter last year. During the same period last year, the company posted $0.78 EPS. Okta has set its FY 2027 guidance at 3.740-3.820 EPS and its Q1 2027 guidance at 0.840-0.860 EPS. On average, research analysts predict that Okta will post 1.61 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Okta news, Director David Schellhase bought 3,712 shares of Okta stock in a transaction dated Thursday, April 16th. The stock was bought at an average price of $72.04 per share, for a total transaction of $267,412.48. Following the completion of the acquisition, the director directly owned 3,712 shares of the company's stock, valued at approximately $267,412.48. This trade represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Eric Robert Kelleher sold 2,409 shares of the stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $80.00, for a total value of $192,720.00. Following the completion of the sale, the insider owned 15,470 shares of the company's stock, valued at $1,237,600. The trade was a 13.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 70,884 shares of company stock valued at $5,625,648. 4.61% of the stock is currently owned by company insiders.

Institutional Trading of Okta

Hedge funds and other institutional investors have recently modified their holdings of the company. Root Financial Partners LLC purchased a new stake in shares of Okta during the third quarter worth $26,000. Elevation Wealth Partners LLC grew its position in shares of Okta by 825.0% in the fourth quarter. Elevation Wealth Partners LLC now owns 296 shares of the company's stock valued at $26,000 after purchasing an additional 264 shares during the last quarter. SHP Wealth Management acquired a new stake in shares of Okta in the fourth quarter valued at about $27,000. Torren Management LLC acquired a new stake in Okta during the fourth quarter worth about $32,000. Finally, Aster Capital Management DIFC Ltd acquired a new stake in Okta during the third quarter worth about $34,000. 86.64% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Okta

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Jefferies said Okta is likely to beat its first-quarter bookings target and kept a Buy rating with a $105 price target, saying the stock still looks attractive on valuation. Okta set to beat Q1 bookings target but Q2 outlook may disappoint, Jefferies says
• Positive Sentiment: Oppenheimer said Okta could deliver modest upside to fiscal Q1 revenue estimates, reinforcing expectations for a solid earnings report ahead of results on May 28. Okta Likely to Deliver Modest Fiscal Q1 Revenue Upside, Oppenheimer Says
• Positive Sentiment: Okta also benefited from a rebound in U.S. software stocks as investors became less worried that AI will be an existential threat to traditional software companies. US software stocks rebound, seeking to loosen AI's grip
• Neutral Sentiment: TD Cowen reiterated a Hold rating on Okta, signaling a more cautious view but not a major change in the outlook. TD Cowen Keeps Their Hold Rating on Okta (OKTA)
• Negative Sentiment: Director Shellye Archambeau sold 2,500 shares in a pre-arranged Rule 10b5-1 transaction, which may be viewed as a modest insider-selling signal. SEC filing

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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