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

Key Points

• Oppenheimer raised its price target on Okta from $110 to $125 and kept an outperform rating, implying about 32% upside from the previous close.
• Okta beat fiscal Q1 earnings and revenue estimates, posting EPS of $0.91 versus $0.85 expected and revenue of $765 million versus $751.8 million expected, with revenue up 11.2% year over year.
• Management and analysts turned more optimistic after the report, with Okta issuing above-consensus guidance and multiple firms lifting price targets, though some valuation concerns remain.

Okta (NASDAQ:OKTA - Get Free Report) had its price target increased by Oppenheimer from $110.00 to $125.00 in a research note issued to investors on Friday,Benzinga reports. The firm presently has an "outperform" rating on the stock. Oppenheimer's price target would suggest a potential upside of 31.97% from the company's previous close.

Several other research analysts also recently issued reports on the stock. Needham & Company LLC boosted their price objective on shares of Okta from $90.00 to $120.00 and gave the stock a "buy" rating in a report on Friday. Barclays boosted their price objective on shares of Okta from $90.00 to $93.00 and gave the stock an "overweight" rating in a report on Thursday, May 14th. Deutsche Bank Aktiengesellschaft dropped their price objective on shares of Okta from $85.00 to $80.00 and set a "hold" rating on the stock in a report on Thursday, March 5th. BMO Capital Markets boosted their price objective on shares of Okta from $95.00 to $120.00 and gave the stock an "outperform" rating in a report on Friday. Finally, HSBC upgraded shares of Okta to a "buy" rating in a report on Thursday, April 16th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, nine have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $105.59.

Okta Trading Up 5.8%

NASDAQ:OKTA opened at $94.72 on Friday. Okta has a 1 year low of $62.66 and a 1 year high of $107.84. The firm's fifty day simple moving average is $79.01 and its 200 day simple moving average is $82.69. The firm has a market capitalization of $16.76 billion, a PE ratio of 72.31, a PEG ratio of 3.49 and a beta of 0.59.

Okta (NASDAQ:OKTA - Get Free Report) last posted its quarterly earnings results on Thursday, May 28th. The company reported $0.91 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.85 by $0.06. Okta had a net margin of 8.05% and a return on equity of 4.18%. The company had revenue of $765.00 million for the quarter, compared to analyst estimates of $751.84 million. During the same period last year, the business posted $0.86 EPS. The business's quarterly revenue was up 11.2% on a year-over-year basis. 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 EPS for the current fiscal year.

Insider Buying and Selling at Okta

In other Okta news, Director David Schellhase bought 3,712 shares of the firm's stock in a transaction dated Thursday, April 16th. The shares were acquired at an average cost of $72.04 per share, for a total transaction of $267,412.48. Following the transaction, the director owned 3,712 shares in the company, valued at approximately $267,412.48. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Larissa Schwartz sold 1,054 shares of Okta stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $80.00, for a total transaction of $84,320.00. Following the sale, the insider owned 48,448 shares in the company, valued at approximately $3,875,840. This trade represents a 2.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 70,884 shares of company stock worth $5,625,648 in the last 90 days. 4.61% of the stock is currently owned by insiders.

Institutional Trading of Okta

Institutional investors have recently made changes to their positions in the business. Elevation Wealth Partners LLC boosted its position in shares of Okta by 825.0% during the 4th 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 bought a new position in Okta during the 4th quarter valued at about $27,000. Torren Management LLC bought a new position in Okta during the 4th quarter valued at about $32,000. Aster Capital Management DIFC Ltd bought a new position in Okta during the 3rd quarter valued at about $34,000. Finally, Westside Investment Management Inc. lifted its holdings in Okta by 86.9% during the 3rd quarter. Westside Investment Management Inc. now owns 415 shares of the company's stock valued at $38,000 after purchasing an additional 193 shares during the last quarter. 86.64% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Okta

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

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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