Okta (NASDAQ:OKTA) Rating Increased to Outperform at BMO Capital Markets

Okta (NASDAQ:OKTA) was upgraded by investment analysts at BMO Capital Markets from a “market perform” rating to an “outperform” rating in a research report issued on Friday,Benzinga reports. The brokerage presently has a $97.00 price target on the stock, up from their previous price target of $83.00. BMO Capital Markets’ price objective would suggest a potential upside of 21.78% from the stock’s current price.

OKTA has been the topic of several other research reports. DA Davidson reissued a “buy” rating and issued a $110.00 price target on shares of Okta in a report on Thursday. Berenberg Bank decreased their price target on Okta from $145.00 to $120.00 and set a “buy” rating on the stock in a research note on Thursday. Truist Financial reduced their price target on shares of Okta from $115.00 to $100.00 and set a “buy” rating on the stock in a research report on Thursday. Jefferies Financial Group decreased their target price on Okta from $125.00 to $105.00 and set a “buy” rating on the stock in a report on Monday. Finally, Morgan Stanley lowered their price target on shares of Okta from $110.00 to $101.00 and set an “overweight” rating for the company in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, ten have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $102.37.

Okta Trading Up 11.0%

Shares of NASDAQ:OKTA opened at $79.65 on Friday. The firm has a market cap of $14.12 billion, a price-to-earnings ratio of 60.80, a P/E/G ratio of 2.78 and a beta of 0.79. Okta has a 1 year low of $68.77 and a 1 year high of $127.57. The business has a fifty day simple moving average of $85.22 and a 200 day simple moving average of $87.46.

Okta (NASDAQ:OKTA) last issued its quarterly earnings results on Wednesday, March 4th. The company reported $0.90 earnings per share for the quarter, beating analysts’ consensus estimates of $0.85 by $0.05. Okta had a net margin of 8.05% and a return on equity of 4.22%. The firm had revenue of $761.00 million during the quarter, compared to the consensus estimate of $749.87 million. During the same period in the prior year, the firm earned $0.78 EPS. The business’s revenue was up 11.6% on a year-over-year basis. 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, sell-side analysts forecast that Okta will post 0.42 EPS for the current year.

Okta declared that its board has authorized a stock buyback plan on Monday, January 5th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the company to reacquire up to 6.8% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Insider Activity at Okta

In other Okta news, CEO Todd Mckinnon sold 11,286 shares of Okta stock in a transaction that occurred on Monday, December 22nd. The shares were sold at an average price of $90.96, for a total value of $1,026,574.56. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Brett Tighe sold 10,000 shares of the stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $95.07, for a total transaction of $950,700.00. Following the sale, the chief financial officer directly owned 134,385 shares of the company’s stock, valued at $12,775,981.95. This represents a 6.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 35,927 shares of company stock valued at $3,272,658. Corporate insiders own 5.68% of the company’s stock.

Institutional Trading of Okta

A number of institutional investors have recently modified their holdings of the company. Vanguard Group Inc. raised its stake 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 worth $1,815,956,000 after purchasing an additional 1,074,977 shares in the last quarter. Bourgeon Capital Management LLC acquired a new stake in shares of Okta during the 3rd quarter worth about $7,946,000. SBI Securities Co. Ltd. raised its holdings in Okta by 35.3% in the 2nd quarter. SBI Securities Co. Ltd. now owns 35,806 shares of the company’s stock valued at $3,580,000 after acquiring an additional 9,340 shares during the period. Elo Mutual Pension Insurance Co lifted its position in Okta by 40.1% during the third quarter. Elo Mutual Pension Insurance Co now owns 52,597 shares of the company’s stock worth $4,823,000 after acquiring an additional 15,058 shares during the last quarter. Finally, Jupiter Asset Management Ltd. acquired a new stake in Okta during the second quarter worth approximately $30,074,000. 86.64% of the stock is currently owned by institutional investors.

Okta News Roundup

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Q4 beat on both EPS and revenue — Okta reported $0.90 non‑GAAP EPS vs. $0.85 consensus and $761M revenue (up ~11.6% YoY); subscription growth, cRPO expansion and improved margins supported the upside. Okta Announces Fourth Quarter And Fiscal Year 2026 Financial Results
• Positive Sentiment: AI agent momentum — Management said new AI security products (including Auth0 for AI Agents) materially contributed to Q4 bookings and annual contract value surpassed $3B, giving investors a clear growth narrative around “securing AI agents.” Okta Ties AI Security Push To Larger Contracts And Equity Plans
• Positive Sentiment: Analyst upgrades and buy reiterations — Several firms reaffirmed or raised bullish views (e.g., BMO upgraded to Buy, JPMorgan nudged its target higher), which helped lift sentiment into the close. Okta: Strengthening Growth Outlook and Strategic Identity Leadership in an AI-Driven Market
• Neutral Sentiment: Guidance is mixed — Okta issued FY‑27 EPS guidance that was strong on the EPS line but Q1 revenue guidance ($749M–$753M) came in slightly below Street estimates, creating ambiguity on near‑term growth momentum. Okta Announces Fourth Quarter And Fiscal Year 2026 Financial Results
• Neutral Sentiment: Mixed analyst reactions — Although some banks raised or kept Buy ratings, many firms trimmed price targets after the print; consensus targets remain above the stock but dispersion is wide. Okta Posts Q4 Beat; Analysts Cut Price Targets For Early AI Agent ‘Leader’
• Negative Sentiment: Slower growth warning — Reuters and other outlets highlighted Okta’s projection of its slowest revenue growth since the IPO for the coming quarter, reflecting macro uncertainty and potential restraint in enterprise IT spend. Okta forecasts slowest revenue growth since IPO amid economic uncertainty
• Negative Sentiment: Analyst downgrades/low targets from some shops — A few firms (including Scotiabank’s recent note and multiple price‑target trims) set much more conservative numbers, which could limit upside if those views spread. Okta Stock Overview and Analyst Notes

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.