OKTAOkta shows strong fundamental performance and positive thematic alignment, but current technicals suggest a slight caution. The company's robust revenue growth and solid profitability, combined with its critical role in digital identity management, make it an attractive long-term investment, though short-term traders might watch for potential consolidation.
Okta is a key player in the critical and rapidly growing cybersecurity and digital identity management sector. Its solutions are essential for businesses adopting cloud services, remote work, and Zero Trust architectures, aligning perfectly with major digital transformation trends.
Okta demonstrates robust revenue growth and improving profitability. While the P/E ratio is high, it reflects strong market expectations and the company's growth trajectory. A healthy balance sheet and positive free cash flow further support its financial strength.
Okta's stock exhibits a strong upward trend across multiple timeframes, supported by moving averages. However, several oscillators are in overbought or near-overbought territory, suggesting a potential for short-term consolidation or a minor pullback before continuing its ascent.
| Factor | Score |
|---|---|
| Digital Identity and Access Management | 95 |
| Cloud Adoption and Security | 90 |
| Zero Trust Security Framework | 92 |
| Cybersecurity Market Trends | 93 |
| Regulatory Compliance | 88 |
| Factor | Score |
|---|---|
| Revenue Growth | 85 |
| Profitability | 70 |
| Valuation | 50 |
| Balance Sheet Health | 90 |
| Cash Flow | 85 |
| Factor | Score |
|---|---|
| Trend Analysis | 80 |
| Momentum Indicators | 60 |
| Short-Term Momentum | 30 |
| Support and Resistance | 70 |
| Overall Technical Strength | 65 |
Positive EPS Surprises
The company has consistently beaten EPS estimates in recent quarters, with surprise percentages ranging from 5.99% to 24.06% in fiscal year 2024 and Q1 2025. This indicates strong operational execution and earnings power.
Improving Net Margin
The net margin has shown significant improvement, moving from -65.2% in Q1 2022 to 1.1% in Q1 2025. This trend suggests a path towards sustainable profitability.
High Price-to-Earnings Ratio
The trailing P/E ratio of 150.6 and quarterly P/E ratios exceeding 300 indicate a very high valuation, suggesting significant growth expectations are already priced in.
Negative Net Income in Recent Years
The company has reported significant net losses in fiscal years 2022, 2023, and 2024, despite revenue growth. This points to ongoing challenges in achieving consistent profitability.
August 2025
28
Next Earnings Date
H: $1.11
A: $0.85
L: $0.82
H: 725.09M
A: 711.84M
L: 710.38M
Okta, Inc. operates as an identity partner in the United States and internationally. The company offers Okta's suite of products and services used to manage and secure identities, such as Single Sign-On that enables users to access applications in the cloud or on-premises from various devices; Adaptive Multi-Factor Authentication provides a layer of security for cloud, mobile, web applications, and data; API Access Management enables organizations to secure APIs; Access Gateway enables organizations to extend Workforce Identity Cloud; and Okta Device Access enables end users to securely log in to devices with Okta credentials. It provides Universal Directory, a cloud-based system of record to store and secure user, application, and device profiles for an organization; Lifecycle Management enables IT organizations or developers to manage a user's identity throughout its lifecycle; Okta Identity Governance provides identity access management and identity governance solutions; Advanced Server Access offers access management to secure cloud infrastructure; Okta Privileged Access enables organizations to reduce risk with unified access and governance management for on-premises and cloud resources; and Okta Workforce Identity Workflows. In addition, the company offers Universal Login, which allows customers to provide login experience across different applications and devices; and Attack Protection, a suite of security capabilities that protects customers from different types of malicious traffic. Further, it provides Adaptive Multi-Factor Authentication, Passwordless, Machine to Machine, Private Cloud, Organizations, Actions and Extensibility, and Enterprise Connections. The company sells its products directly to customers through sales force and channel partners. The company was formerly known as Saasure, Inc. Okta, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.
122.00 USD
The 39 analysts offering 1 year price forecasts for OKTA have a max estimate of 148.00 and a min estimate of 75.00.