Okta (NASDAQ:OKTA) Updates Q1 2027 Earnings Guidance

Okta (NASDAQ:OKTA) updated its first quarter 2027 earnings guidance on Wednesday. The company provided earnings per share guidance of 0.840-0.860 for the period, compared to the consensus earnings per share estimate of 0.650. The company issued revenue guidance of $749.0 million-$753.0 million, compared to the consensus revenue estimate of $754.7 million. Okta also updated its FY 2027 guidance to 3.740-3.820 EPS.

Wall Street Analyst Weigh In

OKTA has been the subject of a number of recent analyst reports. Zacks Research raised Okta from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, February 25th. Cantor Fitzgerald cut their price objective on Okta from $115.00 to $100.00 and set an “overweight” rating on the stock in a research report on Friday, February 27th. Piper Sandler boosted their target price on Okta from $95.00 to $100.00 and gave the company a “neutral” rating in a research note on Monday, January 5th. Jefferies Financial Group dropped their price target on Okta from $125.00 to $105.00 and set a “buy” rating for the company in a research note on Monday. Finally, DA Davidson set a $110.00 price target on shares of Okta in a report on Thursday, February 26th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating, eleven have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Okta currently has a consensus rating of “Moderate Buy” and a consensus price target of $103.29.

Okta Stock Performance

NASDAQ OKTA opened at $79.28 on Thursday. The company has a market capitalization of $14.05 billion, a P/E ratio of 72.73, a P/E/G ratio of 2.81 and a beta of 0.79. The stock has a 50 day moving average price of $85.40 and a 200-day moving average price of $87.51. Okta has a one year low of $68.77 and a one year high of $127.57.

Okta (NASDAQ:OKTA) last released its earnings results on Wednesday, March 4th. The company reported $0.90 earnings per share for the quarter, beating the consensus estimate of $0.85 by $0.05. Okta had a return on equity of 3.77% and a net margin of 6.87%.The firm had revenue of $761.00 million for the quarter, compared to the consensus estimate of $749.87 million. During the same quarter in the previous year, the company posted $0.78 EPS. The company’s revenue for the quarter was up 11.6% compared to the same quarter last year. Okta has set its FY 2027 guidance at 3.740-3.820 EPS and its Q1 2027 guidance at 0.840-0.860 EPS. As a group, equities analysts predict that Okta will post 0.42 EPS for the current fiscal year.

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

Insider Transactions at Okta

In related news, CEO Todd Mckinnon sold 11,286 shares of the firm’s stock in a transaction dated Monday, December 22nd. The stock was sold at an average price of $90.96, for a total transaction of $1,026,574.56. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Larissa Schwartz sold 1,899 shares of the stock in a transaction dated Wednesday, January 7th. The shares were sold at an average price of $90.74, for a total transaction of $172,315.26. Following the sale, the insider directly owned 38,164 shares of the company’s stock, valued at approximately $3,463,001.36. The trade was a 4.74% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 37,245 shares of company stock worth $3,385,624 in the last ninety days. 5.68% of the stock is owned by company insiders.

More Okta News

Here are the key news stories impacting Okta this week:

• Positive Sentiment: Q4 results beat expectations — Okta reported $0.90 EPS and $761M revenue, topping consensus and showing improved profitability, which supports upside if execution continues. Okta beats fourth-quarter estimates, but issues weak guidance
• Positive Sentiment: Management highlighted AI agents and identity-as-core-for-AI as a multi-year growth catalyst, which analysts cite as a durable revenue driver. Okta Sees AI Agents Fueling Next Growth Wave
• Positive Sentiment: Several firms reaffirmed Buy/Overweight ratings (William Blair, Morgan Stanley, BTIG, Baird remain constructive), leaving institutional support in place despite cuts to targets. Okta: Leveraging Identity as Core AI Security Infrastructure
• Neutral Sentiment: Guidance was mixed — management set FY27 EPS well above consensus but gave Q1 revenue guidance slightly below Street expectations, signaling near‑term growth moderation even as profitability targets look strong. Okta Expects Revenue Growth to Slow in New Fiscal Year
• Negative Sentiment: Multiple brokers cut price targets (KeyCorp, Needham, Morgan Stanley, Stifel lowered targets) — even with buy/overweight ratings, the downgrades reduce near‑term upside expectations and can pressure the stock. Analyst Price Target Cuts
• Negative Sentiment: Company warned of the slowest revenue growth since its IPO amid macro uncertainty; investors punished the stock on the muted near‑term revenue outlook despite the beat. Okta forecasts slowest revenue growth since IPO

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Utah Retirement Systems increased its stake in Okta by 0.6% during the 4th quarter. Utah Retirement Systems now owns 28,605 shares of the company’s stock worth $2,473,000 after buying an additional 163 shares during the period. Kestra Advisory Services LLC increased its position in shares of Okta by 1.7% during the fourth quarter. Kestra Advisory Services LLC now owns 9,685 shares of the company’s stock worth $837,000 after acquiring an additional 166 shares during the period. O Shaughnessy Asset Management LLC raised its stake in shares of Okta by 3.1% in the fourth quarter. O Shaughnessy Asset Management LLC now owns 5,745 shares of the company’s stock valued at $497,000 after acquiring an additional 173 shares in the last quarter. Diversify Advisory Services LLC boosted its holdings in Okta by 0.7% in the second quarter. Diversify Advisory Services LLC now owns 27,086 shares of the company’s stock valued at $2,708,000 after purchasing an additional 190 shares during the period. Finally, CreativeOne Wealth LLC grew its stake in Okta by 10.3% during the 3rd quarter. CreativeOne Wealth LLC now owns 2,868 shares of the company’s stock worth $263,000 after purchasing an additional 267 shares in the last quarter. 86.64% of the stock is owned by institutional investors and hedge funds.

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.