Customers with more than $100K in Annual Contract Value (ACV) increased 12% year over year to 4,550. OKTA added 400 new customers in the reported quarter, out of which 160 customers were in the $100K-plus ACV category. Cloud Native Application Protection Platforms, provided by the likes of CrowdStrike (CRWD) and Palo Alto Networks, witnessed the greatest year-over-year growth of 31.5%, followed by Identity and Access Management (IAM) at 21.4%. OKTA's revenues are expected to witness a CAGR of 25% between fi ...

The cloud identity management company's stock has climbed by 0.8% in the past month, exceeding the Computer and Technology sector's loss of 5.32% and the S&P 500's loss of 1.16%. Investors should also pay attention to any latest changes in analyst estimates for Okta. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability. Looking at valuation, Okta is presently ...

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movemen ...

Heading into today, shares of the cloud identity management company had gained 8.55% over the past month, outpacing the Computer and Technology sector's loss of 3.88% and the S&P 500's gain of 1.08% in that time. For the full year, the Zacks Consensus Estimates project earnings of $2.40 per share and a revenue of $2.53 billion, demonstrating changes of +50% and +11.91%, respectively, from the preceding year. Based on our research, we believe these estimate revisions are directly related to near-team stock m ...

The the stock of cloud identity management company has risen by 3.92% in the past month, lagging the Computer and Technology sector's gain of 9.48% and the S&P 500's gain of 5.11%. Investors should also take note of any recent adjustments to analyst estimates for Okta. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook. In terms of valuation, Okta i ...

da-kuk/E+ via Getty Images Introduction & Investment Thesis Okta (NASDAQ:OKTA) is a cloud-based identity and access management company that has underperformed the S&P 500 and Nasdaq 100 YTD. I had last written about the company on April 23 and had rated the stock a "buy". My thesis was predicated on my belief that the company should be able to reignite growth back into the business as it realigns its sales team and leverages its partner ecosystem to drive customer acquisition and expansion efforts, along wi ...

FY25 Q1 Presentation OKTA saw current remaining performance obligations grow 15% YoY to $1.949 billion, surpassing guidance for 13% growth. That strong result may indicate that revenue growth should remain in the double-digits at least in the near term. RPO Up 14% Y/Y; Current RPO Up 15% Y/Y ($ in millions) $3,073 $3,027 $3,007 $2,942 $2,853 $2,790 $2,710 $1,952 $1,826 $1,772 $1,701 $1,684 $1,579 $1,497 $1,413 Q1 FY24 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q2 FY24 Q3 FY24 Q4 FY24 ■ Current RPO ■ Non-Current RPO Qu ...

Okta (OKTA) is benefiting from an expanding clientele driven by the strong adoption of its Identity Threat Protection solution. It exited the first quarter of fiscal 2025 with the total customer count increasing 6% year over year to 19,100. Okta's expanding user base has been a key catalyst. It is protecting customers by blocking more than 2 billion security attacks a month, and expects these numbers to grow. However, the current level at which Okta shares are trading doesn't reflect these positive factors ...

Summary of Okta, Inc. (NASDAQ:OKTA) Investor Conference Call Company Overview - **Company**: Okta, Inc. - **Industry**: Cybersecurity and Identity Management - **Fiscal Year 2025 Revenue Guidance**: Over $2.5 billion, growing approximately 12% [3][4] Core Business Segments - **Workforce Identity**: Secures identities of customers, employees, and partners - **Customer Identity**: Secures identities of customers' customers - **Total Addressable Market (TAM)**: Estimated at $80 billion, with workforce identity at $50 billion and customer identity at $30 billion [3] Financial Performance - **Operating Margin**: Non-GAAP operating margin projected at 19% to 20% - **Free Cash Flow Margin**: Approximately 22% [4] Macro Environment and Market Dynamics - **Current Macro Environment**: Described as a headwind, affecting new customer acquisition and budget allocations [6][7] - **Customer Segmentation**: Enterprise customers are performing better than SMBs, with public sector also showing strength [7] - **AI Impact**: No significant cannibalization of cybersecurity budgets by AI observed [8] Growth Strategies - **Top Strategic Initiatives**: 1. **Security**: Enhancing security offerings 2. **Reigniting Growth**: Introduction of new products and expanding partner ecosystem 3. **Scaling Organization**: Improving operational leverage [10] - **New Product Development**: Focus on governance, Privileged Access Management (PAM), and customer identity enhancements [10][12] - **Partnership Expansion**: Increased focus on cloud service providers like AWS, with $175 million in Annualized Contract Value (ACV) growing 130% year-over-year [11][16] Sales and Marketing - **Hunter-Farmer Model**: Implemented to improve sales efficiency in the SMB segment, separating new customer acquisition from existing customer management [13][21] - **Sales Capacity**: Current capacity deemed sufficient, with a focus on improving productivity before hiring more [21] Competitive Landscape - **Customer Identity Market**: Competitive dynamics involve a buy vs. build approach, with a focus on developer engagement as a key growth driver [28][30] - **Market Positioning**: Emphasis on the need for customers to purchase identity solutions rather than building them in-house [31] Product Announcements and Innovations - **Key Product Focus**: Continuous authentication and posture management as critical security offerings [43][44] - **Governance Tool**: Early success with hundreds of customers, but still a small portion of the overall customer base [37] Security Incident Response - **Past Incident**: Acknowledgment of a security incident in October, with ongoing efforts to enhance security measures and customer trust [49] - **Impact on Business**: No quantifiable evidence of financial impact from the incident, but potential long-term effects on customer perception acknowledged [51] Future Outlook - **Long-Term Growth Potential**: Despite current macro challenges, the company is focused on product development, partnerships, and operational improvements to drive future growth [55] Conclusion - **Overall Sentiment**: While facing macroeconomic headwinds, Okta remains committed to leveraging its product innovations and partnerships to capture growth opportunities in the cybersecurity and identity management market.

Therefore, the Zacks rating upgrade for Okta basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price. Most Powerful Force Impacting Stock Prices Okta (OKTA) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices. The sole determinant of the Zacks rating is a compan ...