Okta (NASDAQ:OKTA) Issues Q1 2027 Earnings Guidance

04 Mar 2026, 23:26 by Tristan Rich · The Markets Daily

Okta (NASDAQ:OKTA – Get Free Report) updated its first quarter 2027 earnings guidance on Wednesday. The company provided EPS guidance of 0.840-0.860 for the period, compared to the consensus EPS 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 Analysts Forecast Growth

Several research analysts recently issued reports on OKTA shares. Citigroup reissued a “neutral” rating on shares of Okta in a research note on Monday, January 12th. The Goldman Sachs Group cut their price objective on shares of Okta from $137.00 to $117.00 and set a “buy” rating on the stock in a research report on Wednesday, December 3rd. KeyCorp reduced their target price on Okta from $130.00 to $115.00 and set an “overweight” rating for the company in a research note on Tuesday, February 17th. Deutsche Bank Aktiengesellschaft decreased their target price on Okta from $110.00 to $85.00 and set a “hold” rating for the company in a research report on Wednesday, December 3rd. Finally, Jefferies Financial Group cut their price target on Okta from $125.00 to $105.00 and set a “buy” rating on the stock in a report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, twenty-four have given a Buy rating, eleven have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $107.50.

View Our Latest Report on OKTA

Okta Trading Down 1.1%

NASDAQ OKTA traded down $0.78 during trading hours on Wednesday, hitting $71.74. The company’s stock had a trading volume of 6,774,378 shares, compared to its average volume of 3,098,011. Okta has a 52 week low of $68.77 and a 52 week high of $127.57. The company has a market capitalization of $12.71 billion, a PE ratio of 65.82, a price-to-earnings-growth ratio of 2.87 and a beta of 0.79. The company’s 50-day simple moving average is $85.73 and its two-hundred day simple moving average is $87.62.

Okta (NASDAQ:OKTA – Get Free Report) last issued its quarterly earnings data on Wednesday, March 4th. The company reported $0.90 EPS for the quarter, topping analysts’ consensus estimates of $0.85 by $0.05. The firm had revenue of $761.00 million during the quarter, compared to analyst estimates of $749.87 million. Okta had a return on equity of 3.77% and a net margin of 6.87%.Okta has set its FY 2027 guidance at 3.740-3.820 EPS and its Q1 2027 guidance at 0.840-0.860 EPS. Research analysts anticipate that Okta will post 0.42 EPS for the current fiscal year.

Okta announced that its Board of Directors has initiated a stock buyback program 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 programs are usually a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In other Okta news, insider Eric Robert Kelleher sold 2,409 shares of the firm’s stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $84.40, for a total transaction of $203,319.60. Following the transaction, the insider directly owned 11,266 shares in the company, valued at approximately $950,850.40. This trade represents a 17.62% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Larissa Schwartz sold 1,836 shares of Okta stock in a transaction on Friday, February 6th. The stock was sold at an average price of $83.47, for a total transaction of $153,250.92. Following the transaction, the insider directly owned 36,328 shares in the company, valued at $3,032,298.16. This represents a 4.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 37,245 shares of company stock valued at $3,385,624. 5.68% of the stock is owned by corporate insiders.

Key Stories Impacting Okta

Here are the key news stories impacting Okta this week:

Positive Sentiment: Okta beat Q4 consensus on revenue and operating profitability, showing margin improvement and stronger net income for the year — evidence of improving operating leverage. Okta Announces Fourth Quarter And Fiscal Year 2026 Financial Results
Positive Sentiment: Management gave FY‑2027 EPS guidance well above consensus (EPS 3.740–3.820 vs. street ~2.80) and guided Q1 EPS above expectations — a sign management expects profitable growth over the year despite a cautious revenue stance. Okta Posts Strong Fiscal 2026 Results With Higher Profitability
Positive Sentiment: At least one major analyst house (Robert W. Baird) kept a Buy/outperform view, arguing the company’s broad-based outperformance plus conservative FY27 outlook skews risk/reward toward buys. Okta: Broad-Based Outperformance and Conservative FY27 Outlook Skew Risk/Reward Toward Buy
Neutral Sentiment: Analyst coverage and price targets remain mixed — Wells Fargo initiated coverage at equal‑weight with a $76 target while other firms (Jefferies, Cantor, BTIG) keep higher targets — leaving consensus upside dispersed. Okta (NASDAQ:OKTA) Coverage Initiated by Analysts at Wells Fargo & Company
Negative Sentiment: Okta guided Q1 revenue to $749–753M, below Wall Street’s estimate, and warned growth would slow — management called out macro/enterprise spending weakness, the weakest revenue-growth outlook since the IPO. That guidance is the main driver of the share decline. Okta forecasts slowest revenue growth since IPO amid economic uncertainty
Negative Sentiment: Market reaction: despite the beat on the quarter, the softer near‑term revenue outlook and growth‑slowdown commentary prompted selling pressure and elevated trading volume around the print. Okta beats fourth-quarter estimates, but issues weak guidance

Hedge Funds Weigh In On Okta

A number of hedge funds and other institutional investors have recently modified their holdings of OKTA. First Trust Advisors LP grew its holdings in shares of Okta by 28.2% in the fourth quarter. First Trust Advisors LP now owns 6,030,090 shares of the company’s stock valued at $521,422,000 after acquiring an additional 1,326,051 shares in the last quarter. Alyeska Investment Group L.P. boosted its position in Okta by 276.9% in the third quarter. Alyeska Investment Group L.P. now owns 1,403,499 shares of the company’s stock worth $128,701,000 after purchasing an additional 1,031,083 shares during the last quarter. Freestone Grove Partners LP boosted its position in Okta by 187.4% in the fourth quarter. Freestone Grove Partners LP now owns 847,024 shares of the company’s stock worth $73,242,000 after purchasing an additional 552,324 shares during the last quarter. Man Group plc grew its stake in Okta by 132.1% in the 3rd quarter. Man Group plc now owns 741,924 shares of the company’s stock valued at $68,034,000 after purchasing an additional 422,296 shares during the period. Finally, Broad Bay Capital Management LP purchased a new stake in shares of Okta during the 4th quarter valued at $19,888,000. Hedge funds and other institutional investors own 86.64% of the company’s stock.

About Okta

(Get Free Report)

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.